eBay is putting away fees for private sellers in most categories to stand tall against stiff competition through platforms like Depop and Vinted, which are rapidly growing. However, this won't apply to cars, motorcycles, and other vehicles.
No More Transaction Fees for eBay UK Sellers
In a significant announcement this week, eBay said that in the UK, it would do away with final value fees or any regulatory operating fees in case of a sale made by private sellers. With this change, it is free from this burden of transaction cost immediately from today. This platform has thus made selling more accessible and more rewarding for individuals.
Part of eBay's efforts is to stay competitive in the crowded online resale market, especially against platforms like Depop and Vinted, which have gained popularity by offering lower fees or charging buyers instead of sellers.
"Removing selling fees across categories is designed to give buyers access to greater breadth and depth of inventory while creating a simplified and streamlined experience for sellers," said Kirsty Keoghan, GM of eBay UK.
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eBay Expands on Its Fashion Fee-Free Initiative
eBay has eliminated fees for private sellers. That's not the first time. In April, the company cut fees on sales of pre-owned clothing, and an initiative that capped off a double-digit increase in listings for popular items such as jeans, shirts, and dresses powered the success of this fashion-focused effort. This motivated eBay to take the fee-free experience to almost all categories, so it continues to attract sellers and present waste reduction through more sustainable methods.
By axing fees in broader categories, eBay plans to attract more private sellers who could ultimately fetch it more money without such hefty commissions. That's a seller-friendly move, but it also feels like an auction place for second-hand goods that never hurts its green credentials.
Change After Competition from Depop and Vinted
The move comes when competition is increasing from rival platforms such as Depop and Vinted, which have expanded rapidly and attracted younger, environmentally-minded consumers who prefer services that don't charge listing fees, according to The Guardian.
Depop has eliminated its selling fee for new items listed and started a "marketplace fee" for buyers. Vinted charges a "buyer protection fee" instead of sellers.
These have made selling much more accessible and enabled sellers to list their items and collect profits promptly; thus, many users have shunned traditional marketplaces like eBay.
Financial Potential of Unused Items in the UK
Removing fees from the seller on eBay is a way to stay competitive and creates huge financial potential in the UK resale market.
A survey by eBay unveiled that approximately 294 million unused items scattered across the UK can amass a sum of resale income exceeding £9 billion. Nearly half of all UK households report valuing unused items between £50 and £300. A significant proportion of these items are valued at over £500.
The most commonly sold categories for resale include adult clothing, DVDs, CDs, and gadgets. E-bay is positioning itself to dominate a much more significant percentage of the highly profitable market by encouraging more people to sell their unused items by eliminating seller fees.
Sustainability and Decluttering Are the Major Motivators
Consumer research also revealed that most people (56%) sell unused goods to increase their income. 47% perceive resale as more sustainable than discarding items. Additionally, it was revealed that 55% were sold for decluttering at home, and another 23% reported that they "needed to blow money" on new stuff.
eBay will appeal to these needs: to live a sustainable lifestyle, free of clutter; and to sell the items to recoup their cost or to make some extra money.
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