20% Fees? A discouraging number.

[escuintla]

My new rant and ready for the scolding from the usual know it all seller.😁
I used to participate in these forums a lot but since I deal with media in a wholesale way (out there) I barely have time to list items and nonetheless come to this place to find out about the bad news, because with Ebay there's nothing good to see from but increases on this and decreasing on that. 🤐

Besides finding out about the increment of $0.21 in the media rate, I just sold an item worth $459.99 and to my dismay, again, not following the news, or seller's performance I got a $92 fee which makes it a 20% fee, more or less. 

I am sure that paying this much puts the brakes on my future sales in great numbers. I was going to list a huge ********** CD collection that is in the range of $60,000 so not knowing the specifics, again, my fault, I won't be selling it on this platform but on the outside because not only I lose 20% (fees) of the value but I will be dealing with a higher tax bracket. 

You guys take care. 

[dbfolks166mt]

I tried mercari when eBay was giving me problems recently and though the fees may be lower, buyers are also less spendy.  Things have to be priced lower there, at least as far as my items go. More power to you, being able to sell there!

     I sell across a number of venues and platforms and I adjust my pricing based on the fees and other costs in order maintain my desired ROI. I can generally list items 10-20% cheaper on other sites due to the lower, or no, fees. About 80% of my sales are on other venues/platforms with a large concentration on the local venues where sellers do not have to pay shipping costs and I don't have to worry about potential lost or damaged packages. There is also less risk of a scam or a return since most of those are local pickup or delivery and the buyer can actually look at and examine the item before they take possession. 

[aeparts1]

When I signed up to sell on eBay, I checked off the box that has Jamie Ianonne personally contact me via text, phone,  & email with the fee I will pay when the item sells.

Saves me from a lot of rude surprises. 

[reallynicestamps]

yesterday, the Media Mail charge was $4.13

What would be the Letter Mail rate with tracking?

What would be the lowest tracked parcel rate?

Would you be comfortable shipping your lower value items without tracking?

[chapeau-noir]

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@gamersbaystore wrote:

The fees I pay on Mercari are like 50% less than the fees I pay on ebay. I also dont have to pay for a store subscription there, and you don't have to pay for visibility like you do with ebay.

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50%? I wish! My fees on Mercari are about par with the ones here now. They *used* to be lower, but then they've been taking on processing fees, etc. And yeah, you do pay for more visibility - they have a promotional program. I still like the site but am startled that you're paying half of what I am.

[chapeau-noir]

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@yellow-snapdragon wrote:

I tried mercari when eBay was giving me problems recently and though the fees may be lower, buyers are also less spendy.  Things have to be priced lower there, at least as far as my items go. More power to you, being able to sell there!

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It's kind of a cheapskate site, but I've actually also had a few great sales there, too. Mostly, though, I use it for clearance. I looked at my fees again and @gamersbaystore  is right to an extent, I pay maybe 20% less, but the site reach is a lot less, too, and they have a kind of wonky search (though that's improving).

[mam98031]

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@soh.maryl wrote:

We all know that eBay has no control or input regarding shipping costs, right?

And we all know also that the shipping cost is paid by the buyer.  

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Not all methods of shipment that the Ebay shipping program allows for allow for any negotiation with Ebay regarding costs.  Some do certainly, but not all.  For example with USPS, Ebay nor any other similar site, can negotiate on Media or G A methods.  But PM and above they can.  That is just an example, IDK about other carrier rates.

[mam98031]

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@gamersbaystore wrote:

The fees I pay on Mercari are like 50% less than the fees I pay on ebay. I also dont have to pay for a store subscription there, and you don't have to pay for visibility like you do with ebay.

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@gamersbaystore 

Let me qualify this.  I do not sell on Mercari, so I do not have any personal experience with this, but what I see online tells me it is not 50% cheaper.  So how is it that you sell there for 50% less.  I am just curious  I am NOT trying to be confrontational.  It is just a question, nothing more.

From Mercari website:

On every sale made by merchants on the site, Mercari charges a minimum of 10% of the item price. Also, Mercari incurs fees related to payment processing. It charges sellers a rate of 2.9% + $0.30 for every payment received from the buyer.

https://www.easyship.com/blog/mercari-vs-ebay

That would be a total of 12.9%.  It also says the 10% is the minimum.

Ebay's rate includes the Money Processing fee, so are you just looking at the fees from Mercari and overlooking that you pay separately for Money Processing?

Again, I'm just curious.  Please do not read more into this than just someone trying to better understand your point of view.

[mam98031]

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@gamersbaystore wrote:

ebay does have control over the fees they charge, and they're incredibly unfair and greedy in my opinion.

ebay doesnt need 30% of every sale. The shipping cost is not paid by the buyers if they stop buying.

USPS lost over $6 billion dollars last year alone. Probably not a wise idea to raise rates again. Every time they raise postal rates, consumers revolt and spend billions less online.

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I think we have discussed this a few times.  Ebay does not charge 30% in ANY category.  If you are considering the cost of shipping as part of your FVFs, they aren't anymore than they would be when you are considering the rate that Mercari is charging you.  The cost of Shipping is certainly a Cost of Sale, but it is NOT an EBay fee.

Misrepresenting facts doesn't help anyone.

[mam98031]

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@bashort wrote:

I do not think this is the issue here but the relationship between what the item sells for and the shipping cost is other than paying for promoted listings the biggest factor in how high the ebay fees will be.

These are from what I see on my own listings.

10% of item price shipping cost = 13.5% ebay fees

25% of item price  shipping cost = 15% ebay fees

50% of item price shipping cost = 18% ebay fees

100% of item price shipping cost = 24% ebay fees

Lower value heavy items get hit very hard on fees.

---

You are likely right, however this is a seller's CHOICE.  Ebay does not impose these rates on a seller.  The seller CHOOSES to pay an additional FVF when they get a sale.  And the seller sets the FVF rate they are WILLING to pay for the sale.  

To then turn it around as being the fault of Ebay that these sellers are paying high fees is not only not factual but it is very misleading.  If those sellers participating in PL do not like the fees they are paying, then don't participate in PL.

The majority of sellers on Ebay do not use PL.

As to shipping costs.  There is NO relationship between the Price being charged for the product and the cost of shipping the item.  I've sold many things over the years and the two things simply have nothing to do with one another.

There are things that sell for $10 with a shipping cost of $5 and there are things that sell for $50 and shipping costs are $5.  One has nothing to do with the other.  The size and weight of the item is ALWAYS what drives shipping costs.

[mam98031]

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@kabilab wrote:

Approx. six yrs. back, I could mail a DVD to San Diego first class for $1.98; yesterday, the Media Mail charge was $4.13.

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You had me curious as I don't remember it being that low just 6 years ago so I tried to find some info on it.  I too use MM all the time.  Below is what I found for almost  10 years ago.

[bashort]

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@soh.maryl wrote:

You may be confused about the fees.  eBay's final value fees are based on the amount paid the seller by the buyer.  In most categories, this is 13.25%, but some categories the FVF is lower and some it's higher.  

A lower value ($20 for instance) that weighs (20# for instance) if listed in a category where the FVF is 13.25% will have the same PERCENTAGE FVF as an expensive item with a cheaper shipping fee.  Think a small piece of expensive jewelry, for instance.  There is no "relationship" involved.

Can you explain how you arrived at the conclusion you apparently have drawn and maybe show an example from your selling history? 

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Its really simple, I am talking about the `total fees related to what the item selling price was  which is the only number that really matters. Sell a $100 item with 7% sales tax and buyer paid  shipping is $10 in a category with 12,35% fees and your ebay fees will be $13.38 or 13.38% of the $100 selling price, if the shipping cost was $25 total fees would be 15.17% of the selling price, if the shipping cost was $50 fees on the $100 selling price would be 18% of the selling price.

[mam98031]

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@yellow-snapdragon wrote:

I tried mercari when eBay was giving me problems recently and though the fees may be lower, buyers are also less spendy.  Things have to be priced lower there, at least as far as my items go. More power to you, being able to sell there!

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@yellow-snapdragon 

They are only lower if you IGNORE the separate fee for money processing.  At least the stated fees on their site tells me that.

[mam98031]

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@bashort wrote:

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@soh.maryl wrote:

You may be confused about the fees.  eBay's final value fees are based on the amount paid the seller by the buyer.  In most categories, this is 13.25%, but some categories the FVF is lower and some it's higher.  

A lower value ($20 for instance) that weighs (20# for instance) if listed in a category where the FVF is 13.25% will have the same PERCENTAGE FVF as an expensive item with a cheaper shipping fee.  Think a small piece of expensive jewelry, for instance.  There is no "relationship" involved.

Can you explain how you arrived at the conclusion you apparently have drawn and maybe show an example from your selling history? 

---

Its really simple, I am talking about the `total fees related to what the item selling price was  which is the only number that really matters. Sell a $100 item with 7% sales tax and buyer paid  shipping is $10 in a category with 12,35% fees and your ebay fees will be $13.38 or 13.38% of the $100 selling price, if the shipping cost was $25 total fees would be 15.17% of the selling price, if the shipping cost was $50 fees on the $100 selling price would be 18% of the selling price.

---

You are comparing your COGS [cost of goods sold] to your sale price which is a different percentage than the fees that Ebay charges.  And it will likely always be different.  The percentage will also vary depending on your sale price.  

Tracking and calculating your COGS is different from figuring out the FVF Ebay charges.  The FVF Ebay charges is a consistent number.  To calculate the number you want to see you have to recalculate each and every sale and each and every sale would have a different percentage for Ebay FVFs.  That will make it far more complicated to figure out how much you should charge for an item verses  your COGS.  But of course you have the right to do that, it is your books afterall.

However Ebay FVFs are NOT complicate.  In most categories their rate is 13.25% plus a 30 cent per transaction fee.  The fixed transaction fee would be a different percentage of sale depending on the amount sold for.  That too can be cumbersome to figure every time.

If you want to complicate how you calculate the Ebay fee, you have every right to do that.  But that does not translate to Ebay charging higher fees that previously stated.  Ebay fees are consistent.  Sell prices are not.

[sakic92710]

Of course the S/H % they take is an eBay fee!  What else is it?  lol

[cardsforauction]

DANG, that is crazy. $4.13 for Media Mail.  I thought it would be like $2.50 now.  I guess you can try selling DVDs or CDs in large lots.