eBay

plumbingspecials · ‎05-18-2018

I had a conversation with an eBay rep yesterday who called me to tell me (once again) about the free returns program, and how this wonderful program can boost sales by 15 percent, according to some data that was most likely manipulated to get people to believe that sales = profits.

I feel really bad because by the end of the conversation, she was trembling, perhaps even in tears, and that was certainly not my intention. The poor girl was just doing the job she was hired to do, reading a script that she was told to read, and to try to convince Top Rated Sellers that it's okay to be extorted by eBay. I hope she did not take my feedback about eBay personally, but I really think it was her first day. I explained to her that this move by eBay is opening a whole new channel for thieves. Now they can search by "free returns" so they can target sellers who offer this program. Thieves know they can get items for free or for at least 50% off. There is no way a seller can make a profit with this strategy. There is no honor among thieves, and if eBay truly believes members are always honest, they are sadly optimistic. As it is now, most returns are FALSE SNAD cases (in other words, the buyer LIES to avoid shipping and restocking fees), so let's just make it easier for them by removing the step where they have to lie to return something for free (yep, that will make them honest!). The rep excitedly tells me that if the item is returned in any other condition than we sent it, we are allowed to keep 50% of the sale and refund only 50% instead of having to refund the full transaction. After four reports of buyers misuing the free returns system, eBay will give them warning. So they get to rip off at least FOUR sellers before eBay shuts them down. (Yep, again that's keeping them honest!)

I reiterated to the rep that eBay is cheating us out of our TRS benefits by forcing us to take losses on our sales. If we do not conform to this ridiculously unprofitable policy, we do not get our benefits on those listings. So, If I sell an item for $1000, the buyer requests a return and sends back a box of rocks, I get to keep 50% of the sale IF I CAN PROVE that I sent out the correct item. I do not get a discount on my final value fees because it's only a partial refund, but hey, at least eBay put our TRS badge on that item.

So to put this in perspective:

I have a unit that I paid 700 for (because I am adistributor).

I sell the unit for $1000. I pay shipping $25. Buyer requests return, I pay another 25 plus call tagf fee of 16, so it costs 41 to bring it back. I receive a box of rocks, the buyer keeps the unit, and I get to keep half of the refund because the buyer didn't send back the same unit. Here's what it looks like:

1000-100 (fvf)=900

900-25 (shipping)=875

875-700(cost of unit)=175

At this point I made a profit of 175 (sounds good, right?)

Oh but wait. The buyer requests a return (no reason is needed).

175 (what I initially made) - 41 (return shipping and call tag)=134

Buyer ships back box of rocks instead of a unit that I can re-sell.

134-500(partial refund for scam buyer)= -366

This transaction would cost ME $366 to receive something back other than what i sold.. Not sure how eBay expects people to sell here if we are not profitting or at least breaking even.

I suppose the rep who called me NEVER SOLD A THING ON eBay! Because not one person who ever has, would agree that this is a "good" program for sellers. I think she realized that after I schooled her.

I still feel really bad though, because she honestly thought she was promoting a good program.

mr_lincoln · ‎06-06-2018

@calistas_closet33

@calistas_closet33 wrote:
32.7% increase in sales with a decrease in per item profit, work harder for ebay, make less for yourself...it is brilliant. I’m waiting for forced price drops..

The precursor to that may be 1) adding unsolicited Best Offer to New Sellers or those who use the Quick Listing tool and 2) the message about items being in carts now reduce the price 5% to close the deal.

Regards,
Mr. Lincoln - Community Mentor

partsgalore1 · ‎06-06-2018

Very good post!

Buyers who have no skin in the game will not be careful when buying something... they can just return it at no cost to themselves. I sell parts which require skilled diagnosis of the problem with their machine as well as care to purchase the correct part. Buyers who don't have to pay for returns are going to buy the wrong parts even more than they do now...and they are going to use my parts to test their machine and then claim defect when it doesn't solve the problem...even more than they do now.

I am going to give free returns an honest try..but only on small items with low shipping cost. If it becomes a problem I am seriously considering going to "no returns" on all my items! Then I can accept returns on my terms. I'll simply place my simple and fair return policy in my item description.

Joshua Trenge

partsgalore1 · ‎06-06-2018

15% return rate!! OMG ... I'd be out of business if I have to pay shipping both ways on 15% returns!!

I also have about 1% return rate now...and I want zero...

Joshua Trenge

partsgalore1 · ‎06-06-2018

LMAO.... Strange that my sales are down 25% since same time last year.... and I have done everything they suggested....

Joshua Trenge

rockz1101 · ‎06-06-2018

Wow...impressive

SO many valuable entries/posts/comments on this topic thread!

I chose to reply here on avid.auctions post, b/c this post is gold.

Any change brought forth by eBay is always a wait and see ~~experiment,~~

situation, for eBay and sellers.

Recipe for eBay Success:

Impliment changes (mix ingredients) with a timeline, stir vigorously for xTime,

monitor results (is the temperature right? is the recipe performing properly?),

present the eBay escholon metric reports (taste test the baked goods).

When eBay decided on this latest set of new 'improvements',

the smart cooks know to have recipe versions B and C ready

(more improvements/updates(recipe tweaks) for goods that tastes better.

rockz1101 · ‎06-06-2018

@mr-lincoln
thank you, again, for another one of your insightful reply/comments

auctionsrva · ‎06-06-2018

That is an interesting solution. Would Ebay allow it? If so I would adopt it in a "New York minute". Thanks for the idea. I'm wondering how it would play out in the context of Ebay's money back guarantee. It might turn the tables: if the seller doesn't accept returns then Ebay would be stuck refunding the SNAD and item defective returns unless they worked with the seller to refute the buyer's claim. Of course Ebay could just make the refund and freeze the seller's PayPal account.

I've been very disapointed with the new return policy, even more so with Ebay's handling of my recent false SNAD. I recently started selling on Ebay again (sold a lot back in 2000 - 2005) and was pleased with everything, felt some positive changes had been made and planned to grow my Ebay business.

I may follow your plan to see what happens, maybe combine it with allowing returns on items that don't cost much to ship.

Thanks again for the suggestion.

mr_lincoln · ‎06-06-2018

@auctionsrva wrote:
That is an interesting solution. Would Ebay allow it? If so I would adopt it in a "New York minute". Thanks for the idea. I'm wondering how it would play out in the context of Ebay's money back guarantee. It might turn the tables: if the seller doesn't accept returns then Ebay would be stuck refunding the SNAD and item defective returns unless they worked with the seller to refute the buyer's claim. Of course Ebay could just make the refund and freeze the seller's PayPal account.

I've been very disapointed with the new return policy, even more so with Ebay's handling of my recent false SNAD. I recently started selling on Ebay again (sold a lot back in 2000 - 2005) and was pleased with everything, felt some positive changes had been made and planned to grow my Ebay business.

I may follow your plan to see what happens, maybe combine it with allowing returns on items that don't cost much to ship.

Thanks again for the suggestion.

That's the way I am leaning too ... it could wind up being over 1/2 of what I sell so would be a good test.

Regards,
Mr. Lincoln - Community Mentor

mr_lincoln · ‎06-06-2018

@partsgalore1

@partsgalore1 wrote:
LMAO.... Strange that my sales are down 25% since same time last year.... and I have done everything they suggested....

No, that math is not right based on all the new site features that are touted to increase sales. You have to factor in all the % of those features you added (that were supposed to increase sales) to the loss of sales. So if Free Shipping, Free Returns and Best Offer are supposed to yield about 32.7% INCREASE then you need to add that to the 25% because YOUR SALES DID NOT

INCREASE! Sorry, got carried away there.

Regards,
Mr. Lincoln - Community Mentor

auctionsrva · ‎06-06-2018

It will be interesting to see how it plays out. I agree with your statement in an earlier post that Ebay is the best venue for the antique, vintage and used items. Not sure why they have made such an effort to move away from this market when they dominate it.

mr_lincoln · ‎06-06-2018

@auctionsrva

@auctionsrva wrote:
It will be interesting to see how it plays out. I agree with your statement in an earlier post that Ebay is the best venue for the antique, vintage and used items. Not sure why they have made such an effort to move away from this market when they dominate it.

Agreed. There was another thread where a Seller had researched off site info and found that many of the alleged features and changes that occur have little affect on sales either way ... I think it was a blogger or something. Anyway, I've had that same thought at times since most of the changes are "me too" in Home Office's attempt to keep up with the Longest River in South America (LOL, we're not supposed to say their name right?!? but many do!).

Regards,
Mr. Lincoln - Community Mentor

auctionsrva · ‎06-06-2018

Mr. Lincoln that is a long river and easy to lose one's way on! I've often thought if Ebay would just give up being long river wannabes life would get simpler for all of us.

I have no data to support another suspicion that part of it is "Nanny State" thinking. As a buyer I research carefully and make informed choices. As a seller, same thing applies. Seems like our loving nanny is untrusting of our ability to guide our own destinies.

carlmarxx · ‎06-06-2018

@mr_lincoln wrote:
@auctionsrva
@auctionsrva wrote:
It will be interesting to see how it plays out. I agree with your statement in an earlier post that Ebay is the best venue for the antique, vintage and used items. Not sure why they have made such an effort to move away from this market when they dominate it.
Agreed. There was another thread where a Seller had researched off site info and found that many of the alleged features and changes that occur have little affect on sales either way ... I think it was a blogger or something. Anyway, I've had that same thought at times since most of the changes are "me too" in Home Office's attempt to keep up with the Longest River in South America (LOL, we're not supposed to say their name right?!? but many do!).

You can say amazon .