The Godfather
Just Business
"Get up to 15% discount on Final Value Fees (or Transaction Service Fees) when you maintain high detailed seller ratings (DSRs) as a US or Canadian PowerSeller on your eBay.com, eBay Motors and eBay.ca sales. These discounts recognize and reward sellers who consistently provide excellent customer service on eBay."
I love how they try and sweet talk us into thinking we are getting a deal somehow. Lets break it down.
To be a power seller you have to have sold at least 100 items with a value of $1000 total in the last 3 months.
For the sake of easy math lets say you sold 100 $10.00 dollar items. To reach that goal ebay would receive $112.00 dollars or 1.12 cents in FVF under the old fee structure for their services in your auctions. (straight auction no picture etc. 5.25% FVF and .60 cent listing fee) Under the new fee structure if you a DSR rating of 4.6 or higher as a power seller you will get a 5% discount on your FVF 4.8 you get 15%. So we sold the the 100 $10.00 widgets under the new program the new fee if your just a regular joe and not a power seller is $142.00 (straight auction no picture etc. 8.75% FVF and .55 cent listing fee) if your a 4.6 dsr or higher it's $138.00 and if your a 4.8 DSR or higher its $129.00 which is still a $17.00 dollar increase in fees if your a top seller etc.
So lets do a compare with a gallery see how they come out.
Listing fee with gallery
Old fees .60 cents listing .35 cents gallery plus 5.25% on a $10.00 dollar item total fees for a successful completed auction $1.47
New fees .55 cent listing fee "free gallery" plus 8.75% on a $10.00 time. Total fees for a successful completed auction $1.42.
One more time with higher numbers a $1,000.00 item rare for SS collectors but not that rare.
Straight auction no bin etc but with gallery assume it's listed for $1000 sells for a $1000 .
Old fees $5.15 for listing with gallery 5.25% of the initial $25.00 = $1.31 plus 3.25% of the remaining closing value balance ($25.01 to $1,000.00) = $31.68
Grand total old fees $38.14
New fees 4.00 for listing with free gallery 8.75% of the initial $25.00 = $2.18 plus 3.50% of the remaining closing value balance ($25.01 to $1,000.00) = $34.12
Grand total for new fees $40.30
Math is a funny thing isn't it. I wonder how many high priced items sell on ebay a day compared to lower priced items. I bet e-bay knows!
Now with the new feedback system and there being almost no recourse for the seller towards the buyer how many sellers do you think are going to be able maintain the higher level DSR while at the same time dealing with several customers that no longer have the fear of getting a negative for bad behavior. Such as paying late making unreasonable demands etc and they are out there trust me just as many if not more than there are bad sellers. The seller not only has to take into account all of those aspects but also the risk of now getting their accounts flagged by paypal and funds held for 3 weeks is an insane move by paypal and ebay IMO. The increased numbers of Non Paying bidders sellers are going to see scares me.
If there ever was a time for someone to step up with a viable alternative to feebay monopoly. Like Amazon, Overstock, google someone anyone that time is now.
Sorry for the rant I was just crunching the numbers and figured it would make a good post.
I love how they try and sweet talk us into thinking we are getting a deal somehow. Lets break it down.
To be a power seller you have to have sold at least 100 items with a value of $1000 total in the last 3 months.
For the sake of easy math lets say you sold 100 $10.00 dollar items. To reach that goal ebay would receive $112.00 dollars or 1.12 cents in FVF under the old fee structure for their services in your auctions. (straight auction no picture etc. 5.25% FVF and .60 cent listing fee) Under the new fee structure if you a DSR rating of 4.6 or higher as a power seller you will get a 5% discount on your FVF 4.8 you get 15%. So we sold the the 100 $10.00 widgets under the new program the new fee if your just a regular joe and not a power seller is $142.00 (straight auction no picture etc. 8.75% FVF and .55 cent listing fee) if your a 4.6 dsr or higher it's $138.00 and if your a 4.8 DSR or higher its $129.00 which is still a $17.00 dollar increase in fees if your a top seller etc.
So lets do a compare with a gallery see how they come out.
Listing fee with gallery
Old fees .60 cents listing .35 cents gallery plus 5.25% on a $10.00 dollar item total fees for a successful completed auction $1.47
New fees .55 cent listing fee "free gallery" plus 8.75% on a $10.00 time. Total fees for a successful completed auction $1.42.
One more time with higher numbers a $1,000.00 item rare for SS collectors but not that rare.
Straight auction no bin etc but with gallery assume it's listed for $1000 sells for a $1000 .
Old fees $5.15 for listing with gallery 5.25% of the initial $25.00 = $1.31 plus 3.25% of the remaining closing value balance ($25.01 to $1,000.00) = $31.68
Grand total old fees $38.14
New fees 4.00 for listing with free gallery 8.75% of the initial $25.00 = $2.18 plus 3.50% of the remaining closing value balance ($25.01 to $1,000.00) = $34.12
Grand total for new fees $40.30
Math is a funny thing isn't it. I wonder how many high priced items sell on ebay a day compared to lower priced items. I bet e-bay knows!
Now with the new feedback system and there being almost no recourse for the seller towards the buyer how many sellers do you think are going to be able maintain the higher level DSR while at the same time dealing with several customers that no longer have the fear of getting a negative for bad behavior. Such as paying late making unreasonable demands etc and they are out there trust me just as many if not more than there are bad sellers. The seller not only has to take into account all of those aspects but also the risk of now getting their accounts flagged by paypal and funds held for 3 weeks is an insane move by paypal and ebay IMO. The increased numbers of Non Paying bidders sellers are going to see scares me.
If there ever was a time for someone to step up with a viable alternative to feebay monopoly. Like Amazon, Overstock, google someone anyone that time is now.
Sorry for the rant I was just crunching the numbers and figured it would make a good post.
