mam98031 • Volunteer Community Member • Buyer/Seller since 1999
@wildpitchsports wrote:oh it's going to take a huge hit ... maybe not so much this year but NEXT.... woof...... if I had any left I would have sold
What kind of prediction is that? Ok if they don't go downhill this year, it will be next year, or the year after that or the year after that, etc.
@vintagecraze50 wrote:Yes, they are doing quite well. My sales sure reflect that especially this Christmas. Jamie Ionnone has a very good focus for this website. I think they are cashing in on the high value items , and getting out of the flea market mentality that has kept the GMV down. Getting more buyers who stay on the site and spend more money.
Personally I think they are doing both. It doesn't have to be one or the other. It is a big site. I also don't agree it has kept the GMV down. They are just doing more to bring in high ticket items and a big effort for making sure it is safe for the seller. Certainly to add to the GMV as that is simply good business. Again that doesn't mean it has to be at the cost of all other sellers. It is in addition to IMHO.
@jmbmh1 wrote:I agree. eBay has become corporate friendly, not user or seller friendly. They charge outlandish fees. Why should we pay a percentage of the sale on shipping or taxes? eBay actually gets about 3% of any taxes they collect from the states, on top of charging us a percentage fee of it too! There is also the issue of their representatives not knowing how to address so many issues. Do they ever train these people? I know of many sellers who have had it with this firm.
Where did you get the percentage that Ebay is getting from the states they collect and remit sales tax for? Please provide a link as I've been looking for one for a long time and have not yet located one.
@altar_x wrote:You miss a very important detail and it is the pandemic. If you compare the results during the pandemic and those before the pandemic, you will see that eBay is losing. Remember that because of the pandemic, people are shopping more online. But what will happen when the pandemic is over?
Well now you are changing gears here. Your post did NOT refer to the pandemic at all. You referred to some monthly reports on Ebay that you were seeing that showed they aren't doing so well. But Ebay doesn't release monthly financials, they release quarterly financials. You need to decide what you are referring to.
Please post links to these month reports you are reviewing.
@frankbama41 wrote:The processing fees. They charge 11.7% or whatever (rate on a collectible for example) on total sale including sales tax and roughly 3% revenue from the processing of that payment so they're getting an extra 8.7% on the sales tax amount when they really should only get their commission on the actual sale, not the tax amount too. The processing fees on the sales tax are a necessary evil, but the 8.7% extra just goes to eBay.
That has nothing to do with what I responded to for the other poster. This is entirely different and has nothing to do with my question.
The fact that Ebay now has their fees set up to be on sales tax too is something we have beat to death on the threads since Ebay started this for sellers in MP as of August 2020. So nothing new here and it isn't new that sellers not like it, including me.
@femmefan1946 wrote:The fact that Ebay now has their fees set up to be on sales tax too... since Ebay started this for sellers in MP as of August 2020.
As did Paypal. It's Standard Practice for payment processors to charge their fee on the ENTIRE payment, and not to split the reasons for the payment into sub-categories. We got our first merchant credit card account around 1979 and paid their fee on Ontario sales tax from Day One.
There is a real difference here. PP's fees were 2.9% on the sales tax, not 12.55% for those without a store in most categories. I think most of us understand that a money processor and credit cards charge their fees on the entire amount of money being processed. Ebay does NOT do that. They charge their product FVF on the sales tax too. Using the 12.55% - 2.9% = 9.65% on sales tax that we have never paid before.
However with the new fee structure, when we do get a sale that has no sales tax on it, our fees are LOWER than they were before MP. So that helps to offset some of the additional cost.
For me, I did a comparison for 6 months. What I use to pay in fees before MP to the fees I pay in MP. Each and every month it was a pretty neutral change. So overall in a months period of time my fees are about the same as they were before entering into MP. As long as that remains true, I can deal with it.
