eBay Store Fees Explained

The whole concept of marketing has undergone afinal sale price balance ($50.01 to $1,000.00)
complete metamorphosis in recent years with the12.0% of the initial $50.00, plus 6.0% of the remaining
Internet providing unbelievable ease and convenience.final sale price balance ($50.01 to $1,000.00)
Online selling has become a home business that can$1000.01 or more 8.0% of the initial $50.00, plus 5.0% of
be done by anyone in their spare time. Out of all thethe next $50.01 - $1,000.00, plus 2.0% of the remaining
online selling options, selling on eBay is the mostfinal sale price balance ($1,000.01 - final sale price)
convenient option. The start-up cost is low, and it is12.0% of the initial $50.00, plus 9.0% of the next $50.01 -
possible for a person to work from home and at their$1,000.00, plus 2.0% of the remaining final sale price
own pace.balance ($1,000.01 - final sale price)
However, before venturing into the business of selling15.0% of the initial $50.00, plus 5.0% of the next $50.01 -
on eBay, it is necessary to understand the modus$1,000.00, plus 2.0% of the remaining final sale price
operandi and the different fees that are applicable forbalance ($1,000.01 - final sale price)
different facilities. If one does not understand the fees12.0% of the initial $50.00, plus 6.0% of the next $50.01
structure, he/she might not show any profit at the end- $1,000.00, plus 2.0% of the remaining final sale price
of the month. The different applicable fees arebalance ($1,000.01 - final sale price)
explained below.*This category also includes: Pro Audio Equipment,
Subscription FeeComputers & Networking, Car Electronics, Cameras &
At the time of opening an eBay store, a monthly storePhoto, and Video Game Systems.
subscription will be applicable, which will be effectiveBusiness & Industrial Equipment Fees
immediately when a subscription is made for aThe specific fees for Business & Industrial capital
minimum 30-day period. It is advisable to start with theequipment categories are:
lowest priced monthly subscription because it isInsertion fee: $20.00; Reserve fee: $5.00; and Final
possible to upgrade whenever there is any need to dovalue fee: 1.0% of the final sale price with a maximum
so. Since the success of the store cannot becharge of $250.00.
estimated at the start of operations, paying the topThe specific list of business & industrial capital
subscription is probably not a good idea.equipment categories and sub-categories is available
If the subscription level needs to be changed oron eBay's website.
cancelled within the 30-day period, the bill for the entireOptional Features Fees
30 days will have to be paid. However, after the firstCertain optional listing features can be added in order
30 days, the store subscription fees will be pro-rated ifto boost the chances of selling your items.
any changes are made. The subscription fee for BasicBuy It Now Fees: A fixed low price can be assigned to
store level is $15.95 per month, for Premium level, it isthe items so that the customer can use the Buy It
$49.95 per month, and for Anchor level, it is $299.95Now option. eBay will charge a nominal fee ranging
per month.between $0.05 and $0.25 and depending on the price
Insertion & Final Value Feesfixed for the Buy It Now offer.
Besides the subscription fees, insertion and final valueListing Upgrade Fee: A large number of listing upgrades
fees are also applicable, based on the subscriptionare available. Some of these are very useful but
fees. Whenever an item is listed, an insertion fee willothers are not very useful. Items that are expensive
be charged by eBay. In order to minimize this fee, it iswill receive a better value from these upgrades as
important to know how this system works. There arecompared to other non-expensive items.eBay Picture
different thresholds of the selling prices and theseHosting Fees: It is possible to host pictures in order to
thresholds end in.99. While setting the auction price, it isconvey a better idea of the products and to advertise
important to end it at.99 below the next threshold. Forthe usefulness of the same. However, it is only
example, if you want to sell an item for $100, and if thepossible to upload one photo for free; a fee will be
thresholds are $25.00-$99.99 and $100.00-$199.99, theincurred for uploading more than one photo. If it is
insertion fee will be a dollar higher if the item is listed atnecessary to upload many pictures, use a free
$100. The item should be listed at $99.99.photo-hosting site like ImageShack. In the categories of
If an item does not sell, and if the eBay store ownercollectibles, art, pottery, glass, and antiques, all listing
wishes to relist it, eBay will credit the insertion fee if theformats and durations are free for eBay-hosted
item sells. However, eBay will not refund the insertionpictures, Picture Pack and Gallery Plus.
fee if an item is relisted more than once. The insertionReserve Price Fee: Buyers can be informed in the
fees for auction-style format when the store ownerlistings about the reserve price for the item, which is
has an eBay stores subscription are shown againstthe lowest price that the seller is willing to accept in a
the price ranges below.given auction so that it is met. If the reserve price is
Insertion Fees for Storesnot met, eBay will charge a fee.
Starting or reserve price Insertion fee*PayPal Fees:The eBay store owner will have to open
$0.01 - $0.99 $0.10a PayPal account for accepting payments on eBay.
$1.00 - $9.99 $0.25For accepting credit card payments, a premium PayPal
$10.00 - $24.99 $0.50account would be necessary. Transaction fees
$25.00 - $49.99 $0.75increase with each credit card payment and, as such, it
$50.00 - $199.99 $1.00is advisable to avoid credit card payments for small
$200 or more $2.00amounts. For example, the transaction fee for a credit
*eBay Stores sellers aren't eligible for the 100 freecard payment of $1 would cost the seller $0.33, which
insertion fees per month on auction-style listings.is 33% of the sale amount!
Final Value Fees for eBay StoresPoints That Need Attention
Final sale price Final value fee• If a seller account gets suspended for any reason,
Item not sold No feeall charges on that account are due for payment
$0.01 - $50.00 8.75% of the final sale priceimmediately. If any amount has not been disputed
$50.01 - $1,000 8.75% of the initial $50.00, plus 4.0% ofpreviously, it will be charged on the billing method by
the remaining final sale price balance ($50.01 toeBay.
$1,000.00)• eBay does not guarantee exact listing durations
$1,000.01 or more 8.75% of the initial $50.00, plus 4.0%and as such when any listing is submitted, it might take
of the next $50.01 - $1,000.00, plus 2.0% of themany hours for it to appear in a keyword or category
remaining final sale price balance ($1,000.01 - final salesearch.
price)• Good 'Til Cancelled listings are renewed every 30
Fixed-Price Format Feesdays automatically till the sale of the item or till the
The fixed-price format can be used to list items at alisting is withdrawn. Insertion fees are charged on a
fixed price so that buyers would be able to buy items30-day period cycle.
without bidding. When the items are sold, a final value• If eBay's current applicable subscription
fee would be charged to the eBay store owner. Therequirements are not met, the stores' subscription level
fixed price insertion fee for Basic Subscribers is $0.20,of the store owner can be changed by eBay by giving
for Premium Subscribers it is $0.05, and for Anchor30 days notice via email. Billing for the entire 30 days
Subscribers, it is $0.03. This applies to each listing, nowill be done by eBay if the above change is done
matter how many items are in the listing.during the first 30 days of the subscription. After that
Fixed Price Format Final Value Fees for Storesperiod, the stores' subscription fees will be pro-rated.
Final sale price Electronics* Clothing, Shoes and• It is possible to see account activity of the last four
Accessories, Motors Parts & Accessories Books,months on the Account Activity Page.
DVDs & Movies, Music, Video Games All other• Each listing will attract relevant fees.
categories• eBay has the right to place third-party
Item not sold No fee No fee No fee No feeadvertisements on any page of a store's website
$0.99 - $50.00 8.0% of the final sale price 12.0% of thewithout any consent from the owner, without any
final sale price 15.0% of the final sale price 12.0% of thepayment, and at its own sole discretion.
final sale priceA shopping business on eBay is a great way of doing
$50.01 - $1000.00 8.0% of the initial $50.00, plus 5.0% ofa home business. However, several types of fees will
the remaining final sale price balance ($50.01 tohave to be paid whether or not the items are sold in
$1,000.00)an auction or an eBay store is set up. It is advisable to
12.0% of the initial $50.00, plus 9.0% of the remainingunderstand the eBay fee structure in order to avoid
final sale price balance ($50.01 to $1,000.00)paying back the entire profit by way of fees to eBay.
15.0% of the initial $50.00, plus 5.0% of the remaining