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2011 Spring Seller Update

 
 
 
  Fee Update Examples
 
  Are my fees going up?

We are eliminating Auction-style listing fees (Insertion Fees) for non-Store subscribers (up to 50 Auction-style listings per month). The Buy it Now option will also be free if added to one of these 50 listings. Final Value Fees will be applied to the total amount of the sale—including shipping.

Example:
  • Listing a pair of Baby Ugg Boots in the Auction-style format
  • Seller does not have an eBay Store subscription (Standard rates apply)
  • Starting price is $19.99 with a Buy it Now option of $40.00
  • Recommendation: Under the new fee structure, occasional sellers can list Auction-style items with no upfront cost. Set the price wherever you chose, add the Buy it Now feature for faster sales.
$19.99 Starting Price
$40 Closing price
Current FeesFuture Fees
Insertion Fee$0.50FREE
Buy it Now option$0.20FREE
     Shipping cost$5.00$5.00
Final Value Fees9% of $40 = $3.609% of $40 + $5.00 = $4.05
Total Fees$4.30$4.05


Why are you applying the Top-rated seller discount only to the item price?

Applying the eTRS discount only to the item price encourages and rewards our top performing sellers to offer Free Shipping with their listings. This creates a better experience for buyers across the site.

Example:
  • Listing an iPod Shuffle in the Fixed Price format
  • eBay Top-rated seller with a Premium eBay Store subscription
  • Item price is $40.00 with $5.00 shipping
  • Recommendation: Maximize eTRS discounts by offering Free Shipping with a boost in exposure
$40 Item PriceCurrent FeesFuture FeesFuture Fees with Free Shipping (maximum Top-rated seller discount)
Insertion Fee$0.05$0.05$0.05
     Shipping cost$5.00$5.00$0.00 (item price becomes $45)
Final Value Fees8% of $40 = $3.207% of $40.00= $2.80
7% of $5.00 = $0.35
7% of $45.00 = $3.15
Top-rated seller Discount20% of $3.20 = $0.64 (on item portion only)20% of $2.80 = $0.56 (on item portion only)20% of $3.15 = $0.63 (on item portion only)
Total Fees$2.61$2.64$2.57


I already offer Free Shipping. Do I need to change anything?

We are rewarding sellers who already offer reasonable and Free Shipping by reducing the Final Value Fee rates across all Fixed Price categories. Continue to offer free shipping to take advantage of these lowered rates.

Example:
  • Listing a Honda Odyssey cargo tray in Fixed Price
  • eBay Basic Store subscriber who offers Free Shipping
  • Item price is $85.00 with Free Shipping
  • Recommendation: Continue to offer Free Shipping and take advantage of the lower Fixed Price Final Value Fee rates.
$85 Item PriceCurrent FeesFuture Fees
Insertion Fee$0.20$0.20
     Shipping costFreeFree
Final Value Fees12% of $50.00 = $6.00
9% of $35.00 = $3.15
10% of $50.00 = $5.00
8% of $35.00 = $2.80
Total Fees$9.35$8.00


It looks like I’m getting a fee increase, is there anything I can do to avoid that?

Evaluate your current shipping charges. Offer reasonable or Free Shipping (when possible) on your listings. This will not only attract more buyers but also should help reduce fees.

Example:
  • Listing a Juicy Couture Hoodie in Fixed Price
  • Seller does not have an eBay Store subscription (Standard rates apply) and shipping costs are excessive
  • Item price is $35.00 with $19.99 shipping
  • Recommendation: Offer reasonable shipping costs which will attract more buyers and create a better shopping experience. By charging accurate shipping costs, this seller could save 23% in fees.
$35 Item PriceCurrent FeesFuture FeesFuture Fees with reasonable Shipping Costs
Insertion Fee$0.50$0.50$0.50
     Shipping cost$19.99$19.99$5.20
Priority Mail Flat Rate
Final Value Fees12% of $35.00 = $4.2010% of $50.00 = $5.00
8% of $4.99 = $.40
10% of $40.20 = $4.02
Total Fees$4.70$5.90$4.52