FEES

[ruinedpalace]

eBay takes a % of the cost to mail an item to the Buyer as part of  its fee system. This isn't so bad if the item is small but if it's a large item that requires more money to mail it, then it becomes a problem. Now that USPS has raised its rates again, the problem has been exacerbated.  It's not fair to the Sellers: we only charge the Buyer what we need to mail the item to them, so we don't get this money. Why then should it be included in the Fee calculations?

[ebeths_eclectic_collectibles]

There are other market places that do shipping differently and sometimes they are sometimes a better value for shipping and less fees . Usually they involve prepaid shipping labels and you don’t get paid until after delivery. Also with prepaid labels there is no handling charge for shipping but there is no allowance for you to cover expense of shipping supplies etc…Price may be better for the customer I use some of these market selling platforms but still get the best exposure with eBay 

[dbfolks166mt]

For example I can go to Staples in Store or online, same price.  Staples online ship it free to me, no additional cost.  That's free no additional cost.  Free shipping is promotional and is afforded an immediate line item write off for the exact shipping amount an thus the reportable revenues are lessened yielding the competitive advantage.

     That's because the shipping is baked into the price of both the store price as well as the online price. How do you think it got to the store in the first place. 

If you were to go before a Judge lets say and said, "I've this item for $25 plus $5 shipping" and then were to tell him, "I've this item for $25 and added $5 to cover shipping and I call that Free Shipping" obviously its not free and he would tell you, "That's not free."

Now lets say Target Merchandise has this TV Set at MSRP of $399 and say it costs $40 to ship, actual cost. If Target went and said price is $439 + Free Shipping, I call the State Attorney General and they are required by law to respond to my claim.  "The shipping wasn't free" The State AG will find in my favor, Target will refund the difference and get a nice fine atop it.  Free means free, not "I added" and its free.

Now Target take that $40 and its an immediate line item write off, that $399 just turned into $359 as declared revenue.  John Q. Seller however lets say does that $439, there sits an $80 difference in revenue.  This is why the "big boys" in online commerce do free shipping.  Its consumer friendly, it really is free and affords them that line item write off.

     Shipping is always a line item write off regardless. Big boys or a small seller your shipping cost is written off. Actually in your example the $399 is the declared revenue on the books, just as the $40 is a deduction on the books. For John Q seller revenue is declared at $439 on the books and the $40 is a deduction. 

     Buyers, at least those that live in the states that do not apply sales tax to shipping, are better off if the seller does charge for shipping. It's minor but it's still a savings to the buyer. However, most buyers are infatuated with something being free. Nothing in life is free. 

[retro_entertainment_collectibles]

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@mustang707 wrote:

@retro_entertainment_collectibles   

You can’t compare Target to ebay sellers. I agree that Target cannot add shipping and then claim it’s free and therefore have 2 different pricing systems. But we on ebay are all independent sellers. So if I want to sell something for $25 + $5 shipping and you want to sell the same item for $30 with free shipping, then it doesn’t violate any laws. You can justify the increase as additional profit margin and no mention of shipping costs needs to be disclosed.

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That is correct, I did not state sellers here violate law as that sorta thing needs be proven.  Likely with some handfuls of sellers who are directly in authorized distributorship supply and chain of custody might find some.  That is to say, manufacturer defines MSRP lets say $59.99 and terms be they direct or consign and I turn around and go, "Oh... Shipping is $15" and tack that on and call it free shipping.  Free has no other definition than free is my point.  Of course proving it among buckets of indi resellers, well good luck.  Right?  Right.

One can jockey numbers but the definition of free is free.

Grocers jockey numbers all the time.  Buy the Big Beef Pack and get one free.  Well last week the Big Beef pack was $18, now it's $25 and get one free.  Annoys me no end.

"Well why was it $18 last week and should be $18 this week and I get one free?"

"Ummm... Oh... Well, the $25 cows we had to put handcuffs on them."

Crazy world we are in.