Remember when a quarter bought you an eBay listing? That rate has gone the way of the $1 gallon of gas. The auction giant is hiking some listing costs again–and final value fees on lower priced items are also going up.
Beginning January 30th, sellers on eBay.com and eBay Canada will pay a little more for items with a starting price of between $1 and $9.99. The listing fee will change from 35 cents to 40 cents. All other insertion fees remain the same.
eBay is also raising the Final Value Fees on items that sell for over $25. Final Value Fees are based on the closing price of a listing and are broken into three tiers, or "tranches" using eBay speak. The second tier is one that will be going up. The auction company will now receive 3.25 percent of the closing price, rather than the current 3%. All other tranche fees will remain the same.
Customers got this message about the price increase from eBay Prez Bill Cobb:
As I’ve said many times, one of our most important jobs here at eBay is ensuring that we’re driving buyers to the site. This online holiday shopping season was a big success, and I want to acknowledge the outstanding efforts this last quarter from our marketing team led by Gary Briggs. Our integrated "IT" campaign performed well for the second year in a row, reaching our targeted shoppers an average of 13 times per person.
In fact, according to Nielsen NetRatings, overall traffic to online shopping sites on the day after Thanksgiving (known as "Black Friday") grew 12% from last year–and eBay was the number one shopping destination that day with an impressive 7.5 million unique visitors. But the good news didn’t stop there. This momentum continued through the weekend to "Cyber Monday" (the Monday after Thanksgiving), which has become associated with peak online holiday shopping activity. I’m pleased to report that Nielsen declared eBay the most visited Internet site that day, too, with 5.6 million visitors.
Of course, our shelves need to be well-stocked when the buyers arrive, so these results are testament to the partnership we have with our dedicated sellers. We can all be proud of our joint success in pleasing shoppers with whatever "IT" was this season.
Looking ahead at the new year, it’s never been more important that eBay deliver value through our marketing investments, product initiatives, and Trust & Safety strategies. Times have changed from 11 years ago when we were a small innovative idea on the Internet. Quite frankly, some of the problems demanding our attention are more complex. But what inspires me every morning–and what I hope inspires you, too–is that the opportunities for eBay and its Community to succeed by celebrating what makes us unique have never been greater.
Later this month, I’ll be addressing a group of eBay sellers who will be here in person in the San Jose area, and I’ll be sharing some of our plans and priorities for the coming year. My keynote speech will be available via a recorded Webcast for our whole Community (more details will be available soon) and we’ll be following the event with more announcements on specific initiatives. I think you’ll find we’re taking a surprisingly fresh look at some of the old challenges, and I’m excited about the road ahead.
On behalf of everyone at eBay, I wish you all a very Happy New Year.
President, eBay North America