Ins and Outs of eBay Listing Fees
eBay is one of the best online selling platforms. With millions of buyers, the platform can help you sell your products quickly and increase profit. However, before collecting your revenue, you must learn all the ins and outs of eBay listing fees. In our simple guide, one can find out how selling on eBay works and what the cost of an insertion fee is.
What Are eBay Listing Fees?
Listing fees are costs that a reseller is charged upfront for every item that is listed for sale on the platform. Every marketplace has a fee for attracting prospective buyers for sellers. The insertion fee is charged every time one creates or relists a product on eBay, regardless of whether the item might generate a sale.
So, how much are eBay listing fees? It is calculated based on the category the product is listed under. But, for many casual sellers that don't have a store package, it is free to list items. One has a limit of 1,000 listings per month. If you list more than 1,000, you'll have to pay a 35p insertion fee on every listing you create over your 1,000 allocations. However, for some categories and store packages, such as anchor shops or featured shops, the cost may differ.
What Determines eBay Listing Fees That Are Different From the Standard 0.35 Fee?
The standard charge for selling used clothes and merchandise doesn't apply to every item. You will be charged one insertion fee for each product and category regardless of the quantity that is being sold. It's crucial to pay attention to factors that contribute to additional costs. Here is a list of factors that determine charges:
- Subscription level,
- Price of the product,
- Type of listing,
- Auction duration,
- Promotional features.
How Are Insertion Fees Calculated?
How much are listing fees on eBay, and is there a way to calculate them in advance? Yes, there is a way. Since these charges are non-refundable even if the buyer doesn't complete the sale, it's vital to understand how the platform calculates its costs. It will allow you to improve each auction and sale. Also, listings with multiple products are only subject to a single insertion fee. Here is what should be taken into consideration when calculating the costs.
The cost is calculated based on the categories you've chosen to list your item under. The standard cost of 35p applies to most categories, such as men's and women's athletic shoes, books, movies, magazines, and clothing.
However, for other categories, different rules apply. For instance, for musical instruments such as guitars and basses, the seller will be charged a fee, but for heavy equipment, commercial printing presses, food trucks, trailers, and carts, there is a £20 charge.
The Price of the Listings and Quantity You Are Selling
The total cost is based on the start price of your item. In case the seller decides to create a duplicate listing, a fee will be charged for both identical listings. However, when you have an auction that contains more than one item (a pack of two sweaters) or products that are offered in different sizes and colors, there will be only a single charge for the entire listing.
A Subscription Type Can Impact the Insertion Fee
There are four different levels of subscription on the platform, and each one offers various perks. E-commerce sellers have to decide which subscription will be the most suitable for their business. If you decide to have a store, you will get more fixed-price and auction-style listings every month than resellers who don't have a store subscription. Here are the store packages you can opt for:
- No Shop,
- Basic Shop,
- Featured Shop,
- Anchor Shop.
Do You Want to Know How to Avoid eBay Listing Fees? Here Is How to Do It
The best way one can avoid paying additional costs is by upgrading their subscription and getting more free listings. However, if you want to avoid spending on a monthly subscription, you can become a top-rated seller who can then receive discounts on various costs. A top-rated seller needs to meet all sellers' standards and not have any issues with eBay's return policy or unresolved customer complaints.
Additionally, one can use a fee calculator and track the costs on a monthly basis. In this way, you can predict your expenses as well as know how you can cut down on some costs and boost your profit in the future.
What Is the Difference Between Final Value Fees and Insertion Fees?
When you become a seller and start using a cross-posting tool, it might be difficult at first to differentiate between various eBay charges. Apart from the fee charged for every auction you open, there is also a final value fee that has to be paid once the item is sold and the auction gets closed.
The final value fee is based on the percentage of the price of the product you sell it for and the handling and shipping options the buyer chooses. It is also important to know that they are charged even if the buyers don't go through with the sale. However, the charge is, in some instances, refundable.
A Seller Can Pay Less on Final Value Fees
When you start an online store, the best thing to do is to research how you can lower final value costs and ensure your e-commerce business succeeds. One of the ways one can spend less on marketplace platform costs is to upgrade the store subscription. With longer subscription periods, one will get charged lower costs. Deciding to switch from a monthly to a yearly subscription will save you as much as £36 on final value fees.
Another option is to offer Fast N' Free shipping to your customers. In this way, you won't have to pay a final value fee for shipping costs. This is also a great tip for sellers who want to start an online business with no money since they don't have to lower the price of the product and instead kick-start their store by spending less on shipping costs.
Here is a video with more information on how to increase your sales with Fast 'N Free shipping.
Do You Need Additional Help to Track Costs and Listings? Use a Listing Software to Your Advantage
Selling on one of the best UK marketplaces will be challenging if you don't devise a plan to steadily increase profit and keep track of all your charges. Serious sellers can use crossposting software to their advantage, attract more buyers and grow their business in record time. With software to sell on both eBay and Depop, it will be simple to sell on multiple platforms simultaneously, answer messages, organize shipping and handling processes and increase income.
Online selling tools will save you enough time to come up with a strategy to lower costs or allow you to upgrade your subscription. If you want reliable cross-listing software, choose Zipsale and expect your business to flourish.
Once You Master Platform Costs, Selling Online Will Be Effortless
Take the initial and crucial step towards a successful e-commerce business by researching all about charges and how crosslisting software can enhance your sales. Once you reach a wider customer base with Zipsale, a software for selling online, you could upgrade your subscription and get more fixed-price and auction-style listings that won't limit you to only 1,000 free listings. It's time to take your online shop to the next level, so sign up and discover all the perks of Zipsale.