Ebay Stores - The Rising Fee Cost
Recently I recieved a letter in my Ebay inbox and after reading it I was shocked... The letter was pertaining to yet another in a long series of rising fees. When I first opened my store more than a year ago it was $10 a month + $.02 per item + $.02 per gallery image per month + you still pay the Final Value fee. not to shabby considering auctions start at $.30 and go up! Then the store fee rose to $13 a month a short while later... NO BIG DEAL... Then to $16 a month (The current price) also no big deal. At this point I have 1170 items in my store, Most under $5 each so while it's not the best of prices it's not to horrible either, It left my total monthly fees SomeWhere between $100 and $150 with an average sales of aprox. $700 a month . THEN:
The GREAT RATE HIKE of 2006
Ebay decided this still wasn't enough fees. so they came up with a new per item per month fee structure AND a raise in the Final Value fee structure. This structure I am listing below:
Starting price New insertion fee Old insertion fee
$.01 to $24.99 5 Cents 2 cents
$25 or higher 10 Cents 2 Cents
NEW FINAL VALUE FEE :
Selling Price: NEW FEE OLD FEE
$0.01 - $25 10 Percent 8 Percent
$25.01 - $100 7 Percent 5 Percent
$100.01 - $1000 5 Percent 5 Percent
$1000.01 and UP 3 Percent 3 Percent
Why I must now close my store!
These new fees are, While seemingly small, a huge drain on my already small profit margin... My fees (Currently $100 to $150 dollars) will surly Double to Between $200 and $300 and with no increase in sale prices! as is of the $700 as month I average My estimates are after the $100 to $150 dollars fees, The cost of the items sold that month (average $300) and Taxes on the profit I maybe get $200 for my efforts -- Now ebay wants another $100 to $150 a month... Maybe they should change the name from Ebay to Feebay as thats what they truly are --- On the Brite side I have found a Fee Free alternative ... Yahoo Auctions is FREE for sellers -- You pay no fee's, $0, Nada - and you can have as many pictures as you need...