EBay’s Recent Changes
EBay’s new fee structure went into effect Februasry 20th and It looks like the cost of doing business on eBay just went up. Let’s try a couple of examples to see what the exact impact will be.
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Example 1
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Store
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Auction
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Fixed Price
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|||
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Book $1.97
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Old
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New
|
Old
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New
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Old
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New
|
|
Insertion Fees
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$0.05
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$0.03
|
$0.35
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$0.25
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$0.35
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$0.25
|
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Gallery Fee
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$0.01
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$0.00
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$0.35
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$0.00
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$0.35
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$0.00
|
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Final Value Fee
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$0.20
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$0.24
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$0.10
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$0.17
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$0.10
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$0.17
|
|
Total
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$0.26
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$0.27
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$0.80
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$0.42
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$0.80
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$0.42
|
|
Example 2
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Store
|
Auction
|
Fixed Price
|
|||
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Widget $50.00
|
Old
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New
|
Old
|
New
|
Old
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New
|
|
Insertion Fees
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$0.10
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$0.05
|
$2.40
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$2.00
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$2.40
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$2.00
|
|
Gallery Fee
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$0.01
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$0.00
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$0.35
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$0.00
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$0.35
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$0.00
|
|
Final Value Fee
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$4.25
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$5.00
|
$2.13
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$3.06
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$2.13
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$3.06
|
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Total
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$4.36
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$5.05
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$4.88
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$5.06
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$4.88
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$5.06
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From this it looks like if your selling for under $25.00 and using the gallery pictures you will actually pay less for auction and fixed price. However your store inventory will cost you more at final value. To me this is a good deal as I will be able to list 100 items with stock $5000 for $3.00. Remember you are only paying final value on what you sell.
On the other hand if you are selling items between $25 and $100 you will now be paying more. I doubt many people are going to be happy about this but they have to remember that there is no place else where you can get the amount of traffic that eBay provides.
Later on this week I will review how the changes to the feedback process will effect us all
