There’s been a lot of debate recently about whether eBay works as a selling venue for non-collectible books and other inexpensive items.
Lots of eBay sellers have a store to park slow-moving books at fixed prices. But the fees add up, and despite the recent changes at eBay, overall fees are continuing to go up.
The fees changes that are coming next month have been advertised as a reduction in fees, but take a look at this analysis:
Auctioning an item at $25 would have cost the seller $1.91, including 60 cents for insertion fees plus eBay’s final-value fee commission of $1.31. So under the new program, the seller pays $2.74, including 55 cents to list the item plus a higher commission of $2.19.
As you can imagine there are a lot of unhappy sellers:
Carol Hearn, who sells antiques on eBay from Washington state, said … “It looks like what they are trying to do with the fees is make it more difficult and expensive to sell low-end items. The people that are selling low-end items are going to feel this fee increase the most,” Hearn said.
My prediction is that eBay is going to make its site increasingly attractive for the megaseller — at the expense of the small and part-time seller. eBay makes 80 percent of its revenue from the top 20 percent of its sellers.
In December Amazon’s traffic surpassed eBay’s for the first time.
Are the changes at eBay going to result in fewer listings and fewer buyers?
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2 Comments
What I’m hoping for is a backlash from sellers getting the short shrift from ebay and amazon and the result the formation of a new internet selling company that is more “small seller” oriented. Of course I’m a realist and know the new company if successful will in time either be bought by ebay or az or will become one of the new giants with the same attitudes towards the small seller…oh well
Eric
Oh well … looks like we have 3 options.
1) Buy ebay stock
2) Become a megaseller!
3) create a new book co-op community like that world book market that is forming.
I think the lower front end fees will give me a bit more freedom to list at will. If they sell, I am not really that angry about paying 2% more in closing costs.
The lesson here is that sellers should expect such fee increases and should plan for the pain to margins.