The Cost Of Doing Business On Ebay: The Article Ebay Does Not Want You To Read
Weve all heard the stories of people making a surprisingly good living from opening up a business on eBay. Some people have even become millionaires thanks to the ease of use and global reach of eBay. You may say to yourselves, It seems easy enough. If others can make a nice profit on eBay, why cant I? The truth is, eBay is not as profitable as you may think. The escalating costs of fees and marketing are forcing more and more people to shut down their eBay business.
In August of this year, eBay announced to its members yet another increase in fees. For businesses who make their profit selling more expensive items, the fees dont hurt as much. Its the little guys, who make up the majority of eBay businesses, which are suffering the most. That is to say sellers that offer goods sold for less than $10.
The current fee structure for cheaply priced items is quite astounding. For this example, we will assume that the item being sold will be $5 or less. For items with a starting price of less than $1, eBay charges an insertion fee of $0.20. For its closing fee, eBay takes 5.25%. Now...
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