eBay will increase it’s final value fees for SNAD cases on sellers by 4 percent thanks to a new policy it announced last month as part of the Summer Seller Update. This comes after an employee purge of over 1600 people being terminated at eBay Inc. Could this be eBay finding new ways like final value fees to trim the fat off their bottom line? They’re creative when it comes to screwing customers, and this isn’t any different. If you’re a seller on eBay and get a SNAD (Significantly not as described) case against you then you probably had to deal with a difficult or fraudulent buyer and high final value fees. Over 92 percent of all SNAD cases/claims will result in eBay favoring the buyer because eBay wants to be a buyer-friendly platform at all costs. Even if it means protecting fraudulent buyers by allowing buyer return fraud. If eBay has to step in, it’s coming out of your ass! Buyer fraud has been going on for several years now at eBay and it’s how eBay makes lots of its profits. “Let the credit card companies sort out the mess”, says eBay but the users are finally standing up. #ebaynewsroom #ebay @askebay @paypal @askpaypal
How to figure out Final Value Fees
After your auction or fixed-price listing ends, eBay charges the Final Value fee to your account in a matter of minutes. Final Value fees on auctions are pretty easy to figure out. If your item sells, you pay eBay 9% of the selling price to a maximum of $50.00.
People have been using eBay’s forum to ask questions about Final value fees and their posts have been heavily moderated by eBay’s social media team Lithium Technologies. Anytime someone has a great question about the platform or why additional fees are being charged, eBay deletes the thread. eBay doesn’t want any input from its users so they deleted important posts about the Final Value Fees, and other updates as you can see here.
Official eBay PR GUY Explains FVF’s
Final Value Fees credits will not be given
- You refund the buyer outside of eBay using PayPal
- You or the buyer asks eBay to step in, and the case was decided in the buyer’s favor
Final Value Fees credits will be given
- You and the buyer agree to cancel the sale
- The buyer doesn’t pay and you report it as an unpaid item
- You resolve a transaction issue and refund the buyer
In the above video this abusive Top Rated seller named Hubcapjoes AKA YouTuber Crazeenydriver explains the final value fees and glitches on eBay. Every week he comes out and does a video pretending to help people using scripted letters of users that apparently sell or buy on eBay but it’s really just a show put on by him and his eBay friends to recruit you into using the platform so you can fall victim of their scams. Many of the channels that produce eBay loving content about Final Value Fees on YouTube are individuals that get free swag, free listings, shipping supplies, and seller account protection from negative DSR ratings. These individuals are not trying to help you, in fact they are trying to recruit you.
As you can see above, even some of the YouTube users on this guy’s channel can’t tolerate the policies of eBay so they sell or make deals off the platform. The channel has promoted selling off the platform with (6) thumbs up and we even see Hubcapjoes selling over on Bonanza these days. Apparently, Hubcapjoes due to his abuse on Critics and former sellers isn’t faring too well with the community. The obsession with trying to defame and slander Critics for eBay Inc seems to be growing more in popularity with the high-level executives in the eBay boardroom then trying to make the conscious effort to improve trust on the platform and in the community. eBay’s short-term goals and long-term goals haven’t been prioritized too well. Even Carl Icahn says eBay corporate governance worst ever.
The Value Of The eBay Marketplace
The company’s below-consensus guidance caused the stock to take its biggest hit.
GMV growth in the U.S. also showed its weakest growth rate since a year ago, while the volume of sold items stayed flat.
Margins also showed a worrying contraction.
Despite all the signals that keep pointing to its demise, eBay (EBAY), the one-time e-commerce wunderkind, continues to plod forward as if it was still a giant of the internet. Like last quarter’s earnings release, eBay’s Q2 post showed a company that is continually unable to meet analysts’ targets as the company fails to accelerate the process of bringing new buyers to its platform.
- Shares of eBay fell 10% because of a mediocre operating margin.
- eBay is sitting on considerable PayPal separation upside.
- Shares are undervalued and worth at least $45.
Rightly so, eBay has been one of the worst-performing of the large-cap internet stocks all year, despite general enthusiasm for the e-commerce space. Companies like Etsy (ETSY) and Stitch Fix (SFIX) that were earlier pegged as losers, for example, have shot up meaningfully in the first half of 2018, as has perpetual giant Amazon.com (AMZN). eBay, however, seems incapable of reversing its slow decline. Year to date, the stock is down nearly 10%
In short, the core eBay business is in very bad shape due to final value fees. We recommend a sell.