eBay’s latest move, some of the auction site’s devotees say, is straight out of the Ministry of Truth’s playbook.
The company made an announcement on Tuesday announcement about lowering the listing fees for items–even though, in many cases, final value fees will be raised. The company’s discussion forums simmered with outrage over the executive decision, and frustration over the lack of other options for auction-style e-commerce.
“What a joke,” commented one person on the eBay Seller Central forum, asking for advice about transferring the items from an eBay “store” to another auction site. Another suggested putting together an April Fool’s Day protest.
eBay representatives say that these opinions come from the minority. “A lot of the sellers that we’re talking to are very, very happy with these changes,” said Todd Lutwak, eBay’s senior director of seller experience. He said it gives a better array of options for different kinds of sellers. “What we’ve done with these price changes is, we’ve segmented the seller population and then we’ve provided those segments with what we feel are better options to meet their needs.”
Here’s the math: Individual eBay items with a starting price of 99 cents or less no longer have a listing fee, and if they don’t sell, the seller pays nothing; but if they do sell, the final value fee is 9 percent with a maximum of $50. Previously, it had been 8.75 percent for the first $25, and 3.75 percent after that. For more serious eBay sellers who purchase subscriptions to run “stores,” final value fees have been altered so that they start at a lower threshold, but in some cases can ultimately get higher. eBay piloted these changes in some European markets starting in 2008 (with success, representatives say), and later added some U.S.-based beta testers whom it’s showcased in a new promotional site explaining it all, called “The Best Place To Sell.”
