Ebay fees on shipping cost

Does anyone know if Ebay.ca has started to charge fees on shipping yet?  I just sold something that I listed on ebay.com and was charged 11.5% fee for shipping cost.  That is higher than I pay for final value fees.  This is just crazy.  I can't offer free shipping, and include shipping in the selling price, since the products I sell vary so much for shipping fees depending on destination, and I don't like to overcharge on shipping.  I am actually thinking of quitting selling here and going else where to sell.

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Ebay fees on shipping cost

"quitting selling here and going else where to sell"


 


Many sellers have done that already - more so if the shipping charge is a high percentage of the total transaction.


 


The FVF is calculated on the shipping charge of some transactions already.  Check the announcement for details.

Message 2 of 42
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Ebay fees on shipping cost

Starting April 19th, store owners have had to pay fvf on shipping on auctions. The fee should be 9%.



On July 6th, there will be fvf on shipping for everyone on both auctions and FP.

Message 3 of 42
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Ebay fees on shipping cost

"The fee should be 9%"


 


It varies by category.  I Pay 11%


 


Also, the FVF charged on shipping charge is not subject to the 20% rebate given Top Rated Sellers.

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Ebay fees on shipping cost

Pierre, sounds like you will be going elsewhere to sell too?  It's just outrageous what they are charging.  I know they are doing it because ebay was getting ripped off by some sellers selling things for 99 cents, and $100 for shipping to combat the high ebay final value fees.  But ebay seems to not care about the honest sellers like me and you that don't over charge for shipping, and make everyone pay for the ones that break the rules.  It's not right and all honest sellers should not stand for it.  The buyer also pays, because we as sellers have to get the money back for the fees, so in turn charge the buyer for the higher fees we pay.  So we got a break from paypal for expedited shipping, and now ebay is taking that discount back by charging fees on shipping.  Also paying 13% tax on shipping in Ontario now, instead of 8%.

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Ebay fees on shipping cost

It varies by category.


I Pay 11%



The OP is asking about shipping fvf that is being charged right now and that is valid only on auctions on non store ID's. As far as I know, auctions do not vary by category so you should be paying 9% on your non store ID and no shipping fvf on this ID until July.


Message 6 of 42
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Ebay fees on shipping cost

"sounds like you will be going elsewhere to sell too? "


 


NO  (no ifs and buts about it.  The answer is NO).


 


I am now semi-retired.  I have ended selling from my website at the end of last year, and reduce the number of listings in my eBay store by more than half already (now offering Canadian stamps only instead of worldwide).


 


I will absorb the extra cost (typically $0.22 added fees on a transaction under $25 where I have charged $2.00 shipping for years).  I do not expect to change my pricing or policies.  If I have 1,000 transactions a year where I pay the extra $0.22 in fees, I will not go broke. The majority of my transactions already offer free shipping and will not be affected negatively by the changes.


 


The change in fees really hurt two types of sellers (not me):


 


1) sellers selling only low priced items (under $3 for example)


 


2) sellers selling items where the shipping charge is a very high percentage of the total transaction.


 


eBay never stated it publicly but it is my understanding they simply want to get rid of those types of transactions.  Let's face it - eBay makes no money on $2 or $3 transactions.  The cost of maintaining the site cannot be justified by charging next to nothing to list and getting next to nothing when something sells.  It is a business decision on their part, and one that will cost them very little even if 10% of sellers walk somewhere else, assuming there is somewhere else to go to sell low priced items. 😞


 


On the brighter side, FVF are being reduced across the board (1% or 2% depending on categories) offsetting some or most of the FVF on shipping charge for many sellers.


 


When one stops for a minute to look at all the changes objectively (easier said than done) most Canadian sellers are affected negatively by the high value of the Canadian dollar much more than the fee changes at eBay. And there is little we can do about it.


 

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Ebay fees on shipping cost

It is worth taking a few minutes, regularly, to review eBay's checklist of changes (even I do get confused with all the changes from time to time):


 


http://pages.ebay.com/sellerinformation/news/Checklist2011.html 


 


Sellers are affected differently depending on:


1) What they sell (categories)


2) How they sell (fixed price or auction)


3) where they sell (different sites sites)


4) seller status (TRS)


5) with or without an eBay store

Message 8 of 42
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Ebay fees on shipping cost


Starting April 19th, store owners have had to pay fvf on shipping on auctions. The fee should be 9%.


 


On July 6th, there will be fvf on shipping for everyone on both auctions and FP.



pj, this should have read


 


Starting April 19th, non-store owners have had to pay fvf on shipping on auctions. The fee should be 9%.


 


 

Message 9 of 42
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Ebay fees on shipping cost

Oops....My mind was saying non store owners. Why the heck didn't my fingers cooperate!


:^O

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Ebay fees on shipping cost

portfelt
Community Member

On the one hand I hate it because I charge flat rate shipping and usually end up paying 1 to 3 dollars more than what I charge the customer. Now I have to pay a premium to eBay as well. On the positive side the vast majority of American sellers with rip-off shipping charges to Canada will actually take the time to realize that the difference in shipping rates is only about 20%.

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Ebay fees on shipping cost

Ok it's not 9% that I am paying it's 11% for fvf on shipping.  Most of my auctions are more than $3.  Right now because of the free listing fees for auction format on the .com site all my auctions are auction style listings with buy it now.  Even when the buyer uses buy it now, I am being charged the 11% fvf on shipping.  Pierre this may not affect you much because you ship all your items by lettermail so you are lucky.  Most of us don't have that luxury, a lot of my auctions are shipped by expedited shipping.

Message 12 of 42
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Ebay fees on shipping cost

"Pierre this may not affect you much"


 


As I stated earlier, I expect to ship about 1,000 shipments this year where $2.00 shipping charge will be charged to buyers.  That represents an extra $220.00 (1,000 x $0.22) in fees to eBay.  The FVF charged on shipping is NOT eligible for the TRS discount.


 


Other shipments are sent with "free shipping" where no extra FVF will be charged.

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Ebay fees on shipping cost


Ok it's not 9% that I am paying it's 11% for fvf on shipping. 



You do not have a store. So for auction listings, you pay 9%, not 11 %.


 


For Fixed Price listings you will pay the FVF for whatever the category you list in.


 


Here is the Seller Update page on the changes and the new Auction listing fees for non-store sellers.


 


http://pages.ebay.ca/sellerinformation/news/feeupdate2011.html#fc1


 


I agree that the addition of FVF's on shipping is bad.  It can add a significant amount to the FVF total. You will save the insertion fees on the first 50 listings so that is one benefit. Not much but something.


 


 


 

Message 14 of 42
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Ebay fees on shipping cost


You do not have a store. So for auction listings, you pay 9%, not 11 %.


 


For Fixed Price listings you will pay the FVF for whatever the category you list in.


 


Here is the Seller Update page on the changes and the new Auction listing fees for non-store sellers.


 


http://pages.ebay.ca/sellerinformation/news/feeupdate2011.html#fc1


 


I agree that the addition of FVF's on shipping is bad.  It can add a significant amount to the FVF total. You will save the insertion fees on the first 50 listings so that is one benefit. Not much but something.


 


Here is the current fee page for non-store owners. The new fee structure has been implemented for non-store owners so this page is more accurate than the previous link to the Spring Update announcement.


 


http://pages.ebay.ca/help/sell/fees.html


 


But-It-Now for auction listings is free for the first 50 auction listings. Nowhere does it state that using the Buy-It-Now feature in auction listings will change the FVF rate from the 9% to the different category FVF rates. Where do you see that?


 


PS I am trying to help you understand the new fees. I am not trying to upset you.  Please read the fees page for non-store sellers. It is not as bad as you currently understand.


 


Shipping FVF's are an extra burden to all sellers.  At least it applies to all sellers so everyone is affected.

Message 15 of 42
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Ebay fees on shipping cost

Really this is just another eBay move to smooth out the landsape for corporate sellers.



It actually benefits us because most of our shipping is already free. But there are many sellers in our categories selling items along the lines of $1 or $10 with $60 shipping. Some of these may be discouraged from using these tactics so blatantly. Then again, many are from Asia so don't know how their fee structures are affected.



Over all it will be an irritant for some sellers, may be the last straw for some, but (for once) doesn't affect us too much.



But I believe the real reason again, is to make life easier for corporate sellers, who can't really compete with that misleading tactic of listing at a low price with a huge shipping charge.

Message 16 of 42
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Ebay fees on shipping cost

I've newly started to sell on ebay , and realized that they started charging on shipping too. that's not fair at all, plus u have to pay for paypal plus the regular final value fees, plus u must pay for the packaging plus your invested time to prepare a package , to ship.


ur getting up doing all the leg work while ebay is making more profit on each item than sellers.



That's not the best way to fight sellers that charge very high shipping costs to avoid ebay fees,  they can simply block their accounts after 3 attempts of placing items with very unreasonable shipping costs.



Too bad, i guess many Top sellers would end up moving their business elsewhere, and new sellers like me to have hard time making some money and end up quitting .



Message 17 of 42
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Ebay fees on shipping cost

Well, it may not be fair, but it is what we agreed to. And since your competitors have the same fees charged (including those sketchey characters with the $100 shipping on a 99 cent item) it is being fairly applied.


 


The question you have to ask is, can I sell "this" item profitably here? The new shipping FVF has made selling some low-cost but bulky items difficult. For example, one longtime poster here sold vintage radios. The collectors pay flea market prices but because the items are heavy, bulky and fragile, shipping has become very expensive.


And it depends on the category and the customer. My products (books, patterns, postcards) are generally lightweight and easy to ship, plus my customers tend to read descriptions. Some clothing is also fine and DVDs, but sportscard sellers have customers who are not only testy, but used to Free Shipping.


Read all the rules carefully. Not everyone is aware that the 9% charge is based on the lowest of the domestic and the international rate for cross-border sales, for example. This could mean your competitors are overcharging and you look good by comparison.

Message 18 of 42
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Ebay fees on shipping cost

By the way, since new sellers have a hard time building their reputations, could I suggest that in addition to the stock photos of your products, you add a photo that makes it clear you have the item in hand?


It can be blurry or poorly composed, but it shows you are not a dropshipper or a scammer selling photos instead of product. The dining room table is fine, use a fancy tablecloth and maybe a floral arrangement. The purpose is to build confidence.

Message 19 of 42
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Ebay fees on shipping cost

"That's not the best way to fight sellers that charge very high shipping costs to avoid ebay fees, "


 


???


 


eBay wants to charge fees on the total amount of the transaction, like its major competitors.


 


When the rules were changed, eBay decreased the percentage charged for Final Value Fees. Some sellers did benefit by the lower FVF being charged while others end up paying higher fees.


 


Based on the items you sell, YOU ARE NOW PAYING LOWER FEES than you would under the old fee system!


 


What exactly do you want?  eBay to return to the old system where they will charge you higher fees?

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