eBay

e-sister11 · ‎04-03-2018

I don't know if this has been covered here, but I noticed a disdain for older topics anyhow, so I thought I'd better start fresh:

Please list pros and cons regarding the fees for listing a basic auction item such as a pre-owned handbag.

I've noticed that a seller could actually lose money if not careful because eBay counts SHIPPING as part of your profit, even though for mine, the shipping calculated barely covered the actual price of shipping I paid, so the discount wasn't helpful since eBay is taiking a fee based on the larger shipping amount, and then Paypal takes their cuts on top of that (before eBay takes their cut, so on the gross, not net).

Don't offer me a discount, then, already, eBay?!

I calculated, as a new seller, based on my first ten sales, that on average, the fees ate up about 25% of the actual selling price of the item alone- once shippingcame out and eBay & PayPal took their cuts.

So I was wondering, if I charge free shipping and try to calculate a flat ship rate into the selling price, will eBay take a cut on the shipping I actually pay in addition to their 10% off the total sale?

Will I lose on shipping if someone farther away buys it? Will people even look at my auction if the price is higher, but free shipping?

And finally, what polite advice can anyone offer to make the margins more appealing to a new seller?

Feeling disappointed in the process. Thanks in advance.

e-sister11 · ‎04-03-2018

Thank you again, ted_200! You are my knight in shining armor today! I love you! You are one of the very few who figured this out!

ted_200 · ‎04-03-2018

@thatsallfolkswrote:
“Look. If shipping is $20, and you charge $20 for it, you only get $17.42 after eBay/PayPal fees. That's $2.58 in loss that is going to get counted against your profit. ”

If your shipping cost is $20, AND you’re going to pay $2.58 in fees, don’t charge $20. Seems awfully straightforward.

Great. Charge 22.90. You're just paying more fees, on money you don't ever see. Better yet, just charge $50 for shipping, that should cover ALL the fees, and then some.

Presumably you think the item will sell just as well no matter how much is charged?

The Floggings Will Continue Until Morale Improves.

thatsallfolks · ‎04-03-2018

Since you’ve got it figured out, maybe you can run this through your magic calculator:

I sell an item for $50. I charge the buyer $11 for shipping. Postage costs me $10.

What is my eBay/PayPal fee %?

ymeagainlord · ‎04-03-2018

@castlemagicmemorieswrote:
@partial*eclipsewrote:
@castlemagicmemorieswrote: ... There is a world of info in the Ebay A-Z Index and seller help pages. The fee pages are listed there.
Alas, the A-Z index was not carried over to the new Help pages, though there is an A-Z index of policies.
You are right. But it is still an option, just not in the original form where you chose the letter of the first word you were looking for, and it brought you to a list of topics for you to choose from.

Now it has a question format. So if you enter seller's fees, it then brings up the page. I will admit a bit off putting to those of us used to the A-Z Index. Possibly they feel this works better and is more user friendly.

They feel wrong

Crusader Cat is watching

Everyone thinks of changing the world, but no one thinks of changing himself. - L Tolstoy

"You are entitled to your own opinion, you are not however, entitled to your own facts."

e-sister11 · ‎04-03-2018

Thanks again, dtexley, Grumpy Old Man Crew.
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"No, this is not correct you simply can't fold your shipping cost onto your fees like that."
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Well, I tend to disagree with you about how to view the FEES on shipping, and PayPal. I view them as FEES since they're called FEES. 🙂
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I'm being coy, I know (Grumpy Old Woman Crew I guess).
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If you are charged fees on shipping, which you are, then that's a fee I count against my profit because they aren't covered by the buyer in shipping.

As I mentioned, I'm hesitant to charge handling fees, but I see the necessity of it. This does get added into your total sale, though, right? Thus fees apply.
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As several pointed out, trying to charge for what you want to get doesn't seem to work, but if the price is low, and bidders bite, then the price often escalates past what you initially wanted to charge. However, if that doesn't happen, and the price is too low, that can sting.

Thanks for the heads up about the FR conundrum possibility.
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And agreed about the ones to ignore; No... they can't help themselves... neither can I in reply.
Grrrr.... (Upload Grumpy Cat Face)

Cheers

e-sister11 · ‎04-03-2018

"That sucks, but you made the right call..."
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Zactly! Thanks. I could see the negative possibilities 90 miles away. I didn't know about the 30 cent PayPal fee that I would be charged, or I would've negotiated that with the bidder before issuing the refund. PayPal said I can do that.
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The buyer was very apologetic. I think she would've agreed to deduct it. Maybe not everyone would, but in that case I had the negotiating edge. Just wish I would've known about that fee ahead of time.

castlemagicmemories · ‎04-03-2018

I've noticed that a seller could actually lose money if not careful because eBay counts SHIPPING as part of your profit, even though for mine, the shipping calculated barely covered the actual price of shipping I paid, so the discount wasn't helpful since eBay is taiking a fee based on the larger shipping amount, and then Paypal takes their cuts on top of that (before eBay takes their cut, so on the gross, not net).

Don't offer me a discount, then, already, eBay?!

I calculated, as a new seller, based on my first ten sales, that on average, the fees ate up about 25% of the actual selling price of the item alone- once shippingcame out and eBay & PayPal took their cuts.

So I was wondering, if I charge free shipping and try to calculate a flat ship rate into the selling price, will eBay take a cut on the shipping I actually pay in addition to their 10% off the total sale?

Will I lose on shipping if someone farther away buys it? Will people even look at my auction if the price is higher, but free shipping?

And finally, what polite advice can anyone offer to make the margins more appealing to a new seller?

Feeling disappointed in the process. Thanks in advance.

@e-sister11wrote:
"Free Shipping is not free."
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Ummm, yes, I understand this point extremely well!!!!!!!
That's not the nature of my question, though! It's whether there's an added fee on the printing label or anything else AFTER you get hit for the sale of the item you marked up to cover the shipping. I detailed this in a reply to someone else who didn't undertand what my question was. I'm sorry. I'm trying to be clear.

Please see post 19. That answered your question.
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"Free Shipping might be attractive to a buyer who gets Ebay Bucks as they would get more Bucks on a free shipping item as opposed to one with shipping cost separated out."
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Now this is an example of a very helpful advantage to know! I didn't know about eBay Bucks. Are there any other contingencies such as does seller has to offer Return Policy, too? Thanks.

You don't have to offer it, that is your personal choice.
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"You might want to go to calculated shipping and set your listings up to offer this. You would need a scale and a tape measure, and a printer to print the postage labels, although I suppose you could still take the package to the post office and pay for postage that way."
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I already DO offer Calculated Shipping on my items! This is why I'm asking about if there are any added advantages or catchesI don't know about going to FREE SHIPPING? I have a scale, a tape measure, and a printer, lol! I may be green, but not living in the stone age! ;-D

I understand you use calculated shipping but you make many other statements that leads one to believe that you are not really using calculated shipping~as far as we know, to you, calculated shipping could be when you estimate shipping and enter it, based on your statement that you can lose money shipping. You should not be losing money on shipping if you are setting up the calculator properly. If you are, then you need to add a handling fee to at least try to cover yourself for shipping cost.
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"There is a world of info in the Ebay A-Z Index and seller help pages. The fee pages are listed there."
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I'm asking here because of the specific question I have isn't covered there. Or else I haven't found it yet.

It does not seem like you have A specific question, but rather a range running the gamut of selling in general as it pertains to fees, and shipping costs~ and selling in general.

You can also search this Board for specific topics. You have received a lot of good advice here but it seems you have so many questions, that you missed posts that do specifically answer your questions, as in post 19.

castlemagicmemories · ‎04-03-2018

@ted_200wrote:
Never list for less than you will accept for the item.

Please look at OP's completed listings for:

DANSKO WOMEN'S TAMARA SLIP-ON CLOG BLACK MEDIUM FULL GRAIN 39 (US 😎

... to see why this is not always a good plan.

$32.99 start price = No Sale.
$18.99 start price = $47 sale.

They're lucky it didn't sell for $33 the first time around...

IF the seller is ok with just one bid for $18.99, then that is the amount she will accept and she would not be listing for less than what she would accept.

Hindsight is great. You are looking at a completed listing. That same listing might have ended with one bid at $18.99. Just listing lower does not guarantee that you will have more than one bid on the item.

Common advice on this Board is that you never list for less than you are willing to accept. Many threads have been started by OPs who listed at far less than they were willing to take, listing went off at one bid, and they want to back out of the transaction. And some do, which causes irate buyers.

e-sister11 · ‎04-03-2018

" I cannot figure out what math you used to get your fees to add up to 25%. I would sincerely like to see how you figured that.

And what's a "disdain for older topics"?
Hi soh.maryl-
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First off, the disdain probably doesn't pertain to you but I've had commenters confront me for replying to an older post that dealt with an issue I was experiencing. They were saying, this topic is 1 year old, blah blah blah... what are you doing replying to this person for, blah blah blah.
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I hope that helps.
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Second, I have explained the math twice and two others get it, so I know I'm not nutso.
It's because YOU, the SELLER, don't KEEP the shipping, and since that's a loss to the seller, and the FEES for shipping are usually HIGHER than what the seller actually pays, but the shipping discount isn't big enough to cover the shipping part of the FEES, the remaining FEES that include shipping come out of the SALE price, too, since you don't keep what the buyer paid for shipping.

Now I also said I took the average, so for some, the fees amount to say 18%, others 28%.

Here's and actual example:
Pre-owned Paper Shredder
Sale Price: $9.00
Calculated Shipping: $10.49
Total: $19.49
Actual shipping; $10.21
Fees:
*FV-$.90
*SFV-$1.05
*PP- $0.87
Total Fees-$2.82
minus the $0.28 shipping discount, total fees= $2.54
$9.00-$2.54= $6.46 net
2.54/9= 28.2% in fees

GET IT NOW?

castlemagicmemories · ‎04-03-2018

@ted_200wrote:
Never list for less than you will accept for the item.

Please look at OP's completed listings for:

DANSKO WOMEN'S TAMARA SLIP-ON CLOG BLACK MEDIUM FULL GRAIN 39 (US 😎

... to see why this is not always a good plan.

$32.99 start price = No Sale.
$18.99 start price = $47 sale.

They're lucky it didn't sell for $33 the first time around...

******************************************************************************************

And that's my point, Ted, they're LUCKY. Their luck might just as well have run the other way, with just one bid.

castlemagicmemories · ‎04-03-2018

I have a scale, a tape measure, and a printer, lol! I may be green, but not living in the stone age! ;-D

Believe it or not, not everyone in the world or even the US has a scale, a tape measure, and a printer. And given the questions, it did not seem that these were things that you would have. No one said you were living in the Stone Age.

Just to clarify.

e-sister11 · ‎04-03-2018

Thanks for being polite even though you see me as a little somewhat dingy, perhaps?

I am admittedly on a learning curve. I made that clear. I've only sold a few items, all pre-owned. The Calculated Shipping calculator wasn't working out for me at first. I probably wasn't using it correctly at first, granted, but my later examples demonstrate that I am now. Even seasoned sellers have stated on other threads that the Calculated Shipping isn't always perfect. That's not me, that's others confirming.

If you don't select RETAIL on Calculated Shipping because you want buyers to enjoy lower shipping costs, then you take a hit. That was my first mistake, because then I didn't even get the eBay shipping discount- no discount at all, and sometimes it WAS actually less than actual shipping.

Now I only charge buyers the RETAIL shipping rates and I usually end up with a tiny shipping discount.

Nevertheless, the total fees still eat into the sale price anywhere between 18-28% for me.

My specific question was if there were any advantages/disadvantages to going to "FREE SHIPPING", as in, would I be charged fees on the shipping label.
Please don't answer that. It's been answered sufficiently already thank goodness.

But everyone has to school me on things I haven't really asked about. Just pointing out that I had a specific question. I can't help if people are making unnecessary assumptions about how I must not be skilled in using a calculator, or how to measure a package properly, etc.

That's not helpful because it's making unnecessary judgments about my intelligence, while the judge is clearly missing the actual question being asked.

That reflects back on the Judge, BTW.

Again, please don't answer the question I've reiterated over and over again in this thread if you finally understand what it was. It HAS been answered at least twice, if not tauntingly.

e-sister11 · ‎04-03-2018

While you are correct, still, so is ted_200.

Due to this fact about eBay, it makes me wonder if it wouldn't be cheaper on my part to buy gas and go drop my stuff off at Salvation Army instead.