eBay raises processing fees

[chapeaunoir]

25 cents per listing sale for those going into eBay Managed Payments.  This was apparently NOT announced, but slipped into the Payment TOU.  This is not per order (as is Paypal) but per listing - so as the example is given in the article, if you sell 5 items in one order, you will be charged 25 cent per item, or $1.25 processing fee for the order. 

www.ecommercebytes.com/C/blog/blog.pl?/pl/2019/5/1558618552.html

[Pantlandia]

So much for the cheaper alternative that saves you money.

[Deleted]

“Upon the conclusion of a chargeback investigation and/or re-presentment that results in a seller being found responsible for the chargeback amounts, we charge a $20 chargeback fee, excluding any applicable sales tax, for each chargeback. Sellers may appeal the chargeback fee within 30 days from when we invoice the chargeback fee if they believe that they have been charged in error.”


Does this include the cases they encourage buyers to open? You know, the return requests you can no longer contest? 

[kritter]

Second quarter Ebay sales must really be in the tank. This way they will have something "positive" for the company when they report the "going forward" projections.

[Deleted]

This is absolutely to bolster their bottom line at the seller's expense. I have less than 100 listings left. I will pay my 4.95 a month until the end of next May and then I will be gone. I am going to throw my everything into Posh.

[kritter]

ebay will keep trying to figure out ways to make their quarterly numbers on the backs of sellers since they apparently can't rely on fees from sales any longer.

[val2525]

May 24, 2019 12:27:37 GMT @elm691 said:

“Upon the conclusion of a chargeback investigation and/or re-presentment that results in a seller being found responsible for the chargeback amounts, we charge a $20 chargeback fee, excluding any applicable sales tax, for each chargeback. Sellers may appeal the chargeback fee within 30 days from when we invoice the chargeback fee if they believe that they have been charged in error.”


Does this include the cases they encourage buyers to open? You know, the return requests you can no longer contest? 

You're not comparing apples to apples. Chargebacks are from the credit card companies. You're referring to returns. Not the same thing.

BTW, eBay's chargeback fee is less than PayPal's.

The per item transaction fee, if not a typo, sucks though.

[Deleted]

May 24, 2019 16:33:17 GMT kritter said:

ebay will keep trying to figure out ways to make their quarterly numbers on the backs of sellers since they apparently can't rely on fees from sales any longer.

And...I just don't understand this. Ebay used to be a great friendly place, where everyone made money. I remember a lady sending me cash for a $16 item with a $20 bill, telling me to keep the change. I've had buyers send me pictures of themselves in the clothes that I sold them. I used to adore ebay. It's all gone to shit. There's enough for everyone if they would just let it go back to what it used to be, a fair marketplace.

[Deleted]

Thanks for pointing out the PayPal chargeback fee, Val. I guess this fee isn’t new, just something I was unaware of carrying over from PP.
I guess my concern is the change from the verbiage ‘chargeback’ to ‘dispute’ in the May 21st polices. If they handle seller fault in the manner they handle their current SNAD return policy, I assume all chargebacks would be considered the fault of the seller as well. There are a number of people using chargebacks for buyers remorse and cyber shoplifting.

[Pantlandia]

May 24, 2019 17:40:20 GMT @ssusannss said:

May 24, 2019 16:33:17 GMT kritter said:

ebay will keep trying to figure out ways to make their quarterly numbers on the backs of sellers since they apparently can't rely on fees from sales any longer.

And...I just don't understand this. Ebay used to be a great friendly place, where everyone made money. I remember a lady sending me cash for a $16 item with a $20 bill, telling me to keep the change. I've had buyers send me pictures of themselves in the clothes that I sold them. I used to adore ebay. It's all gone to shit. There's enough for everyone if they would just let it go back to what it used to be, a fair marketplace.

They weren't always beholden to their stockholders and didn't have the competition they have now. I believe they *could* grow without imposing all these draconian money-grubbing changes, but I don't run the company They seem to be following the 'it works for Amazon, it should work for us' though process and it's not working. Amazon can afford to lose some sellers over their rules, because they have their own products. eBay doesn't seem to understand that their sellers are what brings them in the money. I used to think eBay will be around forever. Not so sure anymore. 

[chapeaunoir]

My biggest concern is how eBay will handle these chargeback scenarios - I agree - 'chargeback' or dispute'?. I think part of this is the site monetizing returns. 

My other concern (though why should I be surprised) is the fact that this was slipped into the Payment TOU without any notice being given? This is a foundational change to eBay Payments processing. I understand having to cover expenses, but this per-item fee is excessive. 

eBay's marketplace is shrinking and they're having to get money from somewhere. 

[val2525]

May 24, 2019 18:05:26 GMT @elm691 said:

Thanks for pointing out the PayPal chargeback fee, Val. I guess this fee isn’t new, just something I was unaware of carrying over from PP.
I guess my concern is the change from the verbiage ‘chargeback’ to ‘dispute’ in the May 21st polices. If they handle seller fault in the manner they handle their current SNAD return policy, I assume all chargebacks would be considered the fault of the seller as well. There are a number of people using chargebacks for buyers remorse and cyber shoplifting.

Actually, I was wrong. The original terms charged that fee for just chargebacks. Now it's much more vague and encompassing:

Notice how the wording changed regarding chargebacks:

May 2018:
Upon the conclusion of a chargeback investigation and/or re-presentment that results in a seller being found responsible for the chargeback amounts, we charge a $20 chargeback fee


May 2019:

Upon the conclusion of a Dispute investigation and/or re-presentment that results in you being found responsible for the chargeback or other disputed amounts, we charge a $20 payments dispute fee,


It went from just being applied to chargebacks (which are from the credit card companies) to chargebacks "or other disputed amounts", which is pretty vague and covers a whole lotta crap.

[val2525]

May 24, 2019 20:05:21 GMT Pantlandia said:

May 24, 2019 17:40:20 GMT @ssusannss said:

And...I just don't understand this. Ebay used to be a great friendly place, where everyone made money. I remember a lady sending me cash for a $16 item with a $20 bill, telling me to keep the change. I've had buyers send me pictures of themselves in the clothes that I sold them. I used to adore ebay. It's all gone to shit. There's enough for everyone if they would just let it go back to what it used to be, a fair marketplace.

They weren't always beholden to their stockholders and didn't have the competition they have now. I believe they *could* grow without imposing all these draconian money-grubbing changes, but I don't run the company They seem to be following the 'it works for Amazon, it should work for us' though process and it's not working. Amazon can afford to lose some sellers over their rules, because they have their own products. eBay doesn't seem to understand that their sellers are what brings them in the money. I used to think eBay will be around forever. Not so sure anymore. 

I think Wenig is trying to give lip service to Elliott and the other board member who is pushing for changes. Problem is, the changes those board members are suggesting involve money (as in, improving the technical side of the site is one) and either eBay doesn't have the money or Wenig doesn't want to spend it (makes sense if any of his bonuses are related to being on or under budget). If you read the letter Elliott sent eBay, it illustrated the problems very well and had some good suggestions for improvement.

[chapeaunoir]

I thought the letter made very good sense, but I also think Wenig either can't or won't follow through on real changes - one reason he was referred to obliquely as 'inadequate management' or whatever. The last press release with his enumerating changes read like a piece of marketing fluff - it was a little disappointing. There ARE definite site improvements on the seller side, i.e., more functional seller hub, etc., but I think these kinds of things were in the works anyway. Elliot was talking about a new, streamlined direction.

[val2525]

I agree, Chap. I think the fee grab is Wenig's way of getting some better #s in hope that the board/shareholders will be happy with increased revenue and not look any deeper.

[chapeaunoir]

Yes - and given the shrinking marketplace, I don't think this kind of thing is going to fool these active investors. I remember when I was in tech school in one writing class we had to take apart an address to a student body (one that was actually given) and interpret what it actually said - a sort of reverse engineering only writing.

The address sounded really good - very cogent and forward thinking, but when we took it apart, it actually said nothing of substance, it was just a series of well-written phrases that really were empty of meaning.

Wenig's addresses almost always sound like that.