eBay Raises Fees, Talks Up Holiday Success
eBay on Wednesday announced that it will raise fees in both its standard and automobile auctions, while also announcing that it was the number one online destination on both "Black Friday" and "Cyber Monday."
In a letter sent to eBay users, eBay North America president Bill Cobb said the changes were necessary as part of a regular evaluation of its business structure. Increases are slated for the Insertion and Final Value Fees, as well as fees specific to eBay Motors that would take effect January 30.
Insertion fees for the $1.00 to $9.99 level will increase from thirty-five cents to forty cents. Final Value Fees will increase from 3% to 3.25% for auctions with an ending price of $25.01 to $1,000. No increases have been planned for eBay Stores or Store Inventory listings.
eBay Motors fees will increase as follows: the Transaction Services Fee for Motorcycles and Powersports will increase from $30 to $40; and for Cars and Trucks as well as the Other Vehicles and Trailers categories to $50 from $40.
The policy for reserve fees in eBay Motors will also change from a flat $5 fee to 0.1% of the reserve price, with a minimum of $5 and maximum of $10.
"Let me say that, while we believe these changes are modest, we consider any changes that may impact our sellers with great care," Cobb said. "These adjustments are the result of careful analysis, and we believe they're the right thing to do to keep the marketplace strong for our eBay.com and eBay Motors sellers."
As well as announcing price changes, Cobb also relayed statistics on eBay's holiday performance. On both Black Friday and Cyber Monday, the auction site was the top shopping destination according to Nielsen/NetRatings, with 7.5 million and 5.6 million unique visitors respectively.
Cobb said he plans to meet with a small group of eBay's sellers in San Jose later this month, where he plans to talk about the auction site's future plans. A recorded version of the keynote will be made available to all eBay users.
"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," he said.