eBay fees nearly 20% total

[jonik247]

I have been selling on eBay for more than 12 years and this year is don’t make profit at all through eBay, because of covid the sale went down and their fees went up so much. As the don’t use PayPal they charge fees total to 20%. So we have to be aware of their fee before selling. Thinking that they are cheap things to buy on eBay, we cannot do it anymore . We have to sale extra 20% to cover the fee they charge. It’s ridiculous. I may think to quit eBay for good. Because you are working for them instead for your self. 

[jellybirddesigns]

Closer to 14.5% for me without a store subscription.

Yours would be around 13.4% as you have a store.

If you are paying for promotions, subtitles etc, then yes, your percentage will be higher.

[jellybirddesigns]

Give us the breakdown of the last transaction you made. What was the total selling price, including postage, and what was the nett figure dispersed to you.

[davewil1964]

Is there any particular reason why you didn't consider fees pre-COVID? Is there any particular reason why you can't do simple maths to determine you actual fees?

Is there any particular reason why you are posting verifiably false information on the boards?

No sympathy from me.

[imastawka]

I think your sales have gone down, not because of Covid, but because you're selling take- away containers/bags made of plastic.

People are moving away from plastic use these days.

And no, your fees are not 20%

[bmanly3]

As the don’t use PayPal they charge fees total to 20%

---

@jonik247 wrote:

 As the don’t use PayPal they charge fees total to 20%. 

---

Before the managed payment system, it was a ebay fee plus a PayPal fee which for me came to 13.9%. Now you don't get a separate fee for PayPal and ebay has a total payment fee of 13.4% + .30c.  The fee has actually come down for a lot of people by .5%. Where you might be experiencing a slight increase of fees is if before they paid you straight into you bank account and avoided all PayPal fees. If that is the case it might have gone up around 2% for you but the total fee is no where 20%, more like 13.4%. 

[rocket2retro]

Although, as others have mentioned, your fees should be 13.4% the real cost of selling on eBay is considerably higher. There is the percentage applied to the postage. If you sell an item for $100 & the postage is $100 you are paying 13.4% twice. On top of that there are your store fees. For me (on my featured store level with my sale volumes)  this amounts to an additional 50 cents for every item sold. 

The other thing that increases selling costs are returns and replacements which are usually funded out of the seller's pocket.

[janeababe]

I had a quick look at your listings. 

Mate, you sell items mostly targeted at cafes, restaurants, take away shops, food vans etc. 

Covid has almost wiped that industry out over the past two years. They are just getting back on their feet now, really, so obviously, as we see some normality return, so will the hospitality industry.

Also, your postage costs seem quiet erratic and there doesn’t seem to be any pattern to it.
Some smaller items, P&H up to $30, while a similar item in weight might be free P&H.  
Just work out a steady balance and offer free postage. (Or, free postage on sales over blah blah $) 

I would also state in the description of your bulk plastic food containers that they are recycled and recyclable plastic. (For the greenies) 

Get rid of your tough reusable singlet style plastic bags. Unless they are biodegradable, I think (not positive and I’m not researching it for you either) I think they are a banned item now. But like I said, I’m not double checking that info.  BUT… folk ARE more aware of the environmental impact they cause, so they wouldn’t be hot off your shelves I can’t imagine. 

If all that’s too hard, then you have some serious decisions ahead of you. 

[chameleon54]

Rocket is the first poster to provide any sort of accurate summary on this thread. This load of twaddle ( from a poster who tells others to do their simple maths ....... LOL ) is a good example of the rubbish new posters have to put up with when they come to the boards for help.

Is there any particular reason why you didn't consider fees pre-COVID? Is there any particular reason why you can't do simple maths to determine you actual fees?

Is there any particular reason why you are posting verifiably false information on the boards?

No sympathy from me.

Unfortunately too many posters here choose to ignore what is really happening on ebay, spouting off base figures while missing the side hustles that are driving growth in ebays fees. The op was correct in indicating ebays take from of our sales continues to rise.

The only true and accurate guide we have as to what is really going on is in eBay's reports to the stock exchange community. This direct quote from the last published report gives an indication ......

" The managed-payments efforts helped drive the sixth-straight quarter of double-digit growth in transaction revenue "

Yes that is what it said.   " sixth-straight quarter of double-digit growth in transaction revenue " 

Double-digit growth in transaction revenue . ....The growth is not just coming from managed payments and the published fee structure. It is coming from extra fees charged for visibility. No extra fee, low visibility, low sales. It is coming from classing some sellers as below standard ( either fairly or just as victims of circumstances )  and charging them extra fees on every transaction. It comes from not refunding fees when complications arise during a transaction. It comes from keeping FVF when a listing is removed when ebay deem it does not comply with listing policy, often incorrectly. On one of my listings that was recently removed ( yes CS confirmed it complied ) the FVF was over $50. I had to phone CS and point out the mistake in order to have the money refunded. Transferred to this department and that department it took half an hour ! It comes from keeping some fees when refunds are given to help our customers out

Etc. Etc.Etc.

The upshot. ........Those who complain that it is becoming more expensive to sell on ebay are factually correct and those who claim it is not the case are simply providing " verifiably false " information.

[p9games]

>>> The upshot. ........Those who complain that it is becoming more expensive to sell on ebay are factually correct and those who claim it is not the case are simply providing " verifiably false " information.

Since the introduction of Managed Payments the fees are about the same, or lower in most instances.  Additionally, having infinite insertions saves me several hundred dollars a month in insertion fees.  The convenience of weekly payouts direct to bank account makes everything much simpler.  Payments are like clockwork and I don't have to deal with Paypal which is fantastic.

The % being taken by Ebay has not materially changed, so Ebay posting results showing an increase in revenue simply means more sales via the platform.   That's good for sellers. Actually, it's great for sellers and undercuts the narrative from individual sellers whining about decreasing in sales blaming the platform rather than their own practices.

Sellers leaving the platform are in for a rude shock when they realise having their own website costs more than 13% when you factor in design, software and marketing costs.  Amazon fees are higher and no other market place is as sophisticated in terms of API and software compatibility.

Ebay provide a huge marketplace with decades of brand equity.  It is a highly mature marketplace in terms of software integration.  Traffic, buyers and sales are up.  13% is not unreasonable at all.  I welcome them tightening up customer service metrics.  The platform benefits from weeding out the rat and mice sellers which detract from the platform and negatively impact genuine sellers.

If you don't like the platform leave.  But if you expect the grass to be greener elsewhere you are likely to be in for a shock