SmallBizResource Blog -- Internet

More Changes From Our EBay Buddies

Posted by Gayle Kesten Friday, Aug 22, 2008, 03:23 PM ET

Is eBay at it again?

Effective Sept. 16 -- four months after its latest round of much-maligned changes went into effect -- the online auction site is cutting its fixed-price listing fees in hopes of attracting more sellers. (Items up for auction or those sold in eBay stores are unaffected.)

Reports TheStreet.com: "Sellers will now be charged a flat rate of 35 cents to list an item on the site for 30 days instead of seven days. They will also be allowed to list multiple quantities of the same item for a one-time listing fee of 35 cents. Listing fees in media categories such as movies, music, games and books will be lowered to 15 cents. Previously, sellers paid between 35 cents and $4 to list an item for one week, depending on the item's listing price."

The article goes on to say that eBay is also "jiggering the commission it charges sellers when they close a sale. Most product categories -- like computers and electronics -- will see the fee go down. However, items like books and DVDs will see an increase."

For some, this will be welcome news. "Sellers able to maintain large inventories of a product will find it easier and cheaper to offer their wares at eBay," says an E-Commerce News article, which also paraphrases author and eBay power seller Nancy Baughman saying the change is a slap in the face to small sellers. "They are favoring sellers that offer a limited range of products," said Baughman. "eBay is so huge ... I don't understand why it would want to squash smaller sellers that have something unique to offer."

Why? Ever see this 1992 Damon Wayans movie? Neither did I. But the title says it all.

Another question: If eBay is favoring fixed-fee sales over the bidding format we all came to know it for, should we even be calling it an online auction site anymore?

What are eBay sellers saying? Read through eBay's discussion board and you'll see even high-volume sellers with oodles of inventory are sympathizing with the small guys. One poster wrote: "Being allowed to create multiple listings for the same fee will probably mean that I should be ok with my best selling lines. But I understand that people who sell collectables and things that people are rarely interested in (but for which a buyer might come along a few months later) might be a bit annoyed at the new fees."

So…what do you think?

Also, three more changes to note of, courtesy of Frank Ross, AllBusiness' Home-Based Business blogger:

• Minimum DSR Enforced -- The Detailed Seller Ratings (DSR) will need to be at least 4.3 for sellers. Those sellers who fall below that threshold will not be able to list. This takes effect November 1.
• No More Money Orders or Checks -- Starting in October, buyers will no longer be able to pay for items via checks or money orders. Instead they will need to use an approved electronic method such as PayPal.
• Closing eBay Express -- Who didn't see that one coming? eBay Express apparently just never worked out.

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