Ebay now charging a final value fee on shipping

shaddow27
Community Member

I guess they have been doing this for a while.  I just noticed it.  I was told it was to discourage sellers charging too much for shipping.  I have been charging just what the post office charges.  Nothing for my supplies.  I feel that this will have the opposite affect.  I will now have to raise my shipping charges to cover the fees, so I don't end up losing money.  Sounds just like another money grab for ebay.  I have been with ebay for over 15 years and I think my time has come to an end.

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Ebay now charging a final value fee on shipping

It started two years ago.


 


At that time eBay lowered the Final Value fees on most transactions and switched to charging FVF on the total value of the transactions (including shipping but not the tax).


 


Many sellers ended up saving money with the lower FVF while other ended up maying more (I saved several hundred sollars a year in lower FVF).


 


In general terms, because Canadians generally pay higher shipping costs then Americans for most items, a much larger percentage of Canadian sellers were disadvantaged.


 


It has never been easy for Canadians to be in the mail order business. It is a never ending challenge.

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Ebay now charging a final value fee on shipping

Let me write that post again!


 


It started two years ago.


 


At that time eBay lowered the Final Value fees on most transactions and switched to charging FVF on the total value of the transactions (including shipping but not the tax).


 


Many sellers ended up saving money with the lower FVF while others ended up paying more (I saved several hundred dollars a year in lower FVF).


 


In general terms, because Canadians pay higher shipping costs then Americans for most items, a much larger percentage of Canadian sellers were disadvantaged.


 


The worst instances are for low value items with high shipping cost. Often, it is simply not worth the excercise.


 


It has never been easy for Canadians to be in the mail order business. It is a never ending challenge.

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Ebay now charging a final value fee on shipping

it is hard to charge correctly for freight into the states as it is. We are allways discounting the rate. Americans are use to receiving free freight on many items so any freight fees you charge you are taking a chance on getting your dsr stung for no reason and of course loosing the sale.


This is just another way for ebay to control your sales and whom you sell to. 

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Ebay now charging a final value fee on shipping

Now it was to get rid of sellers like me 🙂 who charged 99 cents for an item 20 dollars shipping and you could avoid paying fees on your profit. the profit came from the handling charge.


 


It's not that big a deal on most items your still making money but on cheaper items the FVF and paypal fees kills your profit. I used to sell little Golden books I would buy them for a dollar each then sell them  at a dollar with 3.50 s/h charges actual shipping was I believe 2.00 to mail and 20 cents for an envelope. so that leaves 1.30 to pay ebay FVF of I think it was 12% and paypal transaction fee. Anyway I guess when all was said and done I made 1 dollar. a book for my trouble. (I'm too lazy to do the math)


 


That'd go up to 6 dollars when I charged 20 for s/h for a more collectible book. But when you figure in time to list etc. for all those lesser items it's not that much per/hr. I guess Ebay needs there cut.


 


Ebay used to be a place to get rid of your unwanted items for the every day Joe not for people to build businesses around and now it's the opposite it's a big waste of time and energy for the average person to list items. and then the hold on funds and having to pay shipping and handling out of pocket on your first 10 items you sell or whatever just completely takes the fun out of it for most people. AND I just looked and since I haven't sold in awhile If I do I am also subjected to that hold on funds even though I already proved myself. So it doesn't really get any better for the average Joe who may list 10 items a year at the most.


 


I will still use Ebay for collectible items that need a large audience to get top price but I find making money from Ebay is easier by purchasing here and selling local.

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