Dynamic Ad Rate

[meme6253]

Is anyone using the new dynamic ad rate, Or intend to?

[my-cottage-books-and-antiques]

@shar_27 It means your Promoted Rate would be 9%. 

[b86fiero]

I have been using it for quite some time.  I put a cap on the percentage I am willing to pay. eBay moves the percentage rate up and down depending on the item on any given day but never more than I am willing to pay.

Currently I have 3 dynamic ad rate campaigns running.  One is capped at 5%, one at 8% and one at 10%.  All under the highest eBay recommended percentage amount. I sell new items in highly competitive categories, mainly kitchen items and jewelry making supplies.  

Example:  I have the rate capped at 10% even though eBay may recommend 12% - 14%. (not going to give eBay that much more of my tiny profit).  I have a bit over 400 items in that campaign. Currently the percentages eBay is recommending fall between 7% and 14% for those items.  Many of them stay around the 8-9% rate.  For those items that eBay's daily dynamic rate recommendation is 14% mine stay at or below my capped 10%.  If eBay's daily rate is 8% that what mine will be.

Does it help sales?  I have not seen any sales increase whatsoever. But, using Promoted Listings is the only way to get your items appearing on other seller's listings (advertising) - just like theirs appear all over mine.  (and yours).

IMHO promoted listings are the bane of sellers but pay to play is here to stay.

[shar_27]

---

@my-cottage-books-and-antiques wrote:

@shar_27 It means your Promoted Rate would be 9%. 

---

So even if eBay trend rate for certain item is 10% today. and My Cap set to 9%
My item would still get promoted at 9% ?

If so ... that's pretty dymamic .. isn't it ?

[my-cottage-books-and-antiques]

Yes, I suppose so. Although in this case I think ebay is using the word "dynamic" as opposed to "static" or "unchanging" which is what a flat rate is. If I run a flat rate campaign at 10% for one week, it will be 10% every day. But if I run a dynamic campaign, the rate can change (without me having to do anything) every day. 

It is important to understand that the rate you choose is NOT the only thing ebay looks at when determining placement. For example, I am at 15% and you are at 10% but your listing has much better photos, better price, etc....you could easily be above me in PL ranking, even though my rate is higher than yours.

[my-cottage-books-and-antiques]

And to understand why ebay would do what I just described, it's simple:

I'm at 15%, but I have one poorly focused photo , a crazy high price, and just a lousy listing in general.

You are at 10% with a great listing, great photos, great price, etc.

ebay's algo will decide you have a much better chance of selling.

so ebay will give you better placement because:

10% of something is , well, 10% of something.

15% of nothing is....zero. 

And since my lousy listing has little chance of getting sold, no matter its placement, ebay would rather get 10% of your sale than nothing from my non-sale.

So it is not all about the rate.

[craft-stash]

Pay per view sounds like the old WWE cage matches.. Dynamic duo!

[shar_27]

Thanks for these precious info .... and that's how I feel like too ... 

[hollysfinds]

Pay to play would not be here to stay if nobody participated. 

Of course that's not going to happen. 

Most sellers don't have a big profit margin. 

If giving more of that to Ebay is what sellers want to do then go for it I guess. 

[my-cottage-books-and-antiques]

@hollysfinds 

Pay to play would not be here to stay if nobody participated. 

Of course that's not going to happen. 

Correct. That is not going to happen.

PLS is here to stay.

[myfrugalboutique]

Excuse me for misunderstanding. It was early in the morning. 🥱.  I am aware of what you are talking about. 

[meme6253]

It's not going to happen, But really it should, If taking a stand at some time never happens, It will just continue to happen & to what end??, But your right!

[my-cottage-books-and-antiques]

@myfrugalboutique  No problem. Maybe someone else will find my posts informative.

[chapeau-noir]

---

@my-cottage-books-and-antiques wrote:

There's one other facet to this:

You can cap the rate, but you can also set a percentage for ebay to add or subtract from the suggested rate. So, you cap at 10%, but you also tell ebay to add , say, .1% to the daily rate. So, if the daily rate is 6%, you are authorizing ebay to go a little higher, to 6.1%. Or you can set it to be less, so , for example , -.1%, in which case ebay will use 5.9% rather than the full daily rate of 6%. 

And, since you are capped at 10%, if , for example, the daily rate IS 10%, ebay will NOT add the .1% (but will subtract .1% if that's what you instructed.)

Whether you want to add or subtract depends on whether you think its important to be above the daily rate, or whether you think for your merchandise you will likely do just fine with something less than the daily rate.

(Here it is important to remember that the rate is NOT the ONLY thing ebay looks at when deciding on placement, so having a higher rate is NO guarantee that you will do better with the higher rate...as some sellers who have tried rates like 50% have discovered...

---

This ^^ is definitely important to remember - listing quality, selling history, relevancy and recency are also weighed (along with gawd knows what else, but those definitely) along with promotional rate. Promotional rate is no guarantee that something will sell.

[myfrugalboutique]

😹if you noticed I ended my comment with a question mark.  ??????” I ask a question.