eBay has released their 2017 USA Spring Seller Update and there is no sugar coating it, it is mostly a net fee increase with minimal new benefits for sellers. So let’s dive into the details:

FINAL VALUE FEES (for Store Subscribers)
New fee structure is effective April 1, 2017

CategoriesCurrent RatesNew Rates
Select Computers/Tablets & Networking, Video Game Consoles, Heavy Equipment, Concession Trailers & Carts, Imaging & Aesthetics Equipment, and Commercial Printing Presses4%No Change
Select Consumer Electronics, Select Cameras & Photos, Coins & Paper Money, and Stamps6%6.15%
Musical Instruments & Gear (except Pro Audio and DJ Equipment)7%7.15%
Select Motors Parts & Accessories and Automotive Tools & Supplies, Select Motors Parts & Accessories and Automotive Tools & Supplies8%8.15%
Clothing, Shoes & Accessories, Collectibles, Home & Garden, Select Camera & Photo Accessories, Select Cell Phones Accessories, Jewelry & Watches, Sporting Goods, Toys & Hobbies, Health & Beauty, Select Business & Industrial, Books, DVDs & Movies, Music, Video Games, and all other categories (exclusions apply)9%9.15%

Non-Store Subscribers will continue to charged a flat 10% on most categories.

Final value fees for sellers who do not meet eBay’s minimum performance standards will increase by 4 percentage points on items sold on or after May 1, 2017.

PERFORMANCE STANDARDS

The Top Rated Plus final value fee discount will decrease from 20% to 10% on qualifying listings starting on May 1, 2017.

Tracking requirements to qualify for Top Rated Seller status will now go from 90% to 95% on June 20, 2017. This means to continue to be eligible for Top Rated Seller status you will have to upload valid tracking information within your promised handling time for at least 95% of your transactions with U.S. buyers in the last 3 months.

NEW BENEFITS FOR SELLERS

eBay is expanding its Promoted Listing program by removing prominent 3rd party ads from the site and replacing it with seller promoted listings starting on May 1, 2017.

This will remove most (not all) external advertising and will give eBay sellers the opportunity to advertise their products in prominent spots on eBay’s site.

On April 1, 2017 eBay will also provide all sellers a quarterly $30 credit toward the purchase of Promoted Listings. You do not need to be an eBay store owner to qualify for this credit.

Anchor Store subscribers will continue to receive their $25 credit toward the Promoted Listing program, effectively giving an Anchor Store subscriber a reoccurring $55 quarterly credit.

Starting in March, eBay will highlight on mobile devices seller’s Promotions Manager specials. Promotions Manager specials are seller created specials to improve conversion by offering extra discounts on volume purchases.

Also effective April 1, 2017, Anchor Store subscribers will receive a quarterly $150 coupon (currently $75) toward the purchase of eBay branded shipping supplies. eBay branded shipping supplies are competitively priced boxes, envelopes and tape products to give your eBay shipments a professional look.

Coming sometime this summer, eBay will also improve domestic shipping rate tables to offer more flexible distance based shipping charge options. The shipping rate tables will work similar to many shipping extensions found in eCommerce software such as Magento and WooCommerce.

Ebay will also introduce a more flexible same day shipping cut-off schedule. Up to now, a seller could only designate one time for all days, but later in the year sellers will be able to adjust same day shipping handling times based on a seller’s staffing, weekends, and holidays schedule.

OUR TAKE

Price increases are never welcomed but they are part of doing business and we have not seen a major increase in some time.

Now that eBay has separated from Paypal and is finally getting back to the business of being a marketplace, eBay is investing in new marketing efforts and technological advances for sellers.

As we outlined just yesterday in our blog post about eBay’s new marketing programs, eBay’s New Aggressive Marketing Strategy Revealed, we do expect to see eBay gain more new buyers and more opportunity for sellers.

Somewhat quietly eBay has improved the Promotions Manager, improved the mobile experience, improved reporting and sales information (new Seller Hub) and if there ever is a time to step back and take a look at your eBay listings, it is now.

Is it time to eliminate some low margin, low sales items?

Do you have some high margin under-performing items that should benefit from improved site visibility by using the Promotions Manager or purchasing Promoted Listing credits?

Can you improve your shipping fee income on expedited shipping options by using the new flat rate distance based rate tables?

It is always easy to highlight the negative, but the successful entrepreneur will take advantage of changing markets and make appropriate adjustments. Not all adjustments mean you have to raise the base price of your products.

We love to hear your thoughts on eBay’s 2017 Spring Seller update and how you will adjust your business to them.

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