eBay executive Alyssa Cutright provided an update on the managed payments program in a blog post on Friday, though there was little new reported beyond the latest usage stats: “Our new program, which expands payment options on eBay, has processed over $636 million in payments for more than 6,000 sellers since its fall 2018 launch,” she noted.
Many sellers are wary of using managed payments, despite the enticements eBay is adding to sweeten the pot, as a seller told us in a recent letter to the editor.
Etsy sellers will be familiar with some of the changes eBay sellers can expect to see, such as delayed disbursements (unlike PayPal where funds are deposited immediately into sellers’ accounts).
A seller recently shared on the eBay discussion boards their payout schedule with an example of a recent transaction processed through eBay managed payments – to summarize their description of the timeline:
- Buyer ordered and paid for purchase on 7/22/19;
- Seller shipped on 7/23/19;
- eBay made the payout on 7/25/19;
- The seller received the funds into their bank account on 7/29/19.
Note that we cannot determine if that’s a typical disbursement schedule or not.
As for Cutright’s post, it may be more in the way of a seller-recruitment effort, but eventually sellers won’t have a choice, as she noted in the following paragraph:
“We’re building quickly, efficiently and collaboratively with the feedback we’ve received from our sellers as our guiding north star. We’re on track to complete this multi-year, phased launch in our global marketplace in 2021, and also plan to expand the new program in Germany before the end of this year, pending regulatory approval.”
eBay blog post follows:
Shari Smith is a longtime eBay seller, who has spent the last 13 years running her fashion and equipment business through our marketplace. Selling on eBay allows her the flexibility to work from home and set her schedule, so she can spend more time with family and friends. Since joining our managed payments program last fall, her eBay business and accounting have been simplified, giving her even more time with her loved ones.
Last week, I had the opportunity to meet seller Shari Smith at our eBay Open conference in Las Vegas, where U.S. sellers can connect, share and learn how to grow their business on eBay.
We’re rolling out this experience and enhancing product capabilities with our sellers’ feedback in mind. In less than a year, we’ve seen tremendous growth and progress with our managed payments program — since its roll out in fall 2018, we’ve processed more than $636 million in payments for more than 6,000 participating sellers, according to our latest earnings report.
“When eBay told me about managed payments, I wanted to do it right away. My fees are lower. My customers can pay with Apple Pay, Google Pay, debit card, credit card, gift cards, [and] PayPal. Any way they want to pay, they can pay.”
Our new payments experience offers buyers more choices in how they can pay on eBay, giving them access to new buyers with locally relevant payment options that buyers expect while shopping today. It also gives sellers one destination in managing transactions on eBay, saving them time and money in running their business.
Our team is excited by this momentum and motivated by what we’re hearing directly from our seller community. Sellers who have joined report high satisfaction, and recommend managed payments to other sellers.*
We’re committed to creating the best customer experience possible and continue to enhance the product capabilities to create a unified, seamless experience for all. Recently, we introduced the ability for sellers to issue partial or full refunds to buyers, either directly on eBay or via a third-party platform. Sellers can now also easily manage and reconcile orders with our new unique order IDs, from order initiation to payout.
We’re building quickly, efficiently and collaboratively with the feedback we’ve received from our sellers as our guiding north star. We’re on track to complete this multi-year, phased launch in our global marketplace in 2021, and also plan to expand the new program in Germany before the end of this year, pending regulatory approval.
Follow along with us on our managed payments journey here on ebayinc.com/managedpayments and ebay.com/payments for the latest updates and insights as we continue to build out our program.
*From a June 2019 study of sellers enrolled in managed payments.
SOURCE: eBay Blog Post