How to handle Very High “Item not as described” rating

[worldwide_ship]

Hello ebay community,

For the first time I have a very high return rating for "cell phone" category. I sell high priced phones ($800-$1500) and the extra 5% fee is costing me an extra $50-$100 each phone that I only profit around $20-$30. I'm losing big money on every sell. I calculated this is going to cost me $10,000 to $15,000 in extra fees this month! How should I handle this? Should I stop selling the phones until it goes back down? It's a highly competetive market so if I raise prices I won't sell any.  Any advice?

[technoshoptotalwireless]

It is a seasonal thing, January-February returns always spike up right after the hollidays, it is a "TRADITION" and if you have a buyer pays return policy, then they will use not as described instead of buyers remorse just not to pay for return. 

[zoda99]

@technoshoptotalwirelesssaid: It is a seasonal thing, January-February returns always spike up right after the hollidays, it is a "TRADITION" and if you have a buyer pays return policy, then they will use not as described instead of buyers remorse just not to pay for return.

This isn't exactly true. I sell cell phones and every return I've ever gotten for them were remorse returns paid for by the customer.

[technoshoptotalwireless]

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@zoda99 wrote:

This isn't exactly true. I sell cell phones and every return I've ever gotten for them were remorse returns paid for by the customer.

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I don't see a single phone on your current listings, if you sell one phone every couple of months, you will rarely have any returns, If you sell a few dozen or dozens in a Month, your returns will proportonionally increase.  

[technoshoptotalwireless]

I had not seen that your margins were so slim, you need to shift to a less risky category in my opinion or find a way  increase your margings  if you wanna stick to this category because electronics are very tricky/risky if you don't have good margins to take a hit when things go south. 

[theteamsetguy]

@luckythewinner ,

My public school arithmetic says 5% of $1,000.00 is $50.00 and not $12.00.