Monday, December 17, 2007

Hidden Cost of eBay Free Gallery Promo

Many sellers, realizing the free gallery promo was ending on the Weds. Dec 12th pumped up their listings to get free gallery for another 7 days; since CORE listings run 3, 5, or 7 days, they could list on the 12th and have free gallery until the 19th. That seems simple enough but if you aren't paying attention you may run into costs you didn't expect.

As conversion decreases because of the number of listings on the site many sellers may find that 70% of their core listings do not sell the first time, so many sellers automatically relist the unsold listings to take advantage of eBay's relist credit (if the items sells the second time the listing fee is credited). The problem arises when a seller, who normally doesn't use gallery, took part in the free gallery promo and relisted the unsold item. eBay does not allow you to modify relisted listings so the gallery that was used when it was free is used again at the regular price of 35 cents. If the items sells you would get a credit for your listing fee but still have to pay the 35 cents for the gallery image -- feature fees like gallery do not come with relist credits. If the item does not sell the second time then you would again pay for the listing fee as well as the gallery fee.

If you are a large seller and rely heavily on automated software for relists this can soon run you into a hefty bill that you weren't accounting for. In one case a large seller, who normally does not use gallery but lists thousands of auctions a week, realized his gallery bill alone on relists would be close to $3,000 for the week following the promo and decided not to relist any listings that were part of the promo. Instead he listed fresh listings without gallery.

So, if you do not normally use gallery but did take part in the free gallery promo make sure to weigh the numbers on your relists. Is it more cost effective to just list new items without gallery then to relist unsold listings?

2 comments:

Anonymous said...

Actually, ebay is allowing sellers to uncheck the gallery box when relisting items that didn't sell during the promotion-and avoid the charge the second time around. I just looked up Phillip Justus's words, called my own ebay rep and confirmed this. Sellers who use ebays Blackthorne software (and perhaps other) can do this in one bulk edit function....

Randy Smythe said...

Thanks for the info. Hopefully, every sellers knows this. My guess is not but at least eBay does provide a solution.