eBay's Lowering Fees in Bid to Lure Angry Amazon Sellers

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News Posted: Wed, Mar 20 2013 10:29 AM
eBay announced that it's restructuring its fees for sellers on its online auction site, the timing of which has everything to do with Amazon recently raising fees for merchants on its e-commerce portal. As the price of doing business through Amazon goes up, eBay hopes to attract disgruntled sellers looking to jump ship.

In order to do that, eBay needs to make its online auction site a more desirable location to sell products, which entails lowering fees and making its fee structure less complicated. Both are on the top of eBay's agenda.

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Rather than a tiered fee structure, eBay is transitioning to flat rate sales model based on an item's category. Non-volume sellers will especially benefit from the new rules, with eBay allowing sellers to list up to 50 items for free per month beginning April 16. These can be auction-style or a fixed price; either way, sellers will pay just one flat 10 percent final value fee (if the item sells).

Those who choose to open an eBay store subscription will be allowed up to 2,500 free listings per month. This is where categories come into play, with category-based fees ranging from 4 percent to 9 percent.

Under the new fee structure, eBay admits that some sellers will end up paying more, but that the majority will see their costs of business go down.
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RWilliams replied on Wed, Mar 20 2013 11:46 AM

Better fees are fine, but I'm quite sure another major reason some people don't use eBay is because of its brutal lack of seller protection.

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I remember when ebay was completely free and then fees skyrocketed. Sounds more acceptable now, though ten percent is pretty high if you ask me.

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