Very High Not as Described Fee 5%

[affordable_gadgets_llc]

Fellow sellers, this 5% fee is killing me. As most of you are aware, ebay charges an additional 5% fee when you have a high % return rate, but we know the metric is faulty because most buyers will lie in their SNADs. In order to soften the blow, I have started accepting free returns, but the metric runs a 12 month look back and according to this I will keep paying the 5% fee for eternity. See, last year my sales were lower, meaning that the return percentage will be higher in the next months.  What do you guys do? Change category? Increase the amount of sales with less expensive items? I sell around 100 phones a month, so no quite meeting the 400 volume rule in the past 90 days. Any help is appreciated it...getting close to $2k in additional fees, on top of $4k in regular closing costs. 

[stephenmorgan]

You had 58 sales for just over $30,000 in sales the last 30 days, are rated as a Top Rated Plus Seller and you still are charged the 5% for High Rate Return Fee?

I did not know it was possible to be a Top Rates Seller and be penalized with a 5% additional fee.

That is crazy. 

How many returns did you have?

[flyingmvp]

It is a well known issue:

https://community.ebay.com/t5/Selling/Seller-Metrics-The-new-cash-grab-SCAM-from-ebay/m-p/29741402#M...

And it is not additional 5% but additional ~50% on your FVF's (it varies so it depends on what categories you sell in)

[stephenmorgan]

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@flyingmvp wrote:

It is a well known issue:

https://community.ebay.com/t5/Selling/Seller-Metrics-The-new-cash-grab-SCAM-from-ebay/m-p/29741402#M...

And it is not additional 5% but additional ~50% on your FVF's (it varies so depends on what categories you sell)

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Yea, if your FVF is 10% and then you add 5% to equal 15% that is a 50% increase.  That is a severe penalty.

[flyingmvp]

It is a severe penalty and  Considering Ebay hunger for making more profits out of even less sellers,(GMV continues to decline)  this fee would probably rise sooner then later.

[stephenmorgan]

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@flyingmvp wrote:

It is a severe penalty and  Considering Ebay hunger for making more profits out of even less sellers,(GMV continues to decline)  this fee would probably rise sooner then later.

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I just read the first 15 posts in link you posted.  So it started out in 2018/2019 as a 4% increase and now it is 5%.

I believe if you receive too many defects they will add a 6% penalty.

Do you know where it is written about how many returns would trigger the 5% penalty.

[dhbookds]

Increase your # of sales with some cheap stuff............

[slippinjimmy]

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@stephenmorgan wrote:

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Do you know where it is written about how many returns would trigger the 5% penalty.

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Not sure if there is one that is specific as you are measured against and in comparison to similar sellers in the same category.

Once you get to "very high" relative to the selling category averages you are in trouble.

If you want to read all the details there are here:

https://www.ebay.ca/help/policies/selling-policies/seller-performance-policy/service-metrics-policy?...

[stephenmorgan]

Thanks I had read that one.

I am looking for something that may say for example in this category average return rate is xx%

I thought I had read it before but I cannot find it now.  

[fashunu4eeuh]

Hi, there is also some info in this policy below. Apparently the penalty is not on all returns, but only Item Not As Described returns. In addition, the penalty is not on all sales, but only on sales in the categories affected by the INAD, if i understand correctly. If that is the case, then perhaps avoiding those affected categories might be one avenue around the matter?

https://www.ebay.com/help/selling/fees-credits-invoices/selling-fees?id=4822

“If your rate of 'Item not as described' return requests is evaluated in your service metrics as Very High in the evaluation on the 20th of the month in one or more categories, you will be charged an additional 5% on the final value fees for sales in those categories in the following calendar month. You can view your personalized service metrics on your Service Metrics dashboard - opens in new window or tab in Seller Hub.”

[buyologist-3]

I pointed this out and was totally hassled.  By the way, just where are all the naysayers on this one?  They defend ebay at all costs, right or wrong.  This post made my day!  Thank you!    

[divwido]

someone left you negative feedback because USPS wouldn't leave a $ 500 cell phone sitting on their porch? 

[divwido]

ouch!

[stephenmorgan]

Thanks, this provides some information.  It doesn't make sense.  So does that mean I have to have 10 returns before I will know what the benchmarks are? 

[mam98031]

@stephenmorgan 

You are looking at your Service Metrics information.  In the dark blue boxes it tells you why you are not seeing anything on this page.  You simply don't have enough dings and/or peers to measure it.