How can ebay take a fee for shipping?? That means I lose money!!

[qualitystuff41]

That doesn't seem right for ebay to take a final value shipping fee. I charge what the post office requires,so I lose money every time!! BS

[ypdc_dennis]

ZOMBIE question from 2012

[dmil8030]

The reason ebay takes a fee from shipping as well as item price is because in the old days too many sellers would charge 99 cents for their item but 80 bucks for shipping.  That way, the total cost to the buyer was the same but the seller only paid fees on $1.  Obviously that couldn't last.  So in an effort to ensure the fairest playing field possible, they charge fees for everything.

It is wonderful that you endeavour to keep your fees reasonable when so many see the shipping section as the opportunity to dig a few extra bob out of the buyer, -- but you ought not to 'lose', as you say.  Meaning you will want to add a pinch more to your shipping and handling cost, - you are allowed a 'handling' fee.  Plus you will want to add a teensy pinch for 'self-insurance' (also allowed on ebay Canada), for those rare times when someone files a false 'not received' claim.

If ebay charges the fee for the total amount you take in, how you split it up is your choice.  Well, like those "Free Shipping" listings.  Nothing rides for free, but the seller pays the same fees whether the incoming amount is split into two or just one.  Free shipping can be fun for buyers and makes calculating the best buy much easier, but I suspect most people prefer an honest shipping charge that reasonably resembles the actual cost.  Cost, in this case, includes the box, the bubble wrap, the padded envelope, etc.

So there's no need to lose money.  Just fiddle your prices around to find the most salable presentation.  Some sellers even have a bit of everything.  Find what works best for you.

[tyler@ebay]

Hi everyone - due to the age of this original question, I've blocked it from further replies. 

Thanks!

[ariesofthenorth]

you could add a little more to the cost to help cover the extra fees

remember when sellers use to list items for .99 cents with $20 shipping,  its considered fee avoidance. thanks to them ebay started charging a fee on shipping years ago.

[ok_so_im_50]

A few years ago before I knew ebay was going to charge a fee on shipping, I had reported a lot athletic shoes listing that seem to be from the same seller under two different IDs. The shoes were listed at 99 cents but had $150, $200 etc., for shipping. At the time, I was wondering why ebay did not remove these listings or at least warn the sellers and have them lower the shipping. This had happened in the past so I expected it again but the shipping was still $200. It wasn't until a few months later when ebay announced the fee on shipping is when I understood why nothing was happening. I wish I had kept the sellers name to see how or if their shoes are being listed now.

[femmefan1946]

If all you charge is what the Post Office charges you, you lose money even before the shipping FVF.

Bubblewrap ain't free.

You should be charging the cost of packaging, the GST on postage, the fuel surcharge on postage, and in some cases a small premium for self-insurance against loss or damage in transit*.

And the FVF.

All of this would add less than a loonie to your S&H. The handling fee can be added automatically when you set up your shipping preferences. It is on the same popup "Options" menu as metric measurements and blocked destinations.

The shipping FVF is based on your first listed DOMESTIC shipping charge. So if you offer Free Shipping to Canadian buyers, you will not pay any shipping FVFs even if you charge your overseas customers $100. to get their purchases to them safely.

Or you could tuck most of the DOMESTIC shipping into the asking price and then adjust foreign rates to allow for that. Again the shipping FVF will be charged on the basis of that Domestic rate.

*Most Canada Post services are automatically insured for up to $100 against loss or damage in transit. Only the Letter/Light Packet services are not.

[cumos55]

There was once a time when eBay increased the Final Value Fee (FVF)  to about 15 %

The FVF was only applied to the price of the sold item..

Sell something for $30  with $20 for shipping...

With FVF at 15 % the FVF would be 15 % of $30 or   $4.50.

Some sellers dropped the price of an item for sale  to a very low value  but increased the cost of shipping... such as ....The item sells for $5.00  with a shipping cost of $45.... eBay's collected fee becomes 15 % of $5   calculated as  75 cents.

eBay's response was to reduce the FVF to 10 %  and apply the FVF to the total of the price of the item  and shipping which is $50....  the fee paid to eBay is 10 % of $50 and is equal to $5.

If one ships to the US  and other countries the FVF  is  applied to the cost of shipping to Canadian buyers... 

What sellers view as a FVF applied to shipping should be viewed as a FVF applied only to the cost of the Item.

If eBay charges 10 % of $30 + $20 = $5

The FVF percentage should be viewed as $5 divided by $30 which equals a FVF of 16.7 %

[electronicifycanada]

I hate to say it but that is just another fee grab. eBay could of easily just punished the sellers that were abusing the shipping to pay less fees but instead they take extra fees from everyone.

It's little things like that as to why I'll never get a eBay store again.