eBay Final Value Fee Increase For Luxury Handbags Sept 30
eBay announced today there will be changes to Final Value Fees for handbags effective September 30th, 2021.
eBay is significantly increasing fees on handbags under $2000 and decreasing fees for handbags over $2000, clearly targeting the "High value buyers" CEO Jamie Iannone spoke about in the Q2 earnings call.
This mirrors the fee structure changes announced back in April for the luxury watches category. In both cases, sellers of lower priced items appear to be taking the brunt of price increases to subsidize programs and initiatives that largely won't benefit them, like authentication or escrow services.
Side note: it's nice to see that eBay has included fee comparison charts once again in this announcement. It's something that has been a bit of an issue in the past with fee increase updates and I'm glad to see eBay has figured out how to present it in an "understandable and digestible" way.
Today's announcement said, in part:
Final value fee increase in the Women's Bags & Handbags category effective September 30, 2021
To help us sustain our investment in growing the category and attracting even more buyers, we’re increasing final value fees in the Women's Bags & Handbags category (169291). In addition, we’re simplifying our fee structure so you can quickly and easily calculate your profits.
Clothing, Shoes & Accessories > Women > Women’s Bags & Handbags
Example—final value fee percentages for a $1,500 transaction
- For this transaction (including tax and shipping), a non-Store and Starter Store seller will pay $225.30 in final value fees, which is an increase of $36.75. In this example, the final value fee as a percentage of the total transaction amount is 15%.
Example—final value fee percentages for a $3,000 transaction
- For this transaction (including tax and shipping), a non-Store and Starter Store seller will pay $270.30 in final value fees, which is a savings of -$106.50. In this example, the final value fee as a percentage of the total transaction amount is 9%.
Clothing, Shoes & Accessories > Women > Women’s Bags & Handbags
Example—final value fee percentages for a $1,500 handbag transaction
- For this transaction (including tax and shipping), a Basic and above Store seller will pay $195.30 in final value fees, which is an increase of $22.50. In this example, the final value fee as a percentage of the total transaction amount is 13%.
Example—final value fee percentages for a $3,000 handbag transaction
- For this transaction (including tax and shipping), a Basic and above Store seller will pay $210.30 in final value fees, which is a savings of -$89.25. In this example, the final value fee as a percentage of the total transaction amount is 7%.
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