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If you are a budding entrepreneur and plan to sell products over eBay in 2023, then there are a few things you need to consider on priority. There are millions of sellers out there who are willing to agree to all the fee guidelines of eBay. It is because the platform has excellent exposure to a global audience, and every seller on eBay is destined to earn significant figures in the long run.
To be direct, eBay sellers must pay around 10% of the product's value to the platform. The cost will consistently change, depending upon the total sale value, alongside the product category. When you are coming to eBay's platform to take your business online and gather a broad audience base, you should have clarity on whether eBay take a cut!
The answer is a definite yes! But a lot goes into the overall eBay fees for selling. Read this article to find out!
What is eBay? How is it Helpful For the Sellers?
eBay is among the top online marketplaces worldwide, with over 150 million daily users. These users tend to place bids, purchase and sell items over the platform. If you are an eBay seller over the forum, you can sell out almost anything, starting from clothes or books to cars or cameras. For the buyers, it is like a cave of treasures, whereas for sellers, it is an open market to find a buyer for almost everything.
Many eBay sellers started small over the platform but ran great businesses through consistent income streams. They have replaced their full-time careers with selling over eBay. Not just that, but if you don't run a business and want to declutter your home by selling out some old goods, eBay is best for it.
This platform holds the position of being the second most popular online eCommerce platform. And this is because of the collective efforts of sellers and buyers. The best part of being an eBay seller is that you don't have to set up any inventory or make any investments until you earn over the platform. You will need a PC or laptop and an active internet connection to set up your eBay seller account.
Related: 9 Sites Similar to eBay and Their Strengths & Weaknesses Uncovered
Different Types of eBay Fees
The answer to how much eBay takes from a sale depends on the type of fees you are talking about. There are six different types of costs that eBay charges from its sellers. So, let's try and break them all down to understand eBay's price better:
Insertion Fees
The insertion fee is the cost you will have to pay for having your item listed on the platform. The eBay insertion fee for the seller is 0.35 cents for each listing. The costs are non-refundable, regardless of whether your item sells or not.
If you list your product in multiple categories, you will be specified to pay a different set fee for each class. You will receive only a single charge if the listing has various items of one type. But, if you are creating duplicate listings, you ought to pay the fee for each.
eBay will only charge you an insertion fee if you list at least 250 items on the platform monthly. The allotment size is more significant if you have signed up for the eBay store. Both individuals and businesses must pay insertion fees, following which the monthly allowance can be exceeded.
The fee varies depending on categories. For instance, people who sell trucks or cars over eBay have an insertion fee of around $50, whereas boat or motorcycle sellers have to pay just $20. There are additional listing enhancers for the sellers to highlight their products over the eBay store. They can purchase bold titles, add listing duration, other photos, etc. And the charges for all of it will be included in the insertion fee.
Final Value Fees
The final value fee is the portion eBay will charge for every sale your product makes. Specifically, it starts from 0.30 cents and goes up to 15% of the product's price. The final value fees will vary, depending on the type of product and the category it is in.
If you want to know what percent do eBay take concerning final value fees in different categories, then here's the list for you:
- 12.55% for Laptops or Electronics
- 12.35% for Baseball or Sportscards
- 12.55% for most other types, such as automobiles.
- 15.55% for the music, movies, or books
- No fee for music gear and instruments
- 15.55% for some shoes, clothing, and accessories.
- 5% for the NFTs
- 15% for the watches and jewelry
- 12.35% for bullion, coins, and paper money
Even though the percentage is high, people are still inclined towards selling their products on eBay. It is primarily because of the reach they can get for their products quickly. Whether you are a business that wants to sell your products over eBay or are just an individual who wants to clear out some old stocks in the property, you can get your goods sold in a very short time. And that's why the fees remain the same in all scenarios.
eBay Store Fees
When you open a store on eBay, it comes with some added advantages. But there's a subscription fee that you should be willing to pay. Here are the different types of store options that you can open over eBay and the subscription pricing for them:
- The Starter plan will cost you $59.40 per year.
- The Basic plan will cost you $21.95 per year.
- The Premium plan will cost you $59.95 per year.
- The Anchor plan will cost you $299.95 per year.
- The Enterprise plan will cost you $2999.95 per year.
Now that you are aware of the subscription prices of the eBay store, the next big thing is to understand why it is of utmost importance. So, owning an eBay store lets you get extra listings for fixed-price products. You can list around one thousand to a hundred thousand such in a month.
Moreover, you will also be getting more auction listings, ranging from 250 to 2500, every month. There will be a considerable reduction in the final value fees by eBay. Ultimately, you also get the optional listing upgrades, including auction reserve prices and subtitles. You can decide if these perks justify your requirements, following which you can purchase.
eBay Promoted Listing Fees
Among the eBay percentage fee categories, the promoted listing standard fee is charged to the seller if someone purchases the product from an upgraded listing. Suppose you have selected the enabled listing option on eBay, and someone just used that link to make the purchase; you will be liable for paying the specified fee.
The cost for eBay-promoted listing fees is decided based on the current ad rates. The pricing is not constant and will mostly depend on the competition in the market at that time. But to give you a general idea, the ad rates can range between 2% to 15%, corresponding to the number of sellers selling similar products.
Shipping Cost
eBay doesn't automatically add the shipping costs, and the sellers must calculate the needful. Shipping costs will differ depending on the provider you choose from the platform. eBay lets you ship your products through UPS, USPS, and FedEx. They have dedicated shipping cost calculators for you to determine the price and add it to the order cost.
If you have a specific shipping center from any listed providers, you can get a discount on your per-package shipping costs. If you want to run a long-term business over eBay, availing a shipping center plan with any providers is a good bet.
International Fees
There is an international fee over eBay for the sellers if they ship their product anywhere outside the country. This fee will be added to the final value fees, which might vary depending on the country. For India, you will have to pay a 1.7% fee; for Japan, it is 1.35%; for South Korea, it is 1.45%; similarly, it varies for different countries.
You can check the official page of eBay to determine the exact fee percentage concerning the target address where the product is being shipped.
Related: How to Sell on eBay for Free?
Is There A Way to Reduce the Overall eBay Seller Fees?
There are some mandatory fees that you cannot avoid at any cost. But if you want to reduce the overall expenses, here are some tips to help you. Make sure to follow the following:
Be sure to stay within the 250-item per month limit on the eBay storefront. There will be additional charges for every item you list beyond this count. If you have decided to cross this limit every month, it is better to take a subscription than pay a fee for every other product you list beyond this limit. It will help you save some of your money.
You can note how the eBay subscription is helping you save your money by registering the difference in your final value fee. You can save around 3% of the price for each listing you make beyond the limit of 250 per month. If you plan to list many small products such as gift cards, soft toys, collectors tickets, and others, you prefer using the subscription.
The next thing you can do is set up your eBay seller's account by making the direct deposit. When you do that, you can avoid the PayPal fees. Thus, a small amount of added savings can be made.
Related: Unlock eBay Success: Unveiling the Top-Selling Items & Best Sellers!
Steps to Create Your eBay Seller Account
If you know how the eBay fees have been broken down, and are ready to get into the business, now is the time to set up your seller account. Here are the steps that you can follow to create your eBay seller account and get started:
Decide Your Market to Leverage
You need to finalize the market before you can start selling anything. Whether you want to stay local or go global, decide on it. Remember the costs that you will be paying while shipping internationally!
Create the Business Account
Creating a distinctive and memorable business name to start selling on eBay would be best. When you set up your business account with a good brand name, you will already set yourself beyond thousands of other sellers. You should include the phone number, email address, and address on the business account. You have to link your bank account and proceed further with selling products and receiving payments.
Get Your Account Verified
Complete the ID verification process and go beyond any possible restrictions over the platform for new sellers. It takes less than five minutes for you to get your account verified. Following this step would create a sense of credibility and trust among the buyers of your products.
Create a Page for Your Store
If you need your products to be found or bought, the competition over eBay adversely impacts the new sellers. Therefore, you should stand out from the crowd by setting up a custom storefront or selling the items individually over eBay.
Write Better Product Descriptions
You should be able to write perfect product descriptions to catch your audience's attention. Whether you are a business or an individual, the report is one of the critical parameters that will make you stand out in the crowd.
Related: How To Become An eBay Top-Rated Seller?
Conclusion
So, this clearly understands how much eBay takes from a sale. You can unify all the mentioned fees concerning what aligns with your store preference to decide on the total amount you must pay for every product sale on your platform. If you plan to create an eBay seller account and start clearing out your stocks, this article has the correct information to help manage your finances per sale in the initial phase. And remember, if you ever need help with fulfillment services, contact Simpl – we'll provide reliable logistics support so that you can rest assured that all orders are handled correctly and delivered safely.
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