|Thu Mar 24 2016 22:16:36|
eBay's Currency Move in Canada - A Silver Lining?
By: Ina Steiner
eBay sellers in Canada will no longer be able to list in US dollars, as we reported
this week. Instead, they must list items on eBay.ca in Canadian dollars, or else list their items in US dollars on eBay.com.
eBay Canada's Managing Director Andrea Stairs explained
the move in a blog post. "The analysis of Canadian seller data showed that we had outgrown the recommendation to list in USD and, in fact, listing in Canadian dollars (CAD) on eBay.ca was better for our sellers."
In addition, she said, "Canadian ecommerce had grown dramatically, while at the same time, international buyers, particularly Americans, had become much more comfortable transacting beyond their borders and in foreign currencies."
There are a few things that may be in the favor of Canadian sellers listing in Canadian dollars - if US shoppers do their homework. One is that the dollar is stronger, giving US buyers more purchasing power. We recently noted
that according to Bloomberg, the Canadian dollar has fallen about 18% against the US dollar over the past two years, and at the same time, "spending by US shoppers using PayPal on Canadian websites jumped 20% in 2015 from the year before."
The second factor
: "As of today, the United States has increased their de minimis threshold from US$200 to US$800. In practice, this means that goods shipped by Canadians to US buyers will only be assessed for duties if their value exceeds US$800," eBay Canada announced earlier this month.
The biggest sticking point for sellers is whether their items listed on eBay Canada receive as much exposure as on eBay.com. If no one sees your products, it doesn't matter what currency you accept.
Let us know what you think about the change.