eBay Raises US Fees with Winter 2024 Seller Update

by: GetAGrip

Told you so. Greedbay doing what greedbay does best......

by: terry55

Pretty much ALL my items, shipping and taxes make up more then half the sales now.

by: toolguy

2 billion x 10 cents

eBay just gave itself a $200 million raise with the sweep of a keystroke. . .

by: Stone Cutter

It’s gonna be serious “cut-throat” from these e-commerce sites as consumers have changed their spending habits.  

by: iheartjacksparrow

eBay is always stating they "help you grow your business." With the fees they charge, it seems they are doing anything but.

by: ebayout

It's Machiavellian...whatever amount sellers decide to raise their rates, eBay gets (in my case) 13.25% of the increase.

by: ebayout

''Drafts of your listings will now be saved for 75 days after their last update.''
After 25 years of research, eBay has found a cure for insomnia.

by: Shanna

No credit card merchant processor has raised the processing fee, so why is eBay, other than to gouge their sellers, again. Ebay claims to be just passing off their own costs of credit card transactions to sellers, but first we need to note what those costs are. Most credit cards, like Visa and Master Card are going to charge a standard 2.9%, with American Express charging 3.9%. But when the merchant does volume sales, the processor will charge you less. Businesses processing over a million dollars a year generally pay 0.9%, or less. Ebay is processing a million a day, so they are already getting the best rates from credit cards, and even Paypal. So why are they charging sellers 2.9% plus no $.40? Because they can.

Just like they pay 50% for postage and then charge sellers the full amount, this is a huge profit maker for them. If they would just come out and admit it to their sellers, like they do their stock holders, it would clear the air and then sellers could make an informed decision on what platform is best for them to sell on.

by: toolguy

@Shanna

"Just like they pay 50% for postage and then charge sellers the full amount"

Where did you get this info?  You got a link? or is it just hearsay?  

by: lancecorp

Just started selling again and realized why I left a Ebay a year ago - fees higher than ever - buyers a pain to deal with. TG most of my items can be sold on Mercari or Etsy. Out of 4 items sold in the past month - I already had 1 return for bogus reasons.

by: toolguy

I just got a good laugh out of eBay this morning.

It's the 1st time I've noticed on my feedback that it says:

"Verified purchase" ~ Aren't they all  

by: toolguy

I wonder if a local pick up paid with cash would be marked as an

"Unverified purchase"?    

by: Snapped

Here’s a question actually on topic:  

Section 2 of the Sherman Act makes it unlawful for any person to "monopolize, or attempt to monopolize, or combine or conspire with any other person or persons, to monopolize any part of the trade or commerce among the several States, or with foreign nations . . . ."

eBay restricts payment processing to it’s own devices, creating a monopoly “against…part of the trade or commerce amount the several States, or with foreign nations”.  That “part” of commerce being payment processing.  eBay is now raising the fee for it -:by over 33%.  And sellers who wish to sell there, are likely well invested in selling there, have no choice in payment processors, thus no choice in that part of commerce via eBay, who “monopolizes” it.

Is this not what the Sherman Antitrust Act, PII was enacted to deter?

by: rhw1

Well, for me, looking at the Winter Update, I found as usual nothing that interests me. I dont send offers, nor do I accept them. I dont do drafts, except in the bar. Im not concerned with sell it faster, as I feel I price my items at a fair price, and I already take down, and relist at a lower price monthly, so 86 that bright idea. The interesting one to me is the two step crap. Only websites that get continually get hacked are turning to this. So as usual, NO benefit to sellers, only to ebay.  

by: COVID-19

"The higher fee will only apply to transactions over $10 (including shipping and tax)."

$10 (including shipping and tax) are the majority of transactions on SleazyBay. So basically a blanket fee increase.

by: Smallseller

Considering that the fee increase is when you actually make a sale, maybe ebay should fix the website search so that buyers can actually find your items and buy them. It would be an easier pill to swallow if the search was not messed up and ebay was not focused so much on revenue from promoted listings as opposed to trying to do something to help GMV which has been in a freefall for years. How much longer will Jamie be able to claim that his ''strategy'' is working? Are the board members that blind?

by: my2cents

@Shanna

I don't think the per transaction fee, which is fixed, has every had anything to do with Credit card fees, either for Ebay or PayPal.  I did not read where Ebay said it had anything to do with CC fees, but I most certainly could have missed it.  Do you have a link you could share?

Paypal now charged more than 2.9% and a 30 cent per transaction fee.  They raised their rates 2 or 3 years ago.  For US sellers the percentage is over 3 percent and the per transaction fee is just under 50 cents.

Where did you get the percentage that Ebay gets for their Shipping Label Service?  Many of us here have chased that info for years.  Please share where you got that percentage from !

by: my2cents

@lancecorp

How long has it been since you sold?  Ebay hasn't raised their FVF rate for well over 3 years, could be 4.  Well let me clarify that, when Ebay became the Money Processor for all sellers, our rates overall went up about 0.15% in most categories.

Before MP we paid 2.9% to PayPal and a 30 cent per transaction fee and Ebay charged 10.2% in most categories.  That equals 13.10%.  

When MP took over, sellers then paid 13.25% in most categories plus the 30 cent per transaction fee.

With this update, Ebay is NOT raising FVFs, but they are raising the Fixed Per transaction fee by 10 cents.

by: ThebigR

Do well on etsy and get clipped 26% when you have a off site sale thats close to having a no risk business partner...  

by: Shanna

@ toolguy ,

Several years ago, when Congress was debating the USPS's finances and told them they had to fund the retirement costs of retirees and not kick the can down the road, there was a Congressional public hearing where the Postmaster General was questioned by a Congressman about they deal they had with Amazon. It was a time when mailing were down, as many now paid their bills online, and USPS needed something to justify keeping their large, but not efficient, workforce. In came online sales packages. The Congressman asked the PG if the rumor was true that Amazon paid below costs for postage, as low as 20%. The PG replied that as an independent government agency, he did not have to disclose to Congress about contracts he entered into. But he never denied it. They were losing money delivering Amazon packages just to keep the workforce busy.

Now, I think you will agree, the people running ebay are not as smart as the people running Amazon. But they certainly entered into a similar agreement with the USPS, given their heavy volume of packages that went USPS, as most smaller sellers don't want the hassle of setting up a Fedex or UPS account, or to deal with the post delivery billing they provide. Do you think Stamps.com,Endicia, and others sell you a product they pay the exact same amount for? No, they are all getting a discount from USPS. When USPS started making bi-annual rate increases, Amazon sold sellers postage for the prior amount through the end of the year. You think Jeff Bezos just ate that cost out of the goodness of his heart?

@my2cents why do you think eBay pushes returns so hard? Because they make more on the postage than on the FVF.  How does a smaller platform like Mercari and Poshmark offer better postage rates than eBay? Because they are willing to share part of their big discount to attract new sellers. eBay will never give up that vig.