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Tue May 12 2009 15:22:33

eBay to Give Sellers 5 Free Auction Listings per Month

By: Ina Steiner

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eBay is giving sellers the opportunity to list five auction-style listings per month with zero listing fees if they use eBay's Sell Your Item form or Simple listing form. Under the new pricing, Final Value Fees will be 8.75% of the sales price or $20, whichever is lower. Any additional items sold during the same 30-day period will have the same Insertion Fees and Final Value Fees as they do currently. (Link to announcement.)

The new listing fees go into effect on June 16, 2009. Sellers who use an eBay tool or third-party listing tools will not receive the special pricing.

According to eBay's announcement, "We're continuing our efforts to lower the upfront costs of selling on eBay. The 5 listings with $0.00 Insertion Fees are especially helpful if you don't sell a high volume, but offer the kind of unique and hard-to-find inventory buyers expect to find on eBay."

eBay has been encouraging high-volume sellers and fixed-price formats, which make up about half of eBay's Gross Merchandise Volume. In the first quarter of 2009, Fixed Price format grew 12 percent, while Auction format listings declined 20 percent.

A CitiGroup analyst commented in March on eBay's move way from the auction format as it became less relevant than in the past, but said he believed eBay would likely benefit for some time from hosting a vibrant, core Auction marketplace. "The operating questions for eBay are: What is the right size for its Auction market? And how does eBay preserve this differentiating feature while still promoting Fixed Price sales?"

By limiting the free auctions to five per month and excluding the use of eBay and third-party tools, eBay is trying to attract unique items in the auction format without diverting multi-quantity, fixed-price listings.




Comments (74) | Permalink

Readers Comments

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Joe

Tue May 12 16:03:33 2009

You know the old saying...

If it's free, it's to good to be true.

Ebay will screw you somehow on this...

I smell a fee increase!

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: nadine

Tue May 12 16:26:23 2009

Run the numbers. Assume the auction item sells at one bid, so you are paying the highest insertion fees according to the current schedule.

If the item price is between $45 and $450 dollars, the new "special" schedule - with 8.75% fvf across the board - has a higher overall take rate. At $199.99, the take rate jumps (including Business Paypal fees) from 8.0% to 11.6%. It is only when the price is below $45 or above $450 that there is any savings.

My average selling price is about $100-$200. Thanks for nothing, eBay. I'll have to switch to some third party tool to escape this "special" deal.

This is just the thin edge of the wedge for eBay's plan to raise fvfs on auctions to match the fees on fp30.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: nadine

Tue May 12 16:39:27 2009

According to the announcement, the Sell Your Item form will inform you if you are eligible for the "special" auction listing rate. So the workaround is to list five cheap things at no insertion fees to use up the "special" deal before listing any better things.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: voodoo

Tue May 12 16:45:24 2009

WOW
GEE

Lets celebrate. I will save a total of .75 each month. Lets see what can I buy.

Darn not even a cup of coffee.

What moron at Ebay thought this one up. Hey Donahole you need help.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: nadine

Tue May 12 17:12:10 2009

Hey, but look at the bright side, voodoo. Ebay will get a flood of cheap listings that use up the "special" deals.

I guess they want more "clutter" again. But limited "clutter", only five pieces per month. This is probably a compromise arrived at after an internal argument about what would be the result of making all eBay insertion fees free, like Amazon does.  

eBay is full of people who have never used the site, but spend their time guessing at how those who do use behave.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: READ THE FINE PRINT

Tue May 12 17:29:56 2009

5 free listing....but be careful and read the fine print. According to the announcement it will not include the following:

*Excludes items with a Start/BIN/Reserve price of $18 million and above.

too funny

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: 337045

Tue May 12 17:34:14 2009

@READ THE FINE PRINT

Thanks for the heads up. I will make sure I start my auctions at $17,999,999.

I do like the fact that I can list my overpriced items 5 times a month for free.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Boy Genius

Tue May 12 17:49:18 2009

Here is an idea:

Let the marketplace decide which selling format works best instead of manipulating the sellers or ramming something down their throats. Thanks.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: What the Hell

Tue May 12 17:58:54 2009

Let's see Ebay has

...tried to incentivize for Buyers..

...tried to incentivize for small sellers..

where the hell is the incentive for sellers who list more than 100 items a week?

If they want to be like Amazon, why don't they follow Amazon's wise move to incentivize sellers by having a FLAT MONTHLY FEE TO LIST?

C'mon guys, sometimes it's the simplest solutions that solve the hardest problems. I hold back listing too many items because of the listing fees that pile up. On Amazon, I don't hold back and I succeed and so do they according to their last quarterly report!

Somebody wake the hell up over there on Ebay....


eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Harriet

Tue May 12 18:20:18 2009

Yes, I am holding back as well. I have many, many things to list. I thought I would try about 25 things last week, It was a bomb. I sell vintage, antique and unique collectibles.

In the past I have listed about 100 things a week, but no more.

The bulk of what I have to list will go elsewhere.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

This user has validated their user name. by: Ming the Merciless

Tue May 12 18:20:44 2009

What customers actually want has never meant anything to ebafia.

For ebafia, customers are and always have been nothing more than a veneer of noisy peons who who consume ebafia's precious resources and, of yeah, pay management's bloated salaries.

It's what Wall Street wants that's king.

Just another reason to get rid of management stock incentive plans of all varieties.

Sleep with the fishes, ebafia.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

This user has validated their user name. by: Bidofthis.com

Tue May 12 18:49:36 2009

I raised an eyebrow.
Huzzah!
Is this a renewal of eBay community spirit initiated by *gasp* ...eBay!?!!

:)

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Hamburger Helper

Tue May 12 19:47:39 2009

@WHAT THE HELL

''where the hell is the incentive for sellers who list more than 100 items a week?''

Let's see. Powersellers get ALL SORTS of incentives to list. They get discounts. They get specials. They get listing promotions. And so on.

This incentive for small sellers IS A JOKE and will cost them more. It's another rate increase. Lower fees up front followed by higher fees on the back end. I could also say WHAT THE HELL?

''More skin in the game''. Help me, I'm bleeding from all the skinned areas.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Leo

Tue May 12 20:20:02 2009

Do people just sit around up there thinking of new jokes, or do they like to insult  your intelligence.Toss the sellers a few crums to keep them happy.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

This user has validated their user name. by: Bob

Tue May 12 20:30:17 2009

I got this email announcment from ebay about their "exciting Seller news". It is more like outrageous news for a small seller like me. In effect: With the new 8.75 percent FVFees across the board they have raised FVFees nearly 5 PERCENT on the first 5 items I list every month that sell for $45 or more. I too will be looking into using a third party listing tool...

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Mark

Tue May 12 20:34:24 2009

Are these free listings compulsory? I just did the maths with the handy online eBay Fee Calculator below.

If you list auction style at 199.99 and sell at 199.99 you now pay 10.31 in total (including 2.00 listing fee). With free listing you pay 17.50 (including "free" listing). That is a 70% fee hike! Thank You eBay for your Generosity! Oooooh, do I love freebies. Hugs and Kisses for eBay from me.

http://www.rolbe.com/ebay.htm

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Mark

Tue May 12 20:58:57 2009

Actually I just did some more numbers. If you sell items auction style with these "free" listings you can benefit from it: If you sell items with a starting price of $50 to $70 with a selling price from $50 to $70 you pay the same in total as now (auction style). But the advantage is that you will not lose the $2 listing fee if the item does not sell. And even $4 in total if the item does not sell twice. So I will use these "freebies" for items I expect to sell (or not) in this $50 to $70 price range.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: Franci

Tue May 12 21:33:04 2009

Listing really spendy items is a good deal with these listings.  There is a $20.00 cap on the total FVF so anything over $225.00 will cost way less and no listing fees up front which is another savings....Cuts fees more tha 50% on big ticket items.

That said, it's still a dumb idea because you have to figure it and lots of sellers won't...and they will end up paying more......eBay's motto:  If at all possible do it the hard way.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: James

Tue May 12 21:35:22 2009

Are we sure that eBay will allow relists for the 5 free? Knowing the bottom feeding tactics of eBay I have to ask.

eBay to Give Sellers 5 Free Auction Listings per Month   eBay to Give Sellers 5 Free Auction Listings per Month

by: ebay victim

Tue May 12 21:54:17 2009

Big whoop!
Just more lies to hornswaggle gullible newbies.
Having had ebay-paypal rob me for over $2K, lie about things and have their crew of paid stalkers harrass me, I will continue to take every opportunity to persuade people to never use them, every way I can.

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