Ebay to crunch shipping overchargers?

[accentnepal]

I can't believe I scooped you guys on this...
or maybe everyone has already given up on Ebay and doesn't care.

A Message from Bill Cobb 

June 27, 2006

Hello,

Earlier this year, I made a promise to the eBay community that I would address the problem of excessive shipping charges.  Members have told us, and we agree – this problem has grown too big, and something must be done.

Excessive Shipping is a turn-off for buyers. In fact, we just completed research that found that the NUMBER ONE reason buyers don’t complete a transaction on eBay is excessive shipping costs.

******skip prattle******

We do have a policy governing shipping costs – but to be honest, we haven’t done a good job of enforcing it.  We wanted to let the market decide.  That’s why, in September of last year, we improved transparency for buyers by adding a shipping cost column in search results.  But for dishonest sellers, the lure of fee avoidance and search manipulation was too great – and this measure didn’t have quite the impact we’d hoped for.

******skip more prattle******

We’ve begun cleaning up the site, but it won’t happen overnight.  We’re starting with the really outrageous abuses.  You know the listings I mean – those listings, for instance, with a Buy It Now price of 95 cents and $50 in shipping fees for an item that costs only a few dollars to ship.

******skip even more prattle******

But if your business model is based on under-pricing items and making up the difference with excessive shipping costs, you need to stop this practice immediately. 

We’ll need to work together to correct this imbalance so that we retain a positive marketplace.  I appreciate your support and cooperation, and I invite you to write to me at billcobb@ebay.com with your comments.

Sincerely,
Bill Cobb 
President, eBay North America

Well guys, I for one am encouraged. 

The cheap price / high shipping trip is a mainstay of my competitors. Of course by the time the shipping cops get around to them  he|| will have frozen over, but let me have my dreams.   


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[amy]

I can't believe I scooped you guys on this...

http://community.tuliptools.com/index.ph...l#msg16761

Well guys, I for one am encouraged. 

Posterboy Adam changed his pricing because of the new policy. No more below $1.00 prices and $8.95 shipping charges for first class . His new pricing is $9.99 with free shipping.  Maybe your competitors will do the same  or maybe not.  :-\

[iron_chick]

http://search.ebay.com/_W0QQsassZbooauctionsQQhtZ-1

eBay still has a ways to go on this one . . . .
Every one of their BINs are a penny - all 272.

[bargainbloodhound]

I'll believe eBay is serious about its new policy when they do something about their top 2 sellers.

everydaysource 7,069 1 cent and 2 cent BINs
http://search.ebay.com/_W0QQcoactionZcom...sofocusZso

eforcity 7,731 1 cent and 2 cent BINs
http://search.ebay.com/_W0QQcoactionZcom...sofocusZso

[Anita]

[quote author=bargainbloodhound link=topic=4324.msg17215#msg17215 date=1152237397]

everydaysource 7,069 1 cent and 2 cent BINs
http://search.ebay.com/_W0QQcoactionZcom...sofocusZso

[/quote]

I looked at a few of their listings.  2 cents BIN and 4.99 shipping... they are working their BUTT off for pennies!!

[bargainbloodhound]

they are working their BUTT off for pennies!!

Yep, many of the volume sellers (including Jay) operate on margins of pennies.  If eBay enforces its policy there's no way half those sellers can pay the extra fees with the slim margins they operate on..unless they  raise their total price (item + shipping)  or eBay cuts them a secret deal on fees.

[accentnepal]

[quote author=amy link=topic=4324.msg17210#msg17210 date=1152235078]

I can't believe I scooped you guys on this...

http://community.tuliptools.com/index.ph...l#msg16761

[/quote]
            --- Well, I said I couldn't believe it!
I still think my presentation was better.

I do see at least faint signs that they are making an effort, how deep it goes only time will tell.  Althogh I am sure he gave no sign of it, being booed at ebay live was surely not pleasant for Mr. Bill. Was it a hearty loud racous BOOOOO, or just a few mal-contents in the back of the room?


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[bargainbloodhound]

being booed at ebay live was surely not pleasant for Mr. Bill.

He's a strong believer in "the community" so I'm sure he was glad to be booed since he knew the booing would bring joy to thousands in  "the community" . :twistedevil:

[xppman]

These morons are going in so many different directions now it's comical
to watch and at the same time makes me angry
that the top dogs of feebay are being paid millions
of dollars but have essentially ruined the brand / site
and have played a big part that helped distort some consumers fears
about buying online. Well at least 14% of them.  LOL

OK I'm glad they are ruining the site because then more people
just buy direct from us smaller merchants.. but still pretty angry that
they get paid so much but have produced so little.

[Anita]

[quote author=bargainbloodhound link=topic=4324.msg17219#msg17219 date=1152243206]

they are working their BUTT off for pennies!!

Yep, many of the volume sellers (including Jay) operate on margins of pennies.  If eBay enforces its policy there's no way half those sellers can pay the extra fees with the slim margins they operate on..unless they  raise their total price (item + shipping)  or eBay cuts them a secret deal on fees.
[/quote]

One of the reasons I quit selling on eBay was because my profit margin was fairly slim as well... AND all the constant glitches and such cut into my profits even more so.  Tooooooo time consuming.

eBay sucks even worse now.