eBay UK fee changes : goodbye SIF and Gallery fees

It’s the news everyone has been asking for: Gallery on eBay UK, which has been free for the summer, will remain free forever instead of returning to the 15p per listing of the past. But that’s the least of the changes eBay UK are announcing this morning.

SIF replaced with 30 BIN

Shop Inventory Format is to be retired and replaced with a 30 day Buy It Now listing format. There will also be an option for Good Til Canceled self-renewing 30 day BINs.

Fixed price insertion fees fixed at 40p

Pricing is changing yet again. From September 24th all fixed price listings, regardless of quantity or value, will have an insertion fee of 40p (previously varied up to £1.90). This might not sound great news when compared with SIF insertion prices (previously varied from 3p – 11p) but there are discounts available, 30 day BIN will appear as standard in search results and of course it includes free gallery.

FVFs increase

Selling price Old FVF New FVF for auctions New FVF for BINs
No sale no fee
£0.01 – £29.99 7.5% 8.75% 9.9%
£30.00 – £49.99 4.5% 5.25%
£50.00 – £599.99 5.9%
£600.00 or more 1.9% 1.5% 1.9%

Despite this increase, most sellers of fixed price listings will be better off or at least fee-neutral under the changes. The big opportunity is of course to increase the number of product lines offered for sale taking advantage of lower fees.

FVFs are only payable when a product sells, so fixed price sellers will be able to budget for this up front in their pricing. The sellers most likely to be disadvantaged will be those who run auctions with low start prices as their insertion fees are already low but FVFs will increase.

Shops subscriptions increase, but offer discount on BIN insertion fees

For professional sellers, eBay shops now have a real tangible benefit. The price of a basic eBay shop rises to £14.95 but fixed price insertion fees are then halved to just 20p. A featured shop will cost £49.95 and benefit from fixed price insertion fees of just 5p, and an Anchor shop will cost £349.95 with 1p insertion fees for BINs.

DSR requirements for Shop owners

This is exactly what sellers have been asking eBay for – less up front risk enabling them to place more inventory on eBay. Only sellers who reach certain standards will be entitle to Featured (DSRs above 4.4) or Anchor shops (DSRs above 4.6), ensuring that those placing large quantities of listings on eBay maintain high standards.

Changes to search

One significant change is that listings with sales will be promoted in search. This means for the future, listing strategy should be to place your entire inventory of a product line onto a single listing, rather than use multiple listings to ensure exposure under ending soonest.

International visibility will not be available for Buy It Now

That’s not going to be very popular.

Featured First : the new “featured plus”

There will be a new feature to bump listings to the top of search results for the first 7 days, or first 30 days. Fees are £44.95 for up to ten days, and £134.95 (ouch!) for up to 30 days. Although the cost for this appears high, if you have sufficient inventory to justify the costs it’s a great way to jump start sales which will then cause your listing to be promoted. You’ll still be able to add more inventory to the listing without losing the search advantage gained so for a 30 day GTC BIN the benefit could conceivably run for months if not years making the initial investment worth while.

Tech and Media Categories

Good news for Tech and Media categories – final value fees are not changing but Insertion fees are – that means it’ll cost you less to list but you won’t pay more when you sell.

Irish Fee Changes

There are similar changes for eBay Ireland, see the new Irish fee schedule for details

The changes fulfill the promise made by Mark Lewis earlier this year “to get to the point where there is no reason you wouldn’t put all of your inventory on eBay“. For those sellers with sufficient product lines, the 1p insertion fees with unlimited multiple items lowers the risk of listing a full range of products in unlimited quantities.

This set of changes will benefit many sellers, and should encourage sellers who have previously listed a limited range on eBay to offer a much larger inventory to buyers.