Introducing Maximum Shipping & handling charges to improve buyer experience

[seemak@ebay.com]

Dear Sellers,

Shipping and handling charges is one of the important aspects that a buyer considers while buying on eBay. Data has shown that Free / standardized shipping charges help improve buyer confidence and seller’s sales. However, when buyers see unreasonable shipping charges, they spend less overall. To help right-price and bring about increased standardization in the shipping and handling charges, a limit on maximum shipping and handling charges are being introduced in the following categories:http://pages.ebay.in/aboutebay/Final_Shipping_Caps.html

These changes will be applicable from 11th October 2010

These limits are applicable to all domestic shipping methods:
• Flat Rate Courier – Delivery anywhere in India
• Local Courier – Delivery within a seller’s city
• National courier – Delivery Outside a seller’s city
• PaisaPay Cash on Delivery

These limits are not applicable to International Shipping options.

For most sellers, these changes do not affect how you currently list on eBay as most listings are already within these postage limits. The remaining small percentage of sellers who currently charge more than the above mentioned shipping charges, should review their listings to ensure they are in line with these changes.

Listings that have shipping charges more than the above limits post 11th October 2010 will not go live on eBay.in.

To know more about these changes, please read our FAQ section, http://pages.ebay.in/aboutebay/Shipping_Caps_FAQs.htmlcontact our Customer Support Team or post your questions on this thread.

Please join an Online Workshop on this topic between 4 PM - 5 PM on 21st September for any clarifications on this topic.

Regards,
The eBay Team

[linusstudios]

I guess some mistake has been done in apparel categories. I have Jackets weighing over 3 KGS. I dont think those can be couriered in just 100 Rs, including Packaging and handling.

I would suggest eBay management to atleast take a couple of sellers in confidence before taking such decisions just to make sure such practical errors can be avoided.

If its so easy to ship things I request eBay to take entire shipping on its hand. I dont know why but it is appearing a step taken to increase FVF earnings instead of providing buyer a better shipping experience.

If something has to be done to give buyers a better shipping experience it has to be a cut on paisapay charges. No Bank gateway today is charging over 1.75% for transaction and PaisaPay is overcharging by a whooping 3.25 percent.

[c153niyam]

Really crazy - which book weighs less than 50 grams? Speedpost is the cheapest mode and minimum costs are Rs 26 for less than 50 grams. Most books weigh easy over 200 grams and shipping over 2000 km cam cost Rs 96 upwards!!

Even a silly datacable or headphones in original packet costs Rs 56 minimum (since weight is over 50 grams) ! and ebay has put a limit of Rs 50??

Crazy!!

[rhtdm.6624]

Miss Seema,

Its very easy to you to give order to seller. But I am really disappointed with this habbit of your's. In My city i.e. in Pune if you are sending a electronic material may be its Card reader or anything then they will take minimum 70 Rs. e.g.DTDC whereas Speed post in Pune completely banned to take electronic items for shipping. Even you can confirm from them if you not believe. So do you think that we have to mention shipping charge as 50Rs. as we are paying more than that. Second thing if we send it by hiding it from courier people and if that shipment gets missed or gets lost then what seller will get??? Negative feedback ! I think you are thinking about only buyers not about sellers. May be you are getting low value quotes from Courier company as you are from eBay. But we are not big as eBay. We are a small sellers. How will we get low quotes which you got from courier company? You can contact directly to any courier company without saying that you are from eBay and ask them that I want to send this to this address and check what they reply's.I will suggest please do needful to small sellers like us.

Regards
rhtdm.6624

[rhtdm.6624]

Dear linusstudios

You are absolutely right if eBay really want to provide product in cheap price then why they are increasing FVF & other XYZ fees. To recovering those only sellers are increasing product prices & nothing wrong in that. But eBay thinks sellers are doing wrong and doing such things.

Really its very bad.

Regards
rhtdm.6624

[handicrafts_store]

I HAVE CLOCKS ... WEIGHT IS MORE THAN 6 KG TO 10 KG...HOW ITS POSISBLE TO CHARGE Rs.50/-

[amitava123gems]

Book shipping by 50 bucks!!!! by speedpost!!!!!
Please go to post office and learn, before giving march order.

[thebigoffer]

I dont know if ebay gone through any sort of survey or investigation before makin these changes.. but all these changes seems like that ebay only want mass sellers with them.

Let me explain it to you EBAY ..


1. You Increased FVF
Many categories have 5% Fee now. Instantly affecting seller's profit by 4%. So Seller increased price of item by 4%


2. Decrease in Shipping Charges.
To get a profit which seller was getting earlier .. seller have to decrease price in shipping and increase in final sale price.


Let me More clarify.. Just for an example.

Seller have a HDMI to HDMI Cable to sell.
Weigh: 600 Gm
Seller Whole sale Price: 180
MRP Printed: 310

Seller wants a 40 Rupee Profit.

Seller listed 240 Final Price. 70 Rupee Shipping. (Speed Post Charges are still will be more if any one from 1500+km buys it.. but just take 70/- for now)

Item Sold.

Ebay FVF 1% = 3 Rupee
PasiaPay 4.412 = 14 Rupee
Seller Gets = 293
Shipping = 293 - 70 = 223/-
Packing 223 - 3 = 220/-

Seller Profit 40/-

Seller Happy .. Buyer happy because he gets it on mrp + to his door step. In mind of buyer "well at door step in MRP and just have to wait 3-4 days.. ebay is nice."

NOW NEWWWWWWW Rules.

Rule 1. FVF 5%

Final Price: 240/- + Shipping 70/-

Ebay FVF 5% = 12 Rupee
PasiaPay 4.412 = 14 Rupee
Seller Gets = 284
Shipping = 284 - 70 = 214/-
Packing = 214 - 3 = 211/-

Seller Profit 31/-

To get his profit back to 40/- .. Seller Increased his Final Price by 10 rupee

Final 250/- + Shipping 70/-

Ebay FVF 5% = 12.5 Rupee
PasiaPay 4.412 = 14.5 Rupee (approx)
Seller Gets = 293
Shipping & Packing = 293 - 73 = 220/-

Seller Profit 40/-

Seller Still happy but buyer not happy because he paid extra 3% of MRP. Leading to a negative/neutral feedback by buyer. Now in this situation.. buyer will think that "he gets it over MRP and also had to wait 3-4 days". Thats human nature.

Now.. Rule 2.

Seller have to decrease shipping cost by 20 rupee.

Final Price: 250/- + Shipping 50.

To get 40 Rupee Profit.. Seller increases Price,

Final: 270/- + Shipping 50/-

Seller will only loose here 1 Rupee .. End profit 39/-

==================

What we have here..

1. Seller increases price.. Obviously sellers have to.
2. Ebay wants sellers to decrease his profit.
3. Seller can sell it offline for more profit.
4. Seller still chooses to sell online with decreases profit.
5. Ebay fee increases moto here was that "buyer considers while buying on eBay"
6. Buyer see same product price increased by 3% and over MRP. Buyer choose to buy offline.
7. Final Sale Price was increased by 9%.
8. Seller get low sales.
9. I forgot to add 1 Rupee Listing fee
10. Seller sells because of ebay's monoply in online shopping.

Now it was just for a small product.

Only choice ebay gave to seller is to decrease his profit. Why would a seller wants to sell a product online while he can sell it offline for more profit.

This only leads to seller quitting. ebay dont care cause ebay make rules only for mass seller.


I am just saying..
My most products was with 5% FVF and I only have 2-3 products with shipping over 50 so it does not matters to me a lot but the more I think to spread my ebay buseness.. ebay gets more difficult and less profitable for me.

Not to mention that there is no support also for low quantity sellers and no strong seller policy available.

and again.. Just my opinion.

[amitava123gems]

PS: I just removed 24 books from my ebay india shop.

[anil@ebay.com]

Hi Rhtdm,

We have arrived at these shipping caps after considering various factors including our past data on transactions done on site. Basis the limits we have identified that vast majority of sellers/ listings fall well within the maximum S&H charges arrived by us(Including Current listing on site). Past Data has also suggested that Sellers who charged higher S&H charges resulted in Buyer responding negatively to such listings.

We firmly believe the shipping caps will result in much needed standardization in Buyer shopping experience & help seller realize better sales.

Regards
Anil Shenoy