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Last Post Nov 18, 2009 8:07 AM by: anuated
Replies: 6
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lexxxxlex
Posts: 4

I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 4, 2009 8:42 PM
I have been selling this year including free postage and noticed my fees are reflecting a higher percentage auction price and not discounting the cost of postage which is clearly advertised to be the medium flat rate usps box rate. I am getting charged a commission on the postage by Ebay as a result and that does not seem fair. They should probably note on their site that adding free postage as a convience to buyers and aiming to get rid of the confusion that you will be paying more for postage than necessary as a result. I would rather like a correction in my fees to discount the postage from the fees if indeed this is the case. The option of having free postage provided makes ebay more user friendly for buyers which assists ebay overall being a cash flow generator so why should sellers not have the stated rate of postage excluded from auction fees. I am paying about $1.20 to ebay to make postage free and I had absolutely no idea I was wasting money doing this until I recently saw my very high bill based. Does Ebay charge a fee on final value postage added on to other accounts too? There is a consumer affairs division or two that might take an interest in adding fees on a listed cost of selling and considering that I now buy the postage though paypal. If my suspicion of overcharging for postage in excess of cost maybe an illegal trade practice. It just has that kind of feel to it. I realize that some ebay sellers inflate postal expenses but then packing and handling costs are added on at mail order so even so it may be an "unfair trade practice" . If you know that this is the reason my bill is so high because I am using "postage included" and I would not be paying a tarrif on the added postage if I don't include it let me know. I am also curious if I end up paying an ebay fee if I don't include the postage when postage is assessed (that leads to questions if it should not be discounted in paypal as well as on the ebay side??? I am just curious because I had not realized I might be paying more than i realize just by realizing a higher upfront value instead of adding the postage later? I can't get this kind of question answered on the ebay site.
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southernprofessionalart
Posts: 3
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Re: I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 5, 2009 8:07 AM
I believe it is safe to say that many sellers view the whole push to get us to offer free shipping is somewhat driven by E-Bay wanting to get a percent of the total sale, instead of the just the goods that are sold. By adding this as a DSR category, they upped the ante, so to speak, to encourage low shipping fees, and with the new Top Seller program they have upped the ante again.
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cajual_sounds
Posts: 389
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Re: I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 7, 2009 7:33 PM
Yes this is a scam of sorts. Ebay encourages sellers to offer free shipping "as a service to buyers". But since buyers generally raise the price of the item to compensate for the lack of shipping cost, the buyer ends up paying the same amount (or close) as they would have without free shipping.

Offering free shipping is not generally a service for the buyer, but it is a wonderful service/favor to do for Ebay. It obviously means much higher final value fees for them on most items. The effect is especially pronounced on fixed-price and store format items since the final value fees are higher in these formats than the auction format.

And making shipping costs part of the DSR equation and making DSR scores a big part of where your items show up in search are Ebay's ways of extorting sellers to offer free shipping. In case you haven't figured it out yet, Ebay has some of the slimiest, most questionable morals/ethics of any existing U.S. company. Imagine how many new sellers fall for this scam because they haven't had time to do the math or investigate what Ebay's REAL motivation for the free shipping push is?
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cajual_sounds
Posts: 389
(3 of 6)

Re: I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 7, 2009 7:33 PM
Above post should have read "since sellers generally raise the price of the item to compensate for shipping"......not buyers as typed.
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thingsfromthewoods
Posts: 4
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Re: I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 15, 2009 11:43 AM
yep eBay is continually finding more and more ways to rip you off if you are a seller. You might as well just go give stuff away because you sure aren't going to make any money on ebay. Of course you can do the free shipping thing, they encourage you to do that, knowing that your overall price is going to HAVE to be higher in order to compensate. No one can really afford free shipping as high as shipping rates are. It is ridiculous. So ebay collects the final value fee and they are happier than ever. Then if you have a buyer for whatever reason who gives you a low dsr on the shipping even though it was free, you are really screwed.
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anuated
Posts: 18
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Re: I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 18, 2009 8:04 AM
:^OYou all just figured this out!!!
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anuated
Posts: 18
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Re: I Am Wondering if I am being cheated by Ebay because I include free postage

Nov 18, 2009 8:07 AM
:^O
You all JUST figured this out!!!

Yes they make money that is what they are here for.......
But where else can you sell to the whole world for this price??
Lois
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