04-11-2013 05:13 PM
If I list item on dot com with shipping cost $3 to United State and free shipping to Canada, how much FVF on shipping if bought by US buyer? Is it 0 or $0.3 (10% of $3)?
Thank you in advance for reply.
04-11-2013 05:23 PM
$3
04-11-2013 06:53 PM
FVF on shipping is based on your lowest published rate. Your FVF on shipping is zero in this case.
04-11-2013 07:25 PM
Shipping FVF is based on the lower of the first domestic shipping cost or the shipping cost for the international countries (Canada).
Since the OP listed on eBay.com USA site, the first domestic shipping cost is the USA at $3. Even though the shipping cost to Canada is free and it has no shipping FVF, the USA has a shipping cost so a shipping FVF will be charged for the USA buyers. If there are other International countries outside of Canada, then the first USA shipping cost will be used if it is less than the listed cost for that International country.
As for the FVF rate, it will be whatever is applicable for the type of listing (auction or FP) and or category used (FP). If an auction and non-store it is 9%. If a Fixed Price listings, then whatever rate for that category. If the price + shipping exceeds $50, the lower second tiered rate will be used.
04-11-2013 08:50 PM
Listing on eBay.com
FVF based on $3 for US buyers... FVF based on lowest domestic shipping
Even though you live in Canada, this is so because your listing on .com treats you as a US seller.... and domestic shipping is $3... not zero
FVF to Canadian buyers would be based on the zero shipping cost....free shipping
Most interesting...
Because if listed on eBay.ca
The FVF is calculated based on free shipping... $0 for both Canadian and US buyers!!!!!
as per eBay's definition... and no FVF on shipping this item.. to US or Canadian buyers.......or any other buyer worldwide.
Could be another reason to list on eBay.ca
Imagine listing on eBay.com when shipping is $35 for US buyers and about half that, at $17 for Canadian buyers....bought by a US buyer and FVF is calculated on the $35 cost for shipping......
And since shipping elsewhere, other than Canada or the US, is usually higher than shipping to the US....... then FVF would be calculated on the $35 for US buyers....
IF listed on eBay.ca then FVF will always be calculated on the $17 cost for shipping for all buyers worldwide.....
04-11-2013 09:03 PM
That is not what I was told by eBay Canada mgmt at eBay On Location in Las Vegas April 2011. They told me, directly, that the FVF is based on your lowest published rate.
List on dot com with zero to Canada and $3 to the USA, you pay FVF on the zero.
04-11-2013 09:38 PM
"They told me, directly, that the FVF is based on your lowest published rate."
They were wrong or misunderstood the question.
FVF is based on the lowest domestic shipping rate
When listing on eBay.com domestic means USA.
I expect the folks at eBay.ca wanted you to list on eBay.ca, not eBay.com
04-12-2013 06:15 PM
Actually Pierre, there was no question. I was advised to set shipping at $0 for ANY market and that is what the FVF would be based on. That info was volunteered in the course of a conversation.
The reference was to the lowest rate I publish, not the lowest domestic rate. Mind you, as I list on dot com, all of my rates are based out of the USA. The three shipping choices I use are "Flat rate in the USA" "Flat rate TO Canada" "Flat rate TO world wide".
04-12-2013 06:53 PM
My understanding is that the FVF on shipping has always been on the lowest domestic rate.
Could it be that the definition of "domestic" is based not on which site you list a particular item, but where you are registered, i.e. if registered on eBay.ca, domestic will always mean the rate shown for Canada?
04-12-2013 07:52 PM
I'm registerd in ebay.ca and most of the time list on CA.
I learn start on May if I open basic store I can list 150 on CA and 150 on COM for free.
So base on the FVF on shippin if calculated different on dot com, I will choose which is which to list on CA or COM so I will pay as little as possible 🙂
04-12-2013 08:07 PM
My understanding is that the FVF on shipping has always been on the lowest domestic rate.
Could it be that the definition of "domestic" is based not on which site you list a particular item, but where you are registered, i.e. if registered on eBay.ca, domestic will always mean the rate shown for Canada?
Domestic shipping is based on the site.
If you list on eBay.ca, then domestic is Canada. On eBay.com USA, domestic is USA. On eBay.co.uk, domestic is the UK. And so on.
Nothing to do with what country you live in or what country you are registered in.
04-12-2013 08:14 PM
If I may reiterate. I was told "lowest rate".
04-12-2013 08:45 PM
How the FVF on shipping is done is not documented in eBay help files. This was brought up in one of the first weekly sessions and eBay pinks said they would update the help files to explain how it is calculated.
In an eBay listing, shipping FVF for International is based on the lowest of the FIRST domestic shipping cost or the international shipping cost.
For example, an item listed on eBay.ca
An item is 100 grams packaged and less than 2 cm thick.
Domestic Shipping has one option
Lettermail Oversize at $1.50
International shipping is setup with two options
Light Packet USA at $3
Light Packet International at $5.
No matter where the item is sold (Canada, USA or rest of the world), the shipping amount used for calculating FVF is $1.50.
Now let us take the above example and list on eBay.com USA.
Domestic shipping
Standard shipping from outside the USA $3
International shipping has two options
Canada - Standard Int'l $1.50
World - Standard Int'l $5.00
Now the Shipping FVF for domestic (USA) is based on $3. For Canada it is based on the the $1.50 (lower). For the world it is based on the first domestic amount of $3, not $5, because it is lower of the two.
Now one important thing is that the shipping FVF amount used is the FIRST domestic shipping cost listed. So if you have two domestic services, one a low priced service and a higher priced Express service, make sure that the lower one is the first domestic shipping amount. Otherwise if the higher amount is used first for domestic, then it will be used for comparing your international rates and not the lower domestic because it is listed second..
Remarks
1) Special case of calculated shipping. If your first domestic shipping option is a calculated shipping option like Expedited Parcel Canada on eBay.ca, eBay uses the cost of shipping to your own postal code. For me, this is typically around $8 for a 1 kg package. So if the item is sold to the USA and shipping is say $16 for Small Packet Air 1 kg, then you would pay only on the $8 domestic shipping amount. If the item was say 250 grams and could go $7.80 and you charged $7.80, it would be used instead of the first domestic at $8 saving a few cents.
This is my understanding of how shipping FVF works. If anyone has more to add, please do so.
04-12-2013 08:46 PM
If I may reiterate. I was told "lowest rate".
That proves that you can't believe everything that you are told. ]:)
Pierre and Poco are correct.
For example item 271168500308 which was listed on .com was sold to a buyer in Singapore.
Shipping to the U.S. was 9.65
To Canada 6.95
Other - 39.00
The bag was over $50 so the shipping cost was based on 8%.
In my account information it says that I was charged .77 based on a shipping cost of $9.65 which is the U.S. rate. If I had listed on .ca, I would have been charged based on $6.95 instead of $9.95.
04-12-2013 08:48 PM
If I may reiterate. I was told "lowest rate".
I suspect that some eBay pinks do not know how the shipping FVF is calculated when it comes to the finer details of how it is done. Or even if they do know, when discussing it with a seller, they give a simple explanation because the detailed explanation is slightly complicated to explain.
04-12-2013 09:06 PM
When the new fees come into effect May 1st, many sellers will be paying more in shipping FVFs if the item is over $50.
The current fee rates for Fixed Price and store auctions are based on a tiered rate that drops when the amount is over $50. Non-store auctions have a flat rate of 9% and is not tiered.
Currently, if you have a Fixed Price listing with a price of $100 and a shipping cost of $25, then the $25 is charged at the lower second tier rate. A small detail that many sellers missed in the way shipping FVFs are calculated.
For example, if you sold an item in a category where it is 11% on the first $50 and 6% on the amount over $50 and 2% over $1,000 then the FVF rate used would be 6% for the shipping cost.
Under the new fees May 1st, if we assume this category falls into the flat 9% rate, then the shipping FVF rate will be 9% on the $25 resulting in more shipping FVF paid.
So the dreaded shipping FVF amounts will increase for many sellers when the price is over $50 for most categories. Some categories like Computers have an incredibly low FVF rate of 4% so there will only be savings there.
04-12-2013 09:15 PM
Definitely...
A very good reason to list on eBay.ca