Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Mon Apr 8 2024 15:53:25

eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

By: Ina Steiner

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eBay is making it free to sell used clothing in the UK - but not for everyone. By only offering the policy to "personal" (casual) sellers, it will make it harder for business sellers to compete, according to those reacting to eBay's April 8th announcement, which reads as follows:

"eBay UK announces that as of today, it is free for individual sellers to sell fashion items, a move designed to encourage fashion lovers to put more cash in their pockets while supporting circular fashion. 

"It will be free to sell all pre-owned clothing*, including everything from the items you have worn once, many times, to brand new items with tags on that you have just never got around to wearing or returning. Existing individual fashion listings will benefit from free selling, even if they were listed before 8th April. 

"Pre-owned fashion lovers already benefit from zero buyer fees and are protected with eBay’s Money Back Guarantee and expert customer service team, at no additional cost."

*Seller fee removal applies to pre-owned clothes excluding sneakers, watches, handbags and jewellery.

One seller wrote in reaction to the news: "I feel so sorry for those in this niche who trade legitimately as businesses who are competing with "private" sellers who just got handed a massive chunk of money." The thread on the eBay UK discussion board ("No Fees for selling Clothing?") explains why plenty of people were unhappy with what appeared to outsiders to be good news.

"I'm going to get pelters for this but IMHO private accounts shouldnt have new as an option, its pre-owned. This would then solve a lot of the business on private accounts. eBay already basically do it with shoes, if they have been tried on under eBay rules they are used. Giving fee free to privates is just asking for people to trade illegally, just another thing for me to ask the managers at the roadshow."

UK publication the Daily Mail explained that Depop (owned by Etsy) and Vinted also offered fee-free selling and wrote, "Previously, eBay sellers faced a basic seller charge of 13.22 per cent plus 30p on all items. While it is free to list up to 1,000 items a month on eBay, there was also an additional 35p charge for any items after this."

eBay's partial move to fee-free selling in the UK in the clothing category also follows in the wake of Mercari making it free to sell in all categories in the US. But Mercari shifted fees to buyers, something eBay did not.



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Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Mon Apr 8 20:14:48 2024

*** Tariff China & Co. ***

Temu and Shein are about to ruin U.S. based clothing merchants by selling cheap Chinese goods to U.S. and European consumers.

On Temu, you can purchase a new and stylish dress for $10.00, AND with good reviews.

It’s a race to the bottom for U.S. businesses if the U.S. cannot control China and their unethical businesses practices.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: Rexford

Tue Apr 9 05:31:00 2024

Stone Cutter says "Temu and Shein are about to ruin U.S. based clothing merchants by selling cheap Chinese goods to U.S. and European consumers."

This may be true for clothing consumers who want something cheap that is cheap.   I can't speak for Temu but every article of clothing that I have seen from Shein looks like it will fall apart before it goes into the wash. Shein makes Primark look uptown.

There will always be a market for quality clothing.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: AddyUp This user has validated their user name.

Tue Apr 9 08:03:28 2024

This will add fuel to the fire on the UK forum where repetitive business vs private arguments in posts are already a major and boring problem.

I suspect that this is encouraged by eBay as the forum reps do nothing even when presented with lists of obvious pretenders. From eBay's point of view these divisive arguments are better than everyone together pointing out all the numerous eBay faults.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Tue Apr 9 09:48:09 2024

@Rexford
You say…

“There will always be a market for quality clothing.”

I agree with that. However, I do not believe the affluent Nordstrom customer shops online for used clothing on eBay, Depop and Mercari.

Ebay, Depop and Mercari are manipulating prices because…
There is no money selling to people with no money.  

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Tue Apr 9 09:56:11 2024

…Is it really that hot?…

If the used market is as “hot” as many believe, then why are eBay, Mercari and Depop, all scrambling to reprice their businesses?  

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: iheartjacksparrow

Tue Apr 9 10:49:39 2024

I have a question for sellers of used clothing. I have a ton of t-shirts that I've worn once or twice but haven't worn for years, and I was thinking of listing them in my store. The receipts are long gone, so for tax purposes, what do I consider the cost to be? What I sell them for? Any suggestions will be much appreciated.  

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: Rexford

Tue Apr 9 11:30:52 2024

Stone Cutter says "I do not believe the affluent Nordstrom customer shops online for used clothing on eBay, Depop and Mercari."

And I agree with this statement, but there are layers of customers below "the affluent Nordstrom customers" (or at that level) who love what the see at Nordstrom but who are not willing to pay Nordstrom prices.  Or, who are too smart and financially saavy to pay those prices.  You'd be quite surprised at how many customers that I ship to who have Dr. or Esquire or CFO in their name fields or who live in toney zip codes.  They want quality but they want it at a great price. And they would not be caught dead in Shein.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: Rexford

Tue Apr 9 11:36:36 2024

iheartjacksparrow, t-shirts is a very saturated category. Your pricing would be totally based on demand.  Do a search of your brand and look at the completed listings to look at the sold prices.   Also do a search, click on completeds, and then sort by highest price.  You'll see what the high dollar t-shirts are.   My guess is that the Supreme brand might be among your search results unless that brand has already played out.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: iheartjacksparrow

Tue Apr 9 11:48:27 2024

@Rexford. Thank you for the information. My main concern is, when I do my tax returns, what do I deduct as the cost of the item. For instance, say I list a Star Wars t-shirt for $5, but I know I paid at least $25, do I use the sold for amount as the cost, or say the cost is 50% of the original price because it's been worn? The t-shirts I'm thinking of selling are character shirts (Star Wars, Pixar, etc.), so I imagine some of the really old ones would have very few online to compare with.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: Rexford

Tue Apr 9 14:11:15 2024

iheartjacksparrow, I am not sure that I can advise you on that.  Without the original receipts to provide to the IRS on the off chance that you were audited, I don't know what the IRS would require.  For every item of clothing  or accessories (or anything else that I purchased to sell) I have the receipt.   If I sell an article of clothing from my personal closet that I bought for myself (6 months ago or longer) I don't normally write off the cost of the original sale.   I have heard of folks hand writing receipts for certain items.  My guess is that as long as you didn't have too many of those the IRS might be forgiving.  I really don't know though.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Chicago48 This user has validated their user name.

Thu Apr 11 07:14:16 2024

On Temu, you can purchase a new and stylish dress for $10.00, AND with good reviews.
^^
I don't trust Temu sizing for clothing.  I don't trust its quality and I don't trust those reviews.  At least with AMZ you get verified reviews.
I do however, buy office supplies and other gadgets like flash drives from Temu.
I think those two sites appeal to the YOUNGISH, teen-type buyers who really don't care about quality and price.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Chicago48 This user has validated their user name.

Thu Apr 11 07:16:02 2024

I have a question for sellers of used clothing. I have a ton of t-shirts that I've worn once or twice but haven't worn for years, and I was thinking of listing them in my store. The receipts are long gone, so for tax purposes, what do I consider the cost to be? What I sell them for? Any suggestions will be much appreciated.  
^^
If you have a buy-sell-trade consigner in your city like Crossroads, take the Tees to your consignment to get cash on the spot.  Tees don't sell online for more than $10.  If yours are in POOR condition, you have to list it that way and IMO you should start auctions on EB at .99c.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Thu Apr 11 11:58:19 2024

*** It’s what Home Depot did..***

Many years ago, as Home Depot was in major expansion, Home Depot would settle into local cities and wipe out its competition by selling products at a loss. The plumbing store, the garden store, the local tool store, were wiped out because they could not compete with Home Depot.

What fears me about Temu and Shein, is that they will create a new pricing standard that buyers will become accustomed to.

Even Nordstrom, last week, announced that sales for the Nordstrom department has slowed, while sales for their cheaper ‘Nordstrom rack’ had increased.

Low prices from Temu and Shein will bankrupt competitors for all types of products. It’s the same thing that is happening with solar panels made here in the U.S. as U.S. price points cannot compete with Chinese companies.

If the U.S. cannot find a way to control China, it will ruin the U.S. economy. And EU countries say the same for their economies.

I believe that much has to do with “China Xi” and his need for power. As many U.S. companies has left manufacturing in China for India and Mexico, China is loosing power and money, and feels the need to retaliate against the U.S. as the U.S. economy remains strong.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: BargainzBabylon This user has validated their user name.

Thu Apr 11 14:35:20 2024

Seconding Rexford - Upscale "Nordstrom shoppers" certainly DO shop for pre-owned on eBay, Posh etc. I know because I've sold my garments to more than a few well-known individuals, professionals and the like, and am not the only one.

It's better not to make assumptions about an entire market without being well acquainted with that market. Pre-owned clothing seems to catch a lot of that.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Thu Apr 11 15:38:22 2024

@BarginzBabylon

You say….

“It's better not to make assumptions about an entire market without being well acquainted with that market. Pre-owned clothing seems to catch a lot of that.”

That’s fine, but at what percentage?? This is my point, here. The overall numbers for high end retailers far exceed numbers for pre-owned retailers, especially in clothing. Used clothing is too personal for many.

My husband shops at Nordstrom for business attire when appearances mean something. Stepping into an important meeting with used shoes and clothes is death for many. Appearances mean something for people who need to compete. I don’t know a single soul who has an interest in used clothing.

Numbers don’t lie….U.S. economic data says that the majority of people buy “new” clothing especially for those with money to spend, especially for professionals. It’s the high end retailers that do the best in all of retail, especially in clothing.  

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Thu Apr 11 15:50:03 2024


….and if you want someone else’s foot fungus, buy used shoes.

No thank you!  

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Stone Cutter This user has validated their user name.

Thu Apr 11 16:06:29 2024

***About Poshmark ****

In late 2023, Poshmark sold its soul to a company in South Korea. And after saying that selling in India was a great investment, Poshmark recently unloaded its businesses in India and the U.K.

Sounds to me that Poshmark may not be doing so great, and is dependent upon the U.S. consumer to keep Poshmark afloat.

Time will tell….

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

This user has validated their user name. by: Rexford

Thu Apr 11 19:17:40 2024

"Stepping into an important meeting with used shoes and clothes is death for many."

So are folks buying new pairs of shoes very every meeting they go to?  Otherwise they are stepping into meetings with used shoes.

It isn't the age of the shoe, it is how the shoes have been cared for and maintained. A pair of classic quality bench made shoes will last for decades if you care for them. And shoe trees are a must.

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: Nonesuch This user has validated their user name.

Thu Apr 11 19:29:03 2024

I dunno.  I kinda think eliminating fees for sellers will just flood the site with junk, making it even harder for buyers to sort the good from the bad, and thus discouraging them.  But I may be wrong.  

Perminate Link for eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck   eBay Goes Fee Free in UK Clothing - but Pro Sellers Out of Luck

by: MilesT This user has validated their user name.

Mon Apr 15 07:51:57 2024

And of course other free(ish) options in the UK for selling used clothing:  Gumtree (no longer owned by eBay), preloved.co.uk, facebook, whatsapp, and nextdoor.  And competitors like schpock.

A lot of UK clothing retailers now charge for returns (by post/parcel, take to store is usually free still where that is an option) and more strictly enforce returns policies, which is driving more secondary sales.  

And items bought on SheIn, Temu, and Fashionova (and similar) are more likely to be resold on secondary sources than returned, especially where the item is a "regret" item and not immediately returned.  

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