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Tue Sept 13 2016 13:23:39

When eBay Shipping Fees Exceed the Cost of an Item

By: Reader

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Dear Ina,
eBay's Outrageous Global Shipping Fees: For some time now, eBay has been nudging sellers to opt into their Global Shipping Program. As a seller, I resisted for quite some time, but then succumbed. Ever since I opted in I've noticed a steep increase of International Buyers abandoning their shopping carts. I've come to deduce this is due to the outrageous shipping fees that eBay assesses on their purchases. 

Since I am the Seller, I do not know what eBay charges my customers - until today. 

I had a Canadian customer contact me after purchasing several items (which totaled less than $120 USD). She said that eBay assessed her a $73 shipping charge, and an additional $80 "international fee"! Insanity! No wonder customers abandon shopping carts. 

eBay is charging $153 to ship a $120 item? (BTW, I offer Free Shipping on my items, so I'm puzzled how eBay determines a shipping weight, value, etc... and this particular purchase weighed less than 12 lbs.).

There may be a foreign duty/tax formula that eBay is assessing, but it seems that eBay may be quite off on that formula.
Regards,
Lisa




Comments (15) | Permalink

Readers Comments

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: angryllama This user has validated their user name.

Tue Sep 13 17:01:29 2016

Lisa.   LEAVE  GSP.   Leave it before you go to bed TONIGHT.  Everything you attest to is RIGHT THERE in black/white in how Global Shipping Program  is SAID to work.  Ebay and Pitney Bowes have this insane conviction that Buyers OUTSIDE USA are just champing at the bit to pay TOO much for the item, Pay TOO much for the export PRIORITY MAIL shipping to their own front porch,  PAY too much for VAT that their own country MIGHT or MIGHT NOT charge on an inexpensive item... and to top it off they PAY Import Duty on their purchase... even IF and WHEN the $-VALUE is below that country's own Threshhold as to whether ANY $-Duty is actually charged. Yep.  DROP GSP before you go to bed tonight and never look back. The ONLY 2 saving graces in the story you retold is that YOUR EXPORT BUYER speaks / reads / understands ENGLISH and that no matter they are outraged at the overall Total cost THEY SAW THE AMOUNT and STILL CHOSE TO PAY IT ! Yes, those are ALL CAPS and yes for once in my life it is because I am YELLING that point.  Your buyer was utterly, totally, FREE to just abandon the purchase once THEY saw the total they were presented. Global Shipping Program is DUMB as a Pillowcase full of hammers.

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: pace306 This user has validated their user name.

Tue Sep 13 18:16:32 2016

.... ALOT of people need to make "coin" when you use GSP.

It used to be GSP prices were cheap and PB didnt take too much of a bite "of the apple".

But then as what happens with every eBay program happens.....

Its said that pigs get fat and hogs get slaughtered - and when people experience eBays behavior ... then tend to walk if not run away.

If it was me (and many here will tell you to never listen to me ... LOL) now that you have the customers info (email) just go around eBay.

Thats really all eBay is good for these days anyway (its not like you make sales or anything) ... use it to find new customers!

eBay and PB upped their take, plus they "forget/dont care" to make sure if certain countries at certain price levels even have VAT - they just assume they do then pocket it.

Of course there are many here who tell me that Im oneof those people who just have an axe to grind about eBay all time ... its not true - I just keep bumping into their greedy ways, every where I turn.

I was in the GSP pilot program way back when. It solved alot of issues for me - since once it went to KY as a seller I was "done".

But as time went on, eBay changed the "perks" of GSP. Early on GSP checked each item so you could NEVER get a SNAD ... no longer .. stuff like that.

eBay has now pushed me out of GSP on alot of things - some nonsense about Parallel Imports (eBay sells the listing tools to verowatch.com, who then charge companies $150-300 per half hour to troll listings and then they report them back to VERO! So, no more GSP for me (for alot of items). Too bad - I guess the new CEO will have to find his revenue for his golden parachute from someone else ....!

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: Bethofvt This user has validated their user name.

Wed Sep 14 07:25:08 2016

It is not just GSP! International shipping is expensive.  This week i paid $22.35 to ship a $14 item to UK, last week I paid $24.00 to ship and $8 item to New Zealand.  And in both cases, the buyer will still have to pay VAT fees before they can have their items delivered from customs.

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: bpm This user has validated their user name.

Wed Sep 14 08:54:23 2016

GSP is an absurd rip-off; the first time I bought through it (an item in the USA, I am in the UK), I read up all the details I could about GSP, then deliberately kept my purchase + shipping way below the UK import level.

GSP charged me duties on everything regardless, even though none were due, and the purchase cost me about 40% than I budgeted. I'll never buy any GSP item again - simples! Well done Ebay! I used to buy a lot from abroad, but of course, that was in the days when Ebay produced sales and an income.

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

This user has validated their user name. by: toolguy

Wed Sep 14 10:03:48 2016

I don't do GSP

eBay opted me in the program once.

I called and explained that my US Government tools are NOT allowed to be sold out of the USA.

I asked eBay if they wanted to talk to the DOD (Department of Defense) on what was legal and what was not.

They opted me out of GSP ASAP. . .

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: Whatever This user has validated their user name.

Wed Sep 14 10:54:18 2016

I used to sell tons to the UK Canada and even Austrailia - Japan and Germany once in awhile so when GSP came out I was thrilled - for a minute - I had a regular customer from Austrailia purchase a simple pin. I already knew what the shipping charges were because I had shipped to her before.  Yes the item went straight to Kentucky which I thought at the time was asinine since I'm already on the west coast but who was I to question the ebay gods? Well it ended up costing my buyer 2.something more than the norm and she never purchased another thing from me again on ebay (reading between the lines ebay?) I immediately opted out of GSP and never looked back. Shame on ebay. I'm sorry but I personally don't think there is a living breathing human on the planet that needs to make millions of dollars a year off the backs of the hard working people. Even the freeking president of the country only makes $450,000 a year. Come on. Greed Greed Greed of corporate America makes me sick

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

This user has validated their user name. by: Rexford

Wed Sep 14 12:18:44 2016

I'd love to know what eBay's cut of global shipping is.

Between the hogs at eBay and the hogs at Pitney Bowes I wonder which hog is eating the most slop?

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: pfft!! This user has validated their user name.

Wed Sep 14 12:27:37 2016

Just to present the other side....there are PLENTY of sellers you will NEVER hear from who are very happy with using the GSP.  

I read all the complaining about it for MONTHS when it first started and so never bothered to even look into it.  I had quit shipping internationally YEARS ago due to the lack of seller protection.....rising overseas shipping costs....and the potential to lose SO much should the sale go sideways for any number of reasons.

Also, the false narratives are astounding.  The only complaint that I see regularly that is true is that buyers don't like paying the import fees up front (or at all).
For instance, THIS OP complains about how much her buyer was being charged to ship to Canada but then goes ON to say she has NO idea how they arrived at that price since she ships free and so there are no weight/dimensions in her listing.  Well duh....if you're going to ship with GSP you're SUPPOSED to enter the weight/dimensions when you list the item so that GSP can charge the customer CORRECTLY for the overseas leg.  IF you DON"T....it is left to "guess".  And yes...probably guesses on the high side to be safe (they're not in it to LOSE money).

I ship a lot of HEAVY items.  GSP ships many of them for LESS than what it would actually cost ME if I were to ship myself.  AND they protect me from claims of INR.  They ALSO protect the seller from "breakage" claims.  So long as you safely get your item to their Kentucky hub you're protected from most overseas buyers claims and they have to deal directly with GSP.  By shipping through GSP I have NO customs forms to mess with.  It's just like shipping within the USA.  I simply ship to KY and they do the rest.

All these reasons are reasons that many Sellers (who you'll never hear from here) LOVE GSP.  Many of us wouldn't even be OFFERING to ship overseas without this program.

I've made MANY overseas sales through GSP that I would otherwise NEVER so for that I'm grateful.  

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: HappyOne This user has validated their user name.

Wed Sep 14 13:04:33 2016

Another Vote for GSP.  I have had 24 GSP sales since January (which I would not have had after giving up International sales in 2007 - 5% of sales 50% problems). I find no reasons to exclude any Country that GSP ships to (I wonder why Luxembourg is excluded). I offer USA ''free shipping'' (included shipping); now I must put in weight and box size details. There is no reason to exclude heavy items let the customer decide. No reason to exclude low priced items let the customer decide. Most requests for direct shipping have been from those not wanting to pay customs upfront (I guess many items slip through without the tax). Upside buyers have their purchase much sooner (maybe with taxes paid upfront  they get through customs faster with Pitney Bowes handling things).  I mostly sell one of a kind treasures (other people's junk); multiple purchases may have issues. Do not forget many people Worldwide have money and really do not care what cost is of something they want.  

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: Scotty This user has validated their user name.

Wed Sep 14 16:44:21 2016

This is all Pitney Bowes....they have been instrumental in the restrictions that were applied to the Media category 1-2 years ago (Records, Books, Movies, etc.)  When it was first implemented, sellers starting seeing restrictions regarding countries they do not ship to...when in most cases, they had ticked the ''Worldwide'' box.  Now they just hide the countries you are restricted from selling to regardless if you have ticked Worldwide.  I have not had one sale from Thailand or Malaysia since this started.  I used to have almost daily sales to China...now, maybe 3 in the past year.  This all started when they brought Pitney Bowes onboard for GSP.  I have no doubt they are behind the scenes and in inactuality ''running'' the shipping ''machinery'' for ebay.  All of these issues started when they did.  On the surface, it looks like you can do whatevery you want shipping-wise, behind the scenes, Pitney Bowes is calling the shots.  Yet another ''improvement'' that has ruined international sales for me....they used to be close to 65% of my sales, now they are 3-5%.  And I have said it before, yet again I still amazingly have the same monthly revenue number +/- EVERY SINGLE MONTH regardless of the inventory which is new and different each and every week.  There's your question for Wenig....HOW IS THIS POSSIBLE????

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: dander This user has validated their user name.

Wed Sep 14 17:46:49 2016

I notice some items being returned because the item wasn't picked up, its usually because they don't want to pay the VAT. Its the same story "I wasn't notified I had a package" I tell them I can resend it if they pay for postage again, or I will give a refund minus postage.  

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

This user has validated their user name. by: Marie

Wed Sep 14 18:17:06 2016

@dander

That happens from time to time on regular shipments [not using GSP].  FYI, Per the Ebay rules, their refusal to pick up the item for whatever reason they may have still constitutes delivery for the seller.  

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

This user has validated their user name. by: Rexford

Wed Sep 14 22:16:42 2016

Scotty says " And I have said it before, yet again I still amazingly have the same monthly revenue number +/- EVERY SINGLE MONTH regardless of the inventory which is new and different each and every week.  There's your question for Wenig....HOW IS THIS POSSIBLE????"

Same here. And after a few days of exceptional sales we ARE ALWAYS THROTTLED to no or few sales for a few days.

And some people wonder why I loathe this company and rarely have anything nice to say about them. Stop wondering.  They are manipulative and corrupt.

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: bpm This user has validated their user name.

Thu Sep 15 13:27:23 2016

I second Rexford and Scotty! Same sales figure every month (which is fraction of what I used to sell).

To Pfft! "The only complaint that I see regularly that is true..." how about another - GSP charges duty even when none is due; where do you think that money goes, because I really really doubt it is passed on by Pitney or Ebay? More pocket-lining loose change for Wenig Dumbnuts?

When eBay Shipping Fees Exceed the Cost of an Item   When eBay Shipping Fees Exceed the Cost of an Item

by: Toledo Maude This user has validated their user name.

Thu Sep 15 14:14:59 2016

International postage rates are high to the point of killing my international sales and those of many sellers.  Ebay's global shipping program makes the postage rates look like a bargain.

EBay has two rich sources of income:

1.) Final value fees on domestic shipping.

2.) Global shipping program.

The GPS could have been used to help US sellers ship world wide at a cost less than the USPS, but eBay just could not pass up the opportunity to screw the sellers and buyers.

EBay does not send individual packages to foreign countries, instead they send consolidated multiple shipments.  This saves mega bucks for eBay on shipping charges. Who pockets the savings?  Not the sellers.  Not the buyers.  



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