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EcommerceBytes-NewsFlash, Number 2973 - January 07, 2013 - ISSN 1539-5065    4 of 5

Buy.com Raises Fees for Third-Party Sellers

By Ina Steiner
January 07, 2013

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It's getting more expensive to sell on Rakuten's Buy.com marketplace. The 5,000 active third-party merchants who sell on Buy.com face new fees beginning next month. The addition of monthly fees mean Buy.com is not viable for very low volume sellers.

Sellers must choose one of two new plans - Professional or Professional Plus, and must enroll by February 1, 2013. Merchants who enroll in Buy.com's Professional plan pay $99 per quarter ($33/month), and those who enroll in the Buy.com Professional Plus program pay $597 per quarter ($199/month). Merchants in the Pro plan receive a 50,000-SKU maximum listing capacity.

Previously Buy.com charged no fees for listing items and charged a commission of $.99 per item plus a percentage of the price, depending on the product category. Buy.com also charges payment processing and fraud review fees.

Buy.com is also raising commission fees. Originally, Buy.com commissions had only applied to the product price, not including shipping. When Buy.com changed the commission fees to include shipping after some sellers manipulated prices to reduce commissions, according to the company, it implemented a commission discount.

Buy.com is now rolling back that discount, raising commission rates back up 0.25% for tech categories and 0.5% for non tech categories.

Buy.com spokesperson Bernard Luthi told EcommerceBytes, "Our new quarterly fee and commission rates are very much in line with the other marketplaces and will allow us to create an even better selling experience for the merchant."

EcommerceBytes interviewed Buy.com's Chief Marketing Officer and COO Bernard Luthi last month along with George Chang, Senior Director of Merchant Acquisitions, to discuss the company's program for third-party sellers, the transcript is available on this page, and Buy.com fees are available on SellOnBuy.com.

Update 1/7/13: Edited to show correct Professional Plus program fees and proper attribution.

About the author:

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to ina@ecommercebytes.com.

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