Hello & Welcome to the Easy Auction Business weekly video newsletter! As announced by eBay a few weeks ago, from 25th September this year a lot of changes are coming to the marketplace affecting the majority of the sellers. Probably you have already noticed some recent minor changes – in the listings’ layout as well as on the “My eBay Page”. But today we won't talk about the visual changes - although I think they look really cool! Instead we’ll focus on some other changes which really matter to you and other eBay sellers. So let’s get started! Bits and Pieces Apart from the fee structure changes, eBay has announced some other small improvements and changes, like:
There are also new requirements for eBay shop owners: For Basic Shop – you need to have a minimum feedback score of 10 OR be PayPal Verified. For Featured Shop – you have to be a registered business seller on eBay AND be PayPal Verified AND maintain a 12-month average Detailed Seller Ratings (also known as DSR) score of 4.4 or above in each of the four areas. For Anchor Shop – you have to be a registered seller on eBay AND be PayPal Verified AND maintain a 12-month average Detailed Seller Ratings (also known as DSR) score of 4.6 or above in each of the four areas.
As promised by eBay, they're lowering the insertion fees for Buy It Now listings. The new fee structure will greatly benefit the volume sellers as well as highly priced item sellers and those who list many identical items. The new fee structure is not based on items’ price at all! There's a very simple, easy to understand scheme – the more you pay for the Shop, the lower will be your listing insertion fees. As low as 1p for Anchor Shop owners. How's that sound? Just 1pence for listing a 2000 quid plasma TV? Of course, not many of us have Anchor Shops, – but even with a Featured Shop you can get some really nice discounts – just 5 pence fixed fee for anything you sell! And that's not all – from now on, we can choose listing duration up to 30 days for the same, low fixed insertion fee. There are 6 options available: * 3 days So now it's really much easier to know how much you have to pay as everything is covered by the same rules with only one exemption - “Media category”. The fees in this category differ from the general ones. This all sounds good but where's the catch? Is there one at all? Well, it depends on how you look at it. A clearly negative change can be found in the Shop fees and the Final Value Fees. Final Value Fees will increase across all the categories (except Technology and Media Categories). As you can see from the table for BIN listings – there's a very dramatical increase in FVF if the product's price is below 49.99 pounds. So if you're selling products in that price range, make sure you're taking the advantage of this. FVF for a 45 quid item will be 4.46 but for 50 quid item only 2.95 pounds. The same principle applies on auction listings – if the final price is below £29.99, the Final Value Fee is calculated at 8.75% but for items with the final price of 30 pounds and higher, just – 5.25%
From the 25th September your eBay Shop's fee will be more like a monthly payment which in turn gives you substantial listing fees’ discounts. It comes at a cost, though: Basic Shop's monthly fee will increase from the current £6 to £14.99 So which Shop subscription you should use? In fact, it's a very simple decision! You should choose your subscription level based on how many listings you submit to eBay each month:
Of course, each Shop subscription gives you other advantages, like how many custom pages you may have, free scheduling, traffic reports, telephone support etc. So if you’d like to have a telephone support without being a PowerSeller, you could just opt in for the Featured Shop and – the problem’s resolved!
Want to get more out of your auctions? You could consider using some paid upgrades to enhance the visibility of your items in search results. Most of the upgrade fees stay at the same level as before. The 30 day BIN listing upgrades will cost just 3 x more than the regular 10 day listing upgrades. There's also a new upgrade available - “Featured First” which costs £44.95 for up to 10 day listings or £134.95 for 30 day listings in general categories and £11.95/£35.95 in media category. Also, from the 25th September the International visibility upgrade will be removed for BIN listings. So if you want your BIN listings to appear on eBay.de for example, you have to list on eBay.de directly, accordingly to their fee structure. This doesn't affect the regular auction listings, though.
Now, when we have covered the most important changes, the question should arise – how can I make the most out of the new changes? Well… It's a very good question indeed and only the time will tell what the best answer is... The problem is that many sellers will think: “Hey, the listing fees are so small! I'll get “Featured Shop” and list hundreds of listings per day!” But they will miserably fail... Why? Because of the “Best Match Algorithm” which is now default across all the eBay sites. You see, eBay make all these changes with a purpose. eBay marketplace has become very huge in recent years, with millions of active listings at any given moment. It was actually a bit weird that the listings’ position in search results was determined ONLY by the remaining listing time. Now, everything changes with “Best Match”.
To put it simply, it means that the listings in search results will appear based on several factors. No one knows the exact formula apart from eBay, but what we know for sure is that the following elements have a direct impact on listings rankings:
You see – even though the listing fees will be lowered, you won't have high search rankings unless your conversion rates are very good. It's very important to understand what eBay wants to achieve by implementing these changes. So you have to PLAY by the RULES! If you do, eBay will reward You! So what eBay want? Here's my guess: eBay want quality listings that sell more stuff! They want fewer listings that sell more items! Why do you think they lowered insertion fee but increased Final Value Fee? So that you sell more stuff from a single listing! eBay is continuously moving towards the Amazon Marketplace model and BIN listings will play a huge part in this plan. Sure, auctions will still be popular but more and more sellers use the BIN format.
In the upcoming months I'll conduct several tests with my own eBay Shop and I will share the results in our weekly newsletter. Also, from this week, we have a dedicated forum under the Spicy Auction Templates main forum – so make sure to drop by and introduce yourself! Until Next Time, Have a Question? Click Here!
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