On October 1, eBay will initiate a NEW POLICY that will apply a FINE against Sellers who end Items early. Sellers who end items to sell to the bidder upon request will be fined, possibly an insertion fee, even tho the item is being SOLD and a FVF will be awarded to eBay for the sale of that item.
If you are a "frequent flier" on my auctions or if you are just finding my work, you may know that in my item descriptions I offer to end items early for the first bidder, or high bidder. (If two bids I always make a second chance offer to the low bidder and custom build what ever he lost out on. Because it is a Second Chance Offer thru eBay FVF are also collected by eBay.
ebay looses nothing and occasionally gains a second sale on the item ended early. And THAT, friends, is the goal. eBay provides a service at a particular cost and that cost, or overhead must be regained and profit made in any business in order for the business to continue and grow. When Sellers sell, we make money, pay fees to eBay for allowing us to use this service to be seen world wide and ebay grows.
But this fee will cause some problems.
Why do it to begin with?
Well, thee are people who list an item, often of considerable cost, who end items early , canceling existing bids, in order to sell the item OFF eBay and NOT pay the FVF fee. The fee is based on the sale price of the items and high dollar sales mean deep cutting fees. 12% fee on 700.00 set of antique dinnerware is close to $100 bucks. So the Seller may ask the idder to consider completing the transaction directly. The bid is canceled. The item ended early and $100 is saved by the Seller... BUT, The Seller agreed to abide by eBay's policies upon completing the application for membership on eBay. eBay collects a set percentage per item category, as "rent" , so to speak.
The problem is that a growing number of Sellers are using ebay to get buyers and then not paying eBay the agreed upon fee for the privilege of using ebay's services. The number one reason to list on eBay is wold wide viability. Increasing that with Facebook and Twitter etc. links provided by eBay increases that visibility. So the fee dodging is really a form of theft. ebay's solution: slap a fine on people endimng items early.
THE BAD AND WRONG PART OF THIS is that it is , currently, and across the beard application.
Sellers who previously used the BUY IT NOW feature as a means of allowing buyers to claim an item without fighting with Snipers can no longer use BIN effectively.
eBay now forces a 10% increase on the list price... to encourage bidding, they say, but in the four years of this forced increase the BIN sales have plummeted. (Fixed Price and BIN on an Auction Styled listing are NOT the same.Fixed Price carries an hemorrhagic FVF of 12% and has no starting bid price.)
Sellers who set a starting bid just under the BIN price could sell an item with BIN very quickly. But when a $49.99 item has a BiN of $55.00 most people will hit the bid and wait it out. Slower sales and the Buyer who might have done a IN of 50 or so now has to expect to have his purchase sniped out from under him.
Me own solution to this was to ND ITEM EARLY for my buyers who so requested it. I ask them to place the bid and I will end the item right away.
This has worked well enough for several years and many of my return Buyers email ahead of time to let me know they are bidding and please end items early for them.
eBay is changing the rules of the game again so I am also changing my procedures.
I will NOW (as am experiment) for the next few weeks, add a BIN price on my auctions WITH a 10% discount for anyone using the BIN to claim their item.
This will be deducted from the total invoice ( I combine shipping as well) my FVF will still be 9% of the BIN price, but for my Buyers to be able to Bid with confidence and FEAR NOT THE SNIPERS, I will deal with that.
Frankly, I would go back to the old days of paying a price for using BIN as long a I had absolute command of the price. ebay's not keen to do that so I am taking the extra steps for my Buyers. All is within ebay's policies and rules. And the Buyer is happy with a quick claim on wanted items.
If you are a Seller and have questions about invoicing or other eBay fee solutions that don't break any rules, feel free to msg me.
Calling eBay with your thoughts or complaints is always a GOOD IDEA.
Always be kind to the folks who answer those calls. They don't write policy and have NO power whatsoever, BUT will take your concerns to their end of the day meetings with their management.teams.
God bless, all.
FoofighterubuWargamesTerrainStudio (Google or Facebook)
BUY IT NOW and End Item Early FEE
Views 2 Likes Comments Comment
September 27, 2012
Have something to share, create your own guide... Write a guide