EcommerceBytes Letters to the Editor Letters to the Editor
Your emails to EcommerceBytes
For consideration, send your email to ina@auctionbytes.com with "Letters to the Editor Blog" in the subject line! Remember to include your name as you would like it to appear in the blog.
Wed Nov 12 2014 16:50:46

eBay's New System Results in Losses for High Volume Seller

By: Reader

Sponsored Link

Dear Ina,
We're a high volume, top rated powerseller on eBay, 500-1000 transactions per month.

I wanted to update you on something in the hope it gets some coverage. eBay's rolled out their new "cancel transaction" workflow. On the surface, it's a great, streamlined process, but there's a HUGE issue underneath it.

Most of our items have free shipping, and we're opted into eBay's managed returns process because, in reality, it's a huge timesaver. We have a 10% restocking fee on returns, mostly to recoup the cost of free shipping in the event of a return.

Under eBay's new cancellation process, if the buyer doesn't go through eBay's managed returns, there's no way to issue a buyer a refund and keep the 10% restocking fee - you either give them a full refund, including shipping, or you lose your FVF to eBay.

We have a dedicated account manager and access to merchant support - merchant support's official word is that they'll make exceptions on a case by case basis, but officially, there's no eligibility for a FVF without a full refund.

This is a huge headache for us, and we have a dedicated team that responds to email over on the eBay side. I can't imagine someone that has to go through a phone call every time to get an FVF - it would literally be hours out of their day to try and convince someone that they should get the credit, even though the transaction hasn't been completed.

Of course, we frequently have situations where a buyer can't be sent through the managed returns process. This is usually due to a "customer service" situation where we are trying to provide a positive customer experience - extend our return policy past the stated 14 days, etc. Other times, a buyer can't figure out how to use the managed return process, so to streamline it for them, we would issue them a manual refund minus our 10% restocking fee, then send the buyer a cancellation notice to recoup our FVF.

None of this works now. The implications are ridiculous - if we want to provide a high quality of customer service, we eat additional FVF fees, or eat the shipping/restocking fees.

In the runup to Christmas, which is where we frequently make the most "outside-our-return-policy" exceptions, it looks like we'll be losing the FVF (or our restocking fee/original shipping charges) for every single item that we can't send through the managed returns process.

Hope you can provide some coverage on this, it'd be great to get some community support to hopefully effect a change. If you do, I'd like to remain anonymous.
Thanks,
B.

Comments (33) | Leave Comment | Permalink
Readers Comments

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: LasVagueness

Thu Nov 13 15:55:04 2014

I, too, have had to call eBay several times since there is only an option for full refunds. A gentleman purchased two items from me. He only wanted one. The option was full refund or nothing. I partially refunded through PayPal but had to call eBay for the refund in FVFs. I am more proficient with arcane tax code than eBay's ever evolving policies.

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

by: Cyclestripper This user has validated their user name.

Thu Nov 13 16:28:41 2014

The op is precisely correct in his assessment of the situation. In a recent case, I opted to refund without requiring a return and there is no way to get the FVF back. The new system is a poorly designed mess, though it does seem to benefit ebay.

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: Marie

Thu Nov 13 16:46:40 2014

@fashionista

I remember you saying something about that a few days ago.  Quite obviously a screw up on Ebay's part.  After 7 days hopefully you can close the cancellation yourself.  Do let us know and hopefully Ebay will have this problem fixed very soon.  As we know they are currently working on the cancellation program, but who knows what they will really change / fix until it happens.

By the way, I had a cancellation similar or exactly handled as yours and mine went through fine.  So I'm hoping what happen to you is a temporary glitch.

FYI if you can't close it after 7 days, do NOT allow it to go 32 days to time out.  Doing that does NOT allow you the refund of the FVFs.  Unfortunately you'd have to call Ebay again, SORRY!!



eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

by: sickandtired This user has validated their user name.

Thu Nov 13 20:02:15 2014

I think we are missing the point here...CS reps - whether good, bad or indifferent are not really the issue.

It is easy to focus on them ...they aren't trained, are rude, don't understand the ever changing policies, read from a script....blah blah blah.....whatever.

The real problems are with the ridiculous policies which ebay is using to bludgeon sellers into submission and to squeeze every last penny out of us.

Ebay will never care about providing good CS....it is not necessary because the buyers get to run wild and sellers don't matter.  I know many have left, but it is shocking to see how many new ones have fallen for the bs and are jumping on board.

Hopefully the newbie sellers are just casual users trying to make a few bucks with their own used stuff and not seriously thinking of starting a business on the sinking ship.

Anyone who wants to keep selling on ebay has to be prepared to be abused by the site and bad buyers. As long as you can deal with the stress and are making enough to justify staying then it is time to suck it up until something better can be found.

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: Ric

Fri Nov 14 00:49:45 2014

It should be clear from all the recent unannounced system and policy changes which result in more profits for eBay, that this company is woefully unprepared to stand on it's own.

eBay and PayPal have not even split yet, and eBay is seeking new revenue streams and reaching so deep into sellers pockets that they are grabbing sellers shoes and socks.

For a company that relies on third party sellers to stock their shelves with merchandise that attracts buyers.

This management team sure seems to believe that third party sellers are going to continue selling on a platform that is obviously more interested in squeezing sellers into bankruptcy than they are for assuring sellers are able to thrive, succeed and profit from the eBay selling experience.

The hue and cry from investors holding stand alone eBay stock will be heard after the split, as sellers head for the exits and eBay GMV continues it's gradual slide towards zero and then negative growth.

It seems eBay's relationship with their third party sellers gets more adversarial on a weekly basis. Surely there are many sellers who will make Q4 2014 their last selling under eBay's designed to fail policies and systems.

eBay's attitude towards sellers is much like the old nuclear war scenarios where mutual self destruction was the only possible outcome.

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

by: pace306 This user has validated their user name.

Fri Nov 14 07:35:34 2014

Ric ......

If you think it's bad now, just wait until early 2015 when SNADbay forces everyone into their managed returns program and even more people run for the exits.

I've had 4 people this week ask me about selling on SNADbay "gee it seems so easy and fun" .... Until I explained all the rules and how little control sellers have displaying, selling, shipping and then dealing with returns visa via their accounts.

Needless to say they all recoiled in horror! you mean SNADbay can FORCE me to do "that"?

Now they won't buy or sell on SNADbay  .....  Mission accomplished!  

It's a shame that SNADbays #1 product is theft from sellers.  

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: Ric

Fri Nov 14 10:34:20 2014

pace....

I completely agree.

I have numerous friends and neighbors who are in the process of retiring and/or downsizing who have asked me about how to get started selling on eBay.

I have told each and every one not to bother.

Between listings that may not be seen, auctions that return terrible prices as a result, to the litany of rules & policies that one must learn and follow, to the nearly daily system glitches, and the ridiculously high fees charged for the privilege of suffering all of the above, I told them that selling on eBay is not something they want to get started with if they want to keep their sanity.

Due to eBay's current management, people will have a better experience and realize better prices for their items if they them to a crooked pawn shop than they will selling on eBay.

Bottom line.... Friends don't let friends become sellers on eBay.

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

by: Massachusets Howler This user has validated their user name.

Fri Nov 14 14:08:10 2014

We cry TOGETHER Tornado.
:-) MH

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: shabbychick

Fri Nov 14 15:28:15 2014

Question:

So if my buyer returns an item and chooses SNAD and I refund full price I get -(defect 1).

Then they leave negative feedback - (defect 2), and low stars -(defect 3).

I will only get 1 defect when all is said and done?

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

by: beverly This user has validated their user name.

Fri Nov 14 16:54:31 2014

when a buyer like myself uses the refund process. shipping is $5.95..very high,, so Ebay gets it's money one way or the other.

Ebay is not giving your feees back, the buyer is by paying higher return shipping

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

by: fashionista This user has validated their user name.

Fri Nov 14 20:27:10 2014

@beverly,
since you seem to have gone through a return as a buyer, can you enlighten us a little as to what you see. Do you have the option at any time to close the case? does it tell you with each choice who will pay return shipping?
Thanks

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: Philip Cohen
Web Site

Sat Nov 15 00:34:24 2014

Ah, what can one say other than, when you deal with eBay you are dealing with ill-thought out policies implemented via poorly written algorithms; regardless, it's all designed to benefit eBay, not the consumer ...

The eBay executive suite—where the incompetent mingle with the disingenuous, the malevolent and the outright criminal, and the just plain stupid ... http://bit.ly/11F2eas

eBay's New System Results in Losses for High Volum   eBay's New System Results in Losses for High Volum

This user has validated their user name. by: Basset

Sat Nov 15 09:36:42 2014

fashionista - the other day when I returned an item the ''who pays return shipping'' part was not there until the buyer chose one of the choices.


Once I chose my ''did not fit...'' choice,  a small confirmation came up that said something like ''$2.50 return label cost charged to your account''


So, unless they change it you don't see WHO pays return shipping until you choose one of the choices.  And, I believe you can go back and choose a different choice.


I should have paid more attention to see if there is a ''cancel'' button.  I do know that ''return'' labels do NOT appear in the ''Shipping Labels'' section of My Ebay. I was curious and I checked.  I guess they are keeping buying separate from selling.


I am not sure if you can access your return label record once you print it. I made a copy of mine for the tracking number.   It is almost as if they should add a Return Labels section under BUYING so that you could have a drop down box option to cancel or track the return package.  

Click to view more comments
1 2 


Login is required to post comments.
To sign in to leave a comment using your AB Verify User Name, fill in the form below. If you have not yet signed up for AB Verify, or if you'd like more information, go to the Registration Page
.

Login for AB Verify
Be sure and use your email address and password to log in.

 
Email:
Password:
 
 Forgot Your Password?
 Even though you are signed in with the AuctionBytes Blog, you will have to sign in to the EcommerceBytes blog. But you can sign in with your existing AB Verify info.