Hi,

All this depends on what you are selling and whether you are working your business as a full time, part time or as a hobby business. There are many more factors as to why sellers have higher postal costs.

If you don't include your handling costs like you would do in a retail setting you could quickly find that you will go out of business.
Postal does need to include what it costs you to run your every day ebay business. Sellers still need to include costs for running their business from home including and covering general utility or petrol costs. Not all of us live in the city where services are close to us and these small costs can mount over a month and need to be paid for.

I'm sure there are some excessive postal prices out there, but on a general basis you are not just charging for the postal satchel. I would like the postal and handling to be clearer to customers myself even itemized so customers realize the break down. I'd also like customers to be able to see end of auction fees that both ebay and paypal charge a seller after an auction. Then I believe transactions and postal charges become transparent.

We started with second hand books and now work our business full time and there are many aspects that effect our daily cost of operation.