May 2013 Fee Structure Changes

[CmtyGuide@ebay.com]

eBay will be introducing a new fee structure on May 1, 2013.

For some sellers fees will be going up, while others will see notable reductions.  We encourage you to take the time to visit the newly launched Seller Centre to see how the changes will affect you (http://sellercentre.ebay.com.au/fs5).

You will notice that to offset the fee change, we have worked to remove the major barriers to listing and have continued to reduce upfront fees to make selling on eBay easier and fairer. Most sellers should only be paying fees on an item after it sells – not before.

Your fees contribute to eBay’s ability to significantly invest in the overall experience for both sellers and buyers.  Enhancements on the buyer side of the equation are aimed squarely at driving traffic to your listings and ensuring the 7.3 million Australians who visit the site every month continue to do so. For example, investments in marketing, social media promotions and mobile commerce applications helped sellers to capture a greater share of online sales in 2012 and saw a 21% year on year increase of visits to eBay.

After reviewing the changes it should be clear that the new fee structure also encourages sellers to adopt the behaviours that we know buyers increasingly prefer (eg: fixed price over auction in some categories) – therefore increasing your chances of a successful sale.

In 2013 we will be working even harder to respond to the rapid pace of change in our industry and to ensure you are taken along on the journey. You will see a number of innovations announced in the coming months and throughout the year which support all of our sellers, no matter what their size or business aspirations.”

[gsmcoverage]

Wasnt the point of having no FVF on postage to show that EBAY was not from profiteeting on postage costs and to make sure that the postage amount listed was reflective of actual cost - thus protecting buyers from inflated postage costs?

As a mum/dad seller I generally Auction only and load the postage with packaging cost+10% of what I think the final sale price will be to cover FVF and Paypal fees but I know this is frowned upon generally.

But I am not a charty in the end posting something off say sold auctioned for 99c (baby clothes or somehing equally mundane) - postage 8,95 prepaid bag cost. If you work out the FVF its 98c making the excercise pointless generally . Add the paypal fee and you have made a loss. 

Really you have to make auction starts at least $2 now and load your postage up even more. 

What a pain in the ass. 

[davewil1964]

And you dragged up LAST YEAR'S fee structure changes because?

[sparrow2207]

One of ebay's own rules is that "you cannot profit from postage" BUT seems ebay's own rules do not apply to ebay.

They are now going to profit from something that has absolutely nothing to do with ebay and everything to do with Australia Post.

Everyone will have to increase their postage/listing prices by 10% to actually be able to pay for a service provided by a Government company.

SHAME ON YOU EBAY FOR FINDING ANOTHER WAY TO RIP EVERYONE OFF

[davewil1964]

And you dragged up LAST YEAR'S fee structure changes because?

[k1ooo-slr-sales]

gotta love really old threads   . . . . . .even when they have nothing to do with impending changes that will happen THIS YEAR

[thecatspjs]

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@diamond-halo wrote:

eBay is a business. The general goal of operating any business is to maximize profit. Profit margins and bottom lines are rarely forgone for the sake of loyalty or nostalgia.

Some businesses like to pretend that they do, but the reality is very different. What is discussed in the board room will always be different from what is actually disclosed.

Economics 101. Demand and Supply.

eBay believes there is a demand for their service, so they determine the price at which they are prepared to enter the market to supply that demand.

It's exactly the same principle when people say "it's not worth it". You have determined that you are not prepared to enter the market at a particular price because you don't believe that your profit margin will be sufficient when all factors are considered.

That's business. That's capitalism. That's a free market.

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Um ..... this is not about business basics for learners or economics 101, business models and strategies for success are not just premised on supply and demand, they include a commitment to, and strategies to, build and increase customer satisfaction, customer loyality and general respect and credibility, among other things.

Adapation through squeezing every cent out of customers that you can (by unethical means IMO) and killing satisfaction, loyality etc etc are not factors that are sustainable overtime IMO.  

[davewil1964]

True.

This is about eBay's 2013 fee structure changes having nothing whatsoever to do with eBay's 2014 fee structure changes.

Which you doubtless knew, as you would never reply to a year old post otherwise.

[thecatspjs]

Maybe its time to move on re dead threads.

It is a eBay / Lithium failing that when newer or occassional posters search a thread that older ones come up.  I think it is a bit rich to expect non-regulars to know that and I think it is against the values of the discussion boards to post commentary that may serve to deter them from posting.

My suggestion is to report the issue to moderation and/or eBay so a fix can be implemented, and that regulars cease the current process of making comments that may be perceived as unwelcoming.  Perhaps providing a more recent link to the topic they are posting on would be helpful 

[*crikey*mate*]

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@thecatspjs wrote:

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@diamond-halo wrote:

eBay is a business. The general goal of operating any business is to maximize profit. Profit margins and bottom lines are rarely forgone for the sake of loyalty or nostalgia.

Some businesses like to pretend that they do, but the reality is very different. What is discussed in the board room will always be different from what is actually disclosed.

Economics 101. Demand and Supply.

eBay believes there is a demand for their service, so they determine the price at which they are prepared to enter the market to supply that demand.

It's exactly the same principle when people say "it's not worth it". You have determined that you are not prepared to enter the market at a particular price because you don't believe that your profit margin will be sufficient when all factors are considered.

That's business. That's capitalism. That's a free market.

---

Um ..... this is not about business basics for learners or economics 101, business models and strategies for success are not just premised on supply and demand, they include a commitment to, and strategies to, build and increase customer satisfaction, customer loyality and general respect and credibility, among other things.

Adapation through squeezing every cent out of customers that you can (by unethical means IMO) and killing satisfaction, loyality etc etc are not factors that are sustainable overtime IMO.  

---

for the moment, eBay disagrees with you. I daresay that they believe that their business practises are sustainable over time. I really doubt that the suits had a chat over coffee one morning and said "hey, what can we do to drive eBay into the ground and ensure it's decimation"?

I would think that the far more likely scenario would be a series of formal meetings and informal meetings such as think tanks etc and a subsequent delegation of duties to gather statistics, advice, suggestions etc etc would have occurred. They would have sought advice across many areas including current and projected statistics and global performances and trends. Undoubtedly they also consulted legals.  heck, they might have even had someone draw up a pro and con list! You know, just for kicks!

Naturally I also disagree with you, as it appears that I have a level of understanding about business practises that you are yet to grasp.

regardless of how you view your online enterprises, the facts are that by entering into contracts for the sale of goods and services you are operating a business, even if you class it as a hobby, so business basics and economics basics are always extremely relevant.

business models and strategies for success are completely determined by supply and demand.

if customer satisfaction, loyalty etc falls, then there will also be a decrease in demand. If demand falls, then supply will obviously need to decrease too.

Let me know if you need any other help understanding basic business principles, I'll be extremely happy to help you learn a few facts on which you can base your opinions for future use.

[digital*ghost]

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@diamond-halo wrote:

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for the moment, eBay disagrees with you. I daresay that they believe that their business practises are sustainable over time. I really doubt that the suits had a chat over coffee one morning and said "hey, what can we do to drive eBay into the ground and ensure it's decimation"?

I would think that the far more likely scenario would be a series of formal meetings and informal meetings such as think tanks etc and a subsequent delegation of duties to gather statistics, advice, suggestions etc etc would have occurred. They would have sought advice across many areas including current and projected statistics and global performances and trends. Undoubtedly they also consulted legals.  heck, they might have even had someone draw up a pro and con list! You know, just for kicks!

Naturally I also disagree with you, as it appears that I have a level of understanding about business practises that you are yet to grasp.

regardless of how you view your online enterprises, the facts are that by entering into contracts for the sale of goods and services you are operating a business, even if you class it as a hobby, so business basics and economics basics are always extremely relevant.

business models and strategies for success are completely determined by supply and demand.

if customer satisfaction, loyalty etc falls, then there will also be a decrease in demand. If demand falls, then supply will obviously need to decrease too.

Let me know if you need any other help understanding basic business principles, I'll be extremely happy to help you learn a few facts on which you can base your opinions for future use.

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This is all pure speculation based on the assumption you know what eBay's motivations and end goals are. 

You don't, so even though you might be looking at what you think are the most logical conclusions, I don't think it's a good idea to attempt to "educate" long-term business owners about it on eBay's behalf.