Promoted ad rates just keep climbing

[libbywebst]

I sell in fragrances.  It's a saturated market.  

When promoted listings launched, the suggested ad rate was somewhere around 3-4%.  It has been steadily climbing ever since.  Now, it's 15.6%, though I've seen it as high as 17%. 

I run 2% just because I get NO impressions, must less clicks, without at least running a campaign.  I'm also now experimenting with the pay-per-click promotion program.

The fragrance category currently has a 13.25% fee, and now ebay is asking an additional 15.6% to promote. 

Is the climb due to greater competition among sellers who promote?  Is there a ceiling to this?   

[robbie31415]

Anyone going by suggested ad rate is crazy.

I think a better way to get a decent ad rate is to use the listing quality report.

If your ad rate is low it will typically recommend an ad rate.

The recommendation in that report is much lower typically. Example I have one for hair styling. The listing quality report says 7% is good. The suggested ad rate is around 18%.

7% is just fine.

[az93]

I notice sellers promoting one of a kind items on ebay with absolutely no competition. 

[isaiah53-57]

No I do NOT mean "normal capitalism" - Whatever the he11 that means...

But I'll bite - "Healthy capitalism" can utilize greed to the benefit of all...

In my most humble opinion, the style of capitalism used here is not "normal" or "healthy"...It has created unfair and unhealthy competition between buyers and sellers,  sellers and sellers, sellers and site managers...

The greed here serves NO ONE - Rather than greed that increases growth through healthy competition, the greed here stymies growth with the default(and only) revenue generator of scraping more and more sweat off the backs of those toiling here - This style of capitalism assumes no future for a company - it just usurps what it can get while the getting is good and there is no way to turn it around - the eventuality is the company cannibalizes itself...

My guess is the best they are hoping for is effective crisis management for as long as possible with ever creative and ever more surreptitious money grabs and schemes to present positive data...

That this is as good as it gets - right here, right now...

So if you think where this company is at right now in trying to pilfer from their current and new users with "recommendations" of giving up 30%, 40%, 50% or more of their items selling prices with detestable suggested ad rates of 15%-18%?... well...

[denaus5321]

Can't wait till eBay gets smacked in the face when it backfires on them. Result of when you have a trust fund baby CEO running things. Another "IVY League" who never built anything in his life nor could use a hammer properly to save his life.

But I will await Inhawaii and his/her Larry King take on this. We all know he/she is the soothsayer for the ebay community. 

[mam98031]

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@denaus5321 wrote:

Can't wait till eBay gets smacked in the face when it backfires on them. Result of when you have a trust fund baby CEO running things. Another "IVY League" who never built anything in his life nor could use a hammer properly to save his life.

But I will await Inhawaii and his/her Larry King take on this. We all know he/she is the soothsayer for the ebay community. 

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First, why is this Ebay's fault.  Promoted Listings has been around on this site since 2015.  More actively used in the last few years as Ebay started enhancing the program.  

Still, as it has ALWAYS been, it is a seller's CHOICE to use it and a seller's CHOICE as to the additional rate they are willing to pay if a sale happens.

This type of program is used on many sites, not just Ebay.  Google is likely the elephant in the room on this type of program long before Ebay decided to offer it.

@inhawaii uses sarcastic humor in most of his posts.  Not meant to harm but to lighten things up.  I have warned him a few times that those that don't know him may take him seriously.

[inhawaii]

I'm not sure what I said (sarcastic or otherwise) to warrant that Larry King remark? I'm not even sure what that Larry King remark means? Am I being accused of wearing suspenders?

[mam98031]

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@inhawaii wrote:

I'm not sure what I said (sarcastic or otherwise) to warrant that Larry King remark? I'm not even sure what that Larry King remark means? Am I being accused of wearing suspenders?

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This poster doesn't make very many posts, but it appears the ones they do make are mostly contrary remarks to others or the site or both.  I think there is something they are unhappy about regarding Ebay but haven't shared that yet.

IDK what the Larry King remark means either.

[inhawaii]

I guess it's a compliment if you like Larry King and a insult if you don't?  😉

[things4thinkers_eb]

It's greed on Ebay's part.  They're going to squeeze every penny they can out of sellers.

Ultimately fees will get so high, only those boosters that steal retail items to support their drug habit will be able to afford to sell here since their acquisition cost is $0.  They'd probably still lose money on this site somehow....

[mam98031]

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@things4thinkers_eb wrote:

It's greed on Ebay's part.  They're going to squeeze every penny they can out of sellers.

Ultimately fees will get so high, only those boosters that steal retail items to support their drug habit will be able to afford to sell here since their acquisition cost is $0.  They'd probably still lose money on this site somehow....

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It is a TOOL in which sellers can choose to use or not to use.  It is YOUR decision IF you want to use it and HOW MUCH you are willing to pay to use the program.  How that = Ebay greed is ridiculous.  If you don't want to use the program, the answer is simple, don't use it.

The fees in Promoted Listings ONLY climb because some sellers have decided they are WILLING to pay more in fees.  It IS NOT because Ebay raised any fees in Promoted Listings.

MOST sellers don't even use Promoted Listings.  If you don't like the program, simply don't use it.  It is a choice for each of us to make.  I personally don't use it.  

As to Greed, Ebay is a for profit corporation.  It is why they exist, to make money.  Sellers sell on Ebay to make money as well.  So we are all GREEDY if that is how you measure this.