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Author Topic:   Total Ebay/Paypal Costs to Seller is usually between 13.4%-17.9%
MTDetermine
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posted July 21, 2011 10:32 AM   Click Here to See the Profile for MTDetermine Click Here to Email MTDetermine Send a private message to MTDetermine Click to send MTDetermine an Instant Message Edit/Delete Message Reply With Quote 
Ebay link: http://pages.ebay.com/help/sell/fees.html#fvf_fixed

Paypal fee is 3.9% for international payments. Only start falling to 3.5% if you accept over $3000/mth
Paypal fee is 2.9% for USA payments. Only start falling to 2.5% if you accept over $3000/mth

Calculations below based on 3.9% international payments. If you are USA, just minus 1% from the result as you pay 1% less in paypal fees.

Shipping is factored in as part of the cost as
1) You pay paypal fees on the shipping portion now
2) You pay ebay fees on the shipping portion now

Auction Style Listing: Flat 9% final value fee, cap at $100

$50 Auction comprising $48 card + $2 shipping.
Ebay fee = $4.50 (9.0%)
Paypal = $1.95 (3.9%)
Shipping = $2.00
Total = $8.45 or 16.9% cost

$100 Auction comprising $48 card + $2 shipping.
Ebay fee = $9.00 (9.0%)
Paypal = $3.90 (3.9%)
Shipping = $2.00
Total = $14.90 or 14.9% cost


For $50 Fixed Price Ebay (fixed price to ensure you don't get a freak result), comprising $48 price and $2 shipping.

Paypal fees: $1.95 (3.9% of $50)
Ebay fees: $5.50 (11% of $50)
Total fees: $7.45
Shipping: $2.00
Total costs: $9.45....For $50 BIN, you only get $40.55, which is like, 18.9% cost?

For $100 Fixed Price Ebay (fixed price to ensure you don't get a freak result), comprising $98 price and $2 shipping.

Paypal fees: $3.90 (3.9% of $100)
Ebay fees: $8.50 (11% of $50 + 6% of last $50)
Total fees: $12.40
Shipping: $2.00
Total costs: $14.40....For $100 BIN, you only get $85.60, which is like, 14.4% cost?

For $200 Fixed Price Ebay (fixed price to ensure you don't get a freak result), comprising $198 price and $2 shipping.

Paypal fees: $7.80 (3.9% of $200)
Ebay fees: $14.50 (11% of $50 + 6% of last $150)
Total fees: $22.30
Shipping: $2.00
Total costs: $24.30....For $200 BIN, you only get $175.70, which is like, 12.2% cost?


For $400 Fixed Price Ebay (fixed price to ensure you don't get a freak result), comprising $398 price and $2 shipping.

Paypal fees: $15.60 (3.9% of $400)
Ebay fees: $26.50 (11% of $50 + 6% of last $350)
Total fees: $42.10
Shipping: $2.00
Total costs: $44.10....For $400 BIN, you only get $355.90, which is like, 11.0% cost?


Auction Style listing pretty much cost you 12.90%, unless your auction can end at over $1111. But how many of you get to auction something that will end at more than $1111? Beta Lotus? Your entire MTG collection?

You pretty much need to sell at $400 BIN to pay only 11% in total costs. I am not sure how many MTG cards out there can give you $400 BIN. Maybe playset of Rev Seas and Rev Tropical Island?

If you are selling a $50 card, or a playset worth $50 (a card worth $12.50 is already more valuable than 99% of MTG cards out there), you get hit with 19% cost. Good luck!

International Sellers
So ebay/paypal costs are ~14.90% for auction style, and 14.4%-18.9% for BIN between $50-$100.

USASellers
So ebay/paypal costs are ~13.90% for auction style, and ~13.4%-17.9% for BIN between $50-$100.

[Edited 2 times, lastly by MTDetermine on July 21, 2011]

 
NiceFaceLOL
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posted July 21, 2011 10:33 AM   Click Here to See the Profile for NiceFaceLOL Click Here to Email NiceFaceLOL Send a private message to NiceFaceLOL Click to send NiceFaceLOL an Instant Message Edit/Delete Message Reply With Quote 
Not sure if mods can sticky stuff here but this deserves it.

Thanks Determine!

 
MTDetermine
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posted July 21, 2011 10:34 AM   Click Here to See the Profile for MTDetermine Click Here to Email MTDetermine Send a private message to MTDetermine Click to send MTDetermine an Instant Message Edit/Delete Message Reply With Quote 
Before someone starts shooting his mouth off on "shipping being included", please note that the title is "Ebay/Paypal Costs". Shipping is one of the cost incurred when you sell stuff to people.

IF the title is "Ebay/Paypal Fees", then shipping will not be included.

But USPS/UPS/FedEx don't work for free, so there you are, "Ebay/Paypal Costs"

 
wayne
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posted July 21, 2011 10:44 AM   Click Here to See the Profile for wayne Click Here to Email wayne Send a private message to wayne Click to send wayne an Instant Message Edit/Delete Message Reply With Quote View wayne's Have/Want ListView wayne's Have/Want List
quote:
Originally posted by NiceFaceLOL:
Not sure if mods can sticky stuff here but this deserves it.

Thanks Determine!



No "sticky" feature on MOTL

 
bigbob585
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posted July 21, 2011 10:53 AM   Click Here to See the Profile for bigbob585 Click Here to Email bigbob585 Send a private message to bigbob585 Click to send bigbob585 an Instant MessageVisit bigbob585's Homepage  Edit/Delete Message Reply With Quote 
oh no! Does this mean that the MOTL price guide is about 15% high on average?
 
Bagbokk
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posted July 21, 2011 11:11 AM   Click Here to See the Profile for Bagbokk Click Here to Email Bagbokk Send a private message to Bagbokk Click to send Bagbokk an Instant MessageVisit Bagbokk's Homepage  Edit/Delete Message Reply With Quote 
quote:
Originally posted by MTDetermine:
Before someone starts shooting his mouth off on "shipping being included", please note that the title is "Ebay/Paypal Costs". Shipping is one of the cost incurred when you sell stuff to people.

IF the title is "Ebay/Paypal Fees", then shipping will not be included.

But USPS/UPS/FedEx don't work for free, so there you are, "Ebay/Paypal Costs"


Not trying to be difficult, but trying to figure one thing out:

You used $50 fixed price eBay, comprising $48 price and $2 shipping.

You took 3.9% off $50, and took 11% off $50, this is fine because eBay takes fees off shipping too.
You also took $2 off shipping, this is fine because that is actual cost of shipping.

But you ended up with $9.45 "cost" (seller receives 40.55 out of 50.00), my question is shouldn't that be out of 48.00--so, $7.45 actual "cost" (seller receives 40.55 out of 48.00, the value of the cards not including shipping)?

This comes out to 15.5%.

Bleh, finding it hard to explain and I don't do math anymore. Bah I'm done editing

[Edited 6 times, lastly by Bagbokk on July 21, 2011]

 
rats60
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posted July 21, 2011 11:16 AM   Click Here to See the Profile for rats60 Click Here to Email rats60 Send a private message to rats60 Click to send rats60 an Instant Message Edit/Delete Message Reply With Quote View rats60's Have/Want ListView rats60's Have/Want List
quote:
Originally posted by bigbob585:
oh no! Does this mean that the MOTL price guide is about 15% high on average?

Except it doesn't include shipping into its price. It is about 12% high for the seller and ~1.00-2.00 low for the buyer.

 
rats60
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posted July 21, 2011 11:24 AM   Click Here to See the Profile for rats60 Click Here to Email rats60 Send a private message to rats60 Click to send rats60 an Instant Message Edit/Delete Message Reply With Quote View rats60's Have/Want ListView rats60's Have/Want List
quote:
Originally posted by Bagbokk:
You also took $2 off shipping, this is fine because that is actual cost of shipping.

Except shipping isn't 2.00, it's less. Most sellers charge more for shipping than it actually costs, so most sellers are not paying even the regular fees, which are ~12%.

[Edited 1 times, lastly by rats60 on July 21, 2011]

 
Bagbokk
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posted July 21, 2011 11:28 AM   Click Here to See the Profile for Bagbokk Click Here to Email Bagbokk Send a private message to Bagbokk Click to send Bagbokk an Instant MessageVisit Bagbokk's Homepage  Edit/Delete Message Reply With Quote 
The calculations assumed seller gets $2 for shipping so I'm working with that price. Reality might be that seller charges $3 for shipping, but I actually see many sellers of singles/playsets charging about 2.00 for domestic sales.

Shipping in US, assuming bubble mailer + DC, is $1.75 if paid for through eBay. Bulk bubble mailer will cost like 0.10, toploader/sleeve probably costs like 5 cents or something, etc etc. The actual cost isn't too far off from $2 if you consider everything. Now, if the seller skimps on protection and sends you something without bubble mailer, without toploader, etc., that's different. For ease of calculations there must be some assumptions made. $2 is a reasonable assumption for cost of shipping, IMO.

[Edited 1 times, lastly by Bagbokk on July 21, 2011]

 
dwiz
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posted July 21, 2011 11:30 AM   Click Here to See the Profile for dwiz Click Here to Email dwiz Send a private message to dwiz Click to send dwiz an Instant Message Edit/Delete Message Reply With Quote View dwiz's Trade Auction or SaleView dwiz's Trade Auction or Sale
What's the point of this?
 
Bagbokk
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posted July 21, 2011 11:43 AM   Click Here to See the Profile for Bagbokk Click Here to Email Bagbokk Send a private message to Bagbokk Click to send Bagbokk an Instant MessageVisit Bagbokk's Homepage  Edit/Delete Message Reply With Quote 
quote:
What's the point of this?

Personally I think figuring out exact % is eaten by costs can help sellers price cards better here.

If a card consistently sells for $48 on eBay, that's what MOTL will show on its price guide. But if I would actually receive only $40.55 selling that card on eBay, then I could sell my card for $41 here and I will still earn more from that sale.

I think it's interesting nonetheless. I guess not everyone feels the same, but that tends to happen with many topics, no?

 
dwiz
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posted July 21, 2011 05:52 PM   Click Here to See the Profile for dwiz Click Here to Email dwiz Send a private message to dwiz Click to send dwiz an Instant Message Edit/Delete Message Reply With Quote View dwiz's Trade Auction or SaleView dwiz's Trade Auction or Sale
quote:
Originally posted by Bagbokk:
Personally I think figuring out exact % is eaten by costs can help sellers price cards better here.

If a card consistently sells for $48 on eBay, that's what MOTL will show on its price guide. But if I would actually receive only $40.55 selling that card on eBay, then I could sell my card for $41 here and I will still earn more from that sale.

I think it's interesting nonetheless. I guess not everyone feels the same, but that tends to happen with many topics, no?


Well, yes. That is common sense, but I agree most people don't understand that. I was just wondering why this topic came up, and there's no explanation about why it's here.

 
andrew777
Banned
posted July 21, 2011 06:15 PM   Click Here to See the Profile for andrew777 Click Here to Email andrew777 Send a private message to andrew777 Click to send andrew777 an Instant Message Edit/Delete Message Reply With Quote 
quote:
Originally posted by dwiz:
Well, yes. That is common sense, but I agree most people don't understand that. I was just wondering why this topic came up, and there's no explanation about why it's here.

I think it's just a rant feebay and it's absurd fees.

 
MTDetermine
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posted July 21, 2011 06:42 PM   Click Here to See the Profile for MTDetermine Click Here to Email MTDetermine Send a private message to MTDetermine Click to send MTDetermine an Instant Message Edit/Delete Message Reply With Quote 
quote:
Originally posted by dwiz:
Well, yes. That is common sense, but I agree most people don't understand that. I was just wondering why this topic came up, and there's no explanation about why it's here.

Well, I saw a few threads here, including this thread: http://classic.magictraders.com/ubb/Forum1/HTML/025023-4.html

where people say selling on Ebay/Paypal costs 8-10%. I believed it was higher, so I calculate this to prove my point. I was right, costs are closer to 15% for most items (most MTG singles/playsets are below $50), unless you are selling P9 or playsets of old playables (Duals etc).

I calculated shipping too as it is a cost and a Ebay Seller will need to pay ~15% fee on the shipping portion too. So if USPS Express Mail is $30, an Ebay Seller who charged $30 will actually lose $4.50 to fees on shipping alone. I have put up the figures in a transparent way. Anyone who want to take out the effect of shipping can do so themselves easily.

 
MTDetermine
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posted July 21, 2011 07:48 PM   Click Here to See the Profile for MTDetermine Click Here to Email MTDetermine Send a private message to MTDetermine Click to send MTDetermine an Instant Message Edit/Delete Message Reply With Quote 
quote:
Originally posted by bigbob585:
oh no! Does this mean that the MOTL price guide is about 15% high on average?

On MOTL, most members are willing to work out shipping arrangements that are cheaper than those on ebay. So buyers do benefit from lower shipping.

But it rankles me a bit that even though sellers are saving a fair bit on fees (~15% in many cases) by selling at MOTL prices, they are asking for further premiums of ~10% in some cases. This has been a deal-stopper for me at certain times. Happy to say, most members here are reasonable and willing to work out deals on reasonable terms.

 
psilence6k
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posted July 22, 2011 05:54 AM   Click Here to See the Profile for psilence6k Click Here to Email psilence6k Send a private message to psilence6k Click to send psilence6k an Instant MessageVisit psilence6k's Homepage  Edit/Delete Message Reply With Quote 
EBAy started charging a % fee on shipping because sellers started making auctions w/ a BIN of $0.01 and $20 in shipping, so they were bypassing the ebay fees.

As a result of some unscrupulous sellers, now ALL of us take a hit on the shipping charges to prevent that kind of "fraud" from happening... :*(

Thanks for the list Determine! If nothing else it is just one more reason to sell on MOTL and avoid Ebay whenever possible!

Cheers,
Carl

 
Uthaedeol
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posted July 22, 2011 06:42 AM   Click Here to See the Profile for Uthaedeol Click Here to Email Uthaedeol Send a private message to Uthaedeol Click to send Uthaedeol an Instant Message Edit/Delete Message Reply With Quote 
quote:
Originally posted by MTDetermine:
$100 Auction comprising ***$48*** card + $2 shipping.
Ebay fee = $9.00 (9.0%)
Paypal = $3.90 (3.9%)
Shipping = $2.00
Total = $14.90 or 14.9% cost

Shouldn't this card be $98?

__________________
Swamps suck. Mountains rock!

 
MTDetermine
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posted July 22, 2011 06:57 AM   Click Here to See the Profile for MTDetermine Click Here to Email MTDetermine Send a private message to MTDetermine Click to send MTDetermine an Instant Message Edit/Delete Message Reply With Quote 
quote:
Originally posted by psilence6k:
EBAy started charging a % fee on shipping because sellers started making auctions w/ a BIN of $0.01 and $20 in shipping, so they were bypassing the ebay fees.

As a result of some unscrupulous sellers, now ALL of us take a hit on the shipping charges to prevent that kind of "fraud" from happening... :*(

Thanks for the list Determine! If nothing else it is just one more reason to sell on MOTL and avoid Ebay whenever possible!

Cheers,
Carl


Actually, its just an excuse Ebay used so that they can earn money from shipping as well.

If Ebay had wanted to prevent that "shipping trick", they could have just wrote some computer command into their system such that:

1) Shipping will be cap at say, 5% of the item's value,
2) Allow a maximum of $2 for shipping if the item value is low.

These types of simple rules can be easily written into their computer system. They just want to take the profitable way out and earn money out of postage too =p

 
dwiz
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posted July 22, 2011 08:25 AM   Click Here to See the Profile for dwiz Click Here to Email dwiz Send a private message to dwiz Click to send dwiz an Instant Message Edit/Delete Message Reply With Quote View dwiz's Trade Auction or SaleView dwiz's Trade Auction or Sale
quote:
Originally posted by MTDetermine:
Actually, its just an excuse Ebay used so that they can earn money from shipping as well.

If Ebay had wanted to prevent that "shipping trick", they could have just wrote some computer command into their system such that:

1) Shipping will be cap at say, 5% of the item's value,
2) Allow a maximum of $2 for shipping if the item value is low.

These types of simple rules can be easily written into their computer system. They just want to take the profitable way out and earn money out of postage too =p


Except when sending a motorcycle engine that may sell for $50. You'd have shipping capped $2.50 for something that may cost $175 to ship.

 
gcowhsu
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posted July 22, 2011 08:57 AM   Click Here to See the Profile for gcowhsu Click Here to Email gcowhsu Click to send gcowhsu an Instant Message Edit/Delete Message Reply With Quote View gcowhsu's Trade Auction or SaleView gcowhsu's Trade Auction or Sale
I've been saying to everyone. If you can replicate Ebay and lower the fees you will be an overnight billionaire.

It's going to go up since some states want to tax for online transaction. CA is one of them.

[Edited 1 times, lastly by gcowhsu on July 22, 2011]

 
MTDetermine
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posted July 22, 2011 09:17 AM   Click Here to See the Profile for MTDetermine Click Here to Email MTDetermine Send a private message to MTDetermine Click to send MTDetermine an Instant Message Edit/Delete Message Reply With Quote 
quote:
Originally posted by dwiz:
Except when sending a motorcycle engine that may sell for $50. You'd have shipping capped $2.50 for something that may cost $175 to ship.

Well, assuming the same Feebay rules apply, out of that $175 shipping, Ebay will gobble back ~$25 as fees. So you are out of pocket by $25 at least where shipping is concerned.

You got to love Feebay =p

 
caquaa
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posted July 22, 2011 03:08 PM   Click Here to See the Profile for caquaa Click Here to Email caquaa Send a private message to caquaa Click to send caquaa an Instant Message Edit/Delete Message Reply With Quote View caquaa's Trade Auction or SaleView caquaa's Trade Auction or Sale
quote:
Originally posted by MTDetermine:
Actually, its just an excuse Ebay used so that they can earn money from shipping as well.

If Ebay had wanted to prevent that "shipping trick", they could have just wrote some computer command into their system such that:

1) Shipping will be cap at say, 5% of the item's value,
2) Allow a maximum of $2 for shipping if the item value is low.

These types of simple rules can be easily written into their computer system. They just want to take the profitable way out and earn money out of postage too =p


they do cap shipping in certain categories. I think music CDs are one. But too many categories vary widely. I mean I could list in games a lot of 10 board games or such and that would take well more then any cap to ship.

 
Bagbokk
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posted July 22, 2011 04:25 PM   Click Here to See the Profile for Bagbokk Click Here to Email Bagbokk Send a private message to Bagbokk Click to send Bagbokk an Instant MessageVisit Bagbokk's Homepage  Edit/Delete Message Reply With Quote 
quote:
Originally posted by caquaa:
they do cap shipping in certain categories. I think music CDs are one. But too many categories vary widely. I mean I could list in games a lot of 10 board games or such and that would take well more then any cap to ship.

I think they cap books too, at least half.com does, because they know you can send it by media mail (i think this applies to CDs) for like $3.50 max. But yeah, it's hard to set caps for most things.

[Edited 1 times, lastly by Bagbokk on July 22, 2011]

 
mtglover
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posted July 22, 2011 07:41 PM   Click Here to See the Profile for mtglover Click Here to Email mtglover Send a private message to mtglover Click to send mtglover an Instant Message Edit/Delete Message Reply With Quote View mtglover's Have/Want ListView mtglover's Have/Want List
quote:
Originally posted by gcowhsu:
I've been saying to everyone. If you can replicate Ebay and lower the fees you will be an overnight billionaire.

It's going to go up since some states want to tax for online transaction. CA is one of them.


Forget about ebay, it's replicating paypal that's hard.

 
flophaus
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posted July 22, 2011 11:30 PM   Click Here to See the Profile for flophaus Click Here to Email flophaus Send a private message to flophaus Click to send flophaus an Instant Message Edit/Delete Message Reply With Quote 
I don't see anyone talking about how if you sell on MOTL and use PayPal, you're still losing a % to PayPal.

This is, of course, if you don't use the personal payment. (Which I don't because I have no need to jeopardize my PP acc.)

As for the replication on eBay and what-not;

I think something will bring the giant down eventually.

Back in the day, there used to be all kinds of decent auction sites. A place called "OneWebPlace" used to be awesome for MtG stuff... even on par with eBay.

I don't understand why some company doesn't challange eBay/PayPal... at least for niche markets such as MTG.
Or, maybe they do, yet don't have the name recognition.

In a world where people "Google" it... people don't think to "AOL it" anymore.

You Facebook instead of MySpace, but most huge colossal things like this eventually go the way of the buffalo.

 

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