posted on July 13, 2005 08:33:13 PM new
I noticed the discussion concerning inflated shipping fees on another post, which brought to mind the following question: what do you do about PayPal fees? ebay listing Fees? FVFs? Vendio fees? Do you add them to shipping costs, calling it S/H? Or, do you just do some? Or, do you mark up the item and include in price and charge for actual shipping?
I see nothing wrong in adding all the fees with actual shipping and calling it s/h.
posted on July 13, 2005 08:42:27 PM new
Duck! Here come the anti-business naysayers!
I charge a flat-rate shipping/handling to the USA for most items. This covers what I pay the carrier and a nominal handling fee. While this does not directly cover Paypal fees, for example, since that would not be legal, it DOES cover other fees that I might otherwise eat including time to package, take to the carrier, send notifications, etc. So it all balances out in the end.
There is NOTHING wrong with charging a handling fee. The person is paying YOU to ship the item, not USPS/UPS/FedEx. They should not have any expectation of what the charges will/should be for those carriers and hold those against you. Keep that important point in mind -- they are paying YOU as a business owner to ship the item. YOU expend those funds to whatever carrier you choose and keep any balance for handling.
Quite fair, quite legal, and quite proper.
------ "Bend over backward for the customer. Don't bend forward."
posted on July 13, 2005 09:07:45 PM new
I charge a very reasonable handling fee to cover the PayPal fees, packaging materials, etc. The fee ranges from $.50 to $2.00, depending on if the item is something I can pop into a bubble mailer, or if it's a fragile glass item that needs careful packaging.
If a seller is trying to show a profit, the cost of the packaging materials, fees, and other expenses must be included in either the starting price, or the shipping. It's gotta go SOMEwhere, otherwise, you'll be losing money.
I'd rather add a small handling fee, because if I add it to the starting price, eBay's just going to get that much MORE in fees.
PS - I don't charge for Priority boxes and supplies I can get for free ... only the things that actually costed me something. And I'm happy to combine shipping whenever possible.
posted on July 13, 2005 09:28:04 PM new
I charge a flat-rate and combine on shipping.
**********************************
Two men sit behind bars,one sees mud the other sees stars.
posted on July 13, 2005 09:39:37 PM new
I have a fixed s/h per item. I do not agree that adding all those fees, which are piled on us, to the shipping cost, is illegal.
I usually have to add $1.25 to cover the cost of all the fees that are nickle and dimed upon me. When there are multiple purchases, I usually charge for actual postage and the total of those fees, which is much lower. I find that it breaks down to actual shipping and $1.00 per item, since the PayPal fees are less.
It has always been my understanding of the IRS opinions that the profit made from the s/h is reportable and taxable.
I am a stamp dealer. I bid and purchase goods from auctions worldwide. I always pay an extra fee to the auctioneer along with the cost of the goods, AND s/h.
Why should we treat the ebay or yahoo auctions any differently. Remember, we are being charged a handling fee by ebay, and PayPal, all we are doing is passing it on to the buyer.
posted on July 13, 2005 09:46:02 PM new
Fixed shipping. $1.00 handling fee. I do combine shipping on multiple purchases which usually amounts to 50% off each additional item.
posted on July 13, 2005 10:00:40 PM new
Also, this information gem is from the ebay discussion board regarding shipping and handling:
"A Buyer's Tutorial to Shipping and Handling (Sellers Should Read Also)
rswagner (3337 ) View Listings | Report Apr-15-01 05:46 PDT
OK people. There are too many threads bashing handling, supporting
hanlding, complaining about overcharges, etc. that buyers have a very
hard time finding out what is really expected and what to do. Here are
some common sense (for those that appreciate common sense over bashing)
approaches on how to handle shipping and handling.
(1) Handling is a charge that is generally used by sellers to offset
the cost of packaging and shipping items. Generally, handling charges
on ebay include packaging costs (boxes; packaging materials - peanuts,
bubblewrap, etc; and miscellaneous office supplies; handling (time or
wages to package; time to deliver to the shipper; etc); and
miscellaneous expenses as applicable (cost of storage for shipping
supplies; expenses to operate the shipping area; etc.).
(2) Although the above is typically the definition of handling, sellers
have a right to charge whatever they wish for handling. eBay will not
get involved in this aspect of a seller's operation unless it is an
obvious case of fee avoidance.
(3) If a seller is charging handling, it should be posted in the
auction, either in the form of a fixed shipping auction, or by adding a
statement "Buyer pays actual postage plus x.xx handling", or something
along those lines.
(4) By bidding on an auctions, buyers are agreeing to the terms of the
auction.
(5) If a fixed shipping amount is posted, it should not be assumed that
the posted shipping amount is going to be the same as actual postage.
A buyer should assume that there is handling included regardless of
whether the seller calls the fixed amount postage, shipping, or S/H.
(6) eBay has made it known that they agree that "Buyer Pays Actual
Shipping" is intended to state that the seller will charge actual
carrier charges only. Anything above actual postage is contrary to
this statement. However, since this is not a published policy, sellers
incorrectly use if for a variety of reasons, including gouging of their
buyers.
(7) If the shipping amount is not stated, BUYER BEWARE!!!! Find out
the shipping amount before bidding or take your chances.
(8) IMO, a buyer has a right to terminate a sale if the seller does not
post a fixed shipping amount and then overcharges on shippping.
However, at this point, the buyer is subject to negative feedback and
an NPB notice. The buyer can respond and challenge both, as well as
leaving their own feedback. However, at this point, it is considered
damage control.
(9) Packaging quality is the other side of the coin. By charging
shipping and handling, a seller is agreeing to packaging the item
securely for shipment to ensure that the item arrives to the buyer in
the condition as stated in the acution. If there is a shipping method
stated, the seller is agreeing to ship by that method. A buyer has the
right to receive the item well packaged and in the condition as
described (see exception under insurance).
(10) There is no way to know the quality of packing that a seller
provides for sure. However, by checking the seller's feedback
specifically for both positive and negative comments regarding
packaging, a buyer can get a good feeling for quality of packing.
(11) Insurance. If insurance is offered as an option, a buyer should
assume that the seller will offer no replacement or refund if the item
is lost or damaged in transit unless insurance is purchased. If
insurance is not offered, the seller is assuming the responsibility.
However, this is another problem area for buyers in that the seller
will quite often not stand behind the item during shipment. It is
always best to request insurance, unless the buyer is willing to accept
the risk, or contact the seller and find out their guarantee/refund
policy before sending payment.
(12) Combining auctions. Unless an auction specifically states that
the seller will combine auctions to reduce shipping, there is no
implied agreement that the seller will do so. Even if a seller does
combine, the amount of reduction in total shipping is variable. If
combining shipping is important to your bidding, contact the seller
(before bidding) and ask them what shipping would be with the items
being considered.
(13) Third-party shippers. IMO, the costs of third-party shipping
includes a handling charge. Therefore, these should not be lumped
under "actual shipping" auctions. However, sellers do. Therefore,
again, find out the shipping amount and method prior to bidding on
these types of auctions.
(14) If you email the seller regarding the item, shipping or shipping
method, and do not get a response, DO NOT BID!!!! You are only walking
into a situation where you might get robbed on shipping/handling.
I agree that many of these issues should be addressed by the seller in
their auctions, and the buyer should be able to assume certain
standards. However, this have been proven to not be the case. Buyers,
it is your money you are spending on these items. You want the items
in the condition as described and you want your sellers to be fair. Do
what you need to do up front to protect your money. Most sellers do
want to provide you a quality product, but many out there are trying to
cover profits or gouge buyers.
You, the buyers have a responsibility to understand the auction process
and the terms of the seller, especially regarding shipping and
handling. You must understand what you are agreeing to when bidding
and how you can be "taken" with unstated terms, especially regarding
shipping and handling. By exercising this responsibility, you have a
right to receive your item well packaged and in the condition as
described. You have a right unconditionally to expect the seller to
stand behind the item if it is not as described or if it is damaged due
to seller neglect in packaging. Furthermore, you have the
responsibility to other to post feedback identifying the problems
encountered with a seller regarding these.
I hope this novella helps new buyers and seller understand the concept
of shipping and handling before they get taken. Of even help in
situations where the buyer gets in a situation. Unfortunately, I feel
that this thread will probably die a quick death as the trend of those
that post here is to avoid logic and common sense and allow tempers and
emotions to control their thinking and actions."
posted on July 13, 2005 11:50:53 PM new
I too charge a falr fee for shipping. If it is Priority Mail, I charge $2.00 for pkgig. If I ship by FedEc, It is samwe. Why should I give away my time & materials away?
posted on July 14, 2005 05:29:36 AM new
Even if it is a simple item (e.g., a small light item that is already in a box), it takes time (mine or the paid time of an employee) to find the item in inventory, bubble it, make up the box, add peanuts, seal the box, weigh it, print postage, affix postage, get it to the PO, record and send out the email with the tracking number, etc. So, in addition to the materials, I have real costs.
If it is something like 12 place settings of china, or an unboxed Lladro, or a tube amplifier, or the drivers out of a speaker, this can take even more time to pack.
Should I do this for free? Who in their right mind would?
And just because the auction started at $1 doesn't change the matter. I of course don't expect the item to sell for $1, but even if it were to, I am under no obligation to lose more money shipping it than I already did in the auction.
posted on July 14, 2005 09:15:38 AM new
I charge a flat rate shipping/insurance fee when selling on auctions. On our web sites we also charge a small handling fee also.
~"It does not matter what I think, it does not matter what you think. The only thing which matters is: What is the TRUTH!"~
posted on July 14, 2005 11:10:28 AM new
""Generally, handling charges
on ebay include packaging costs (boxes; packaging materials - peanuts,
bubblewrap, etc; and miscellaneous office supplies; handling (time or
wages to package; time to deliver to the shipper; etc); and
miscellaneous expenses as applicable (cost of storage for shipping
supplies; expenses to operate the shipping area; etc.).""
And then seller can write these off on their taxes and COLLECT AGAIN....sleezy but legal
posted on July 14, 2005 06:34:44 PM new
I charge a flat rate that covers the actual shipping charge & a small amount for packin materials & packing. Today I shipped some dinner plates, the S&H charge was #10.00 & the actual shipping cost was $9.90. I received 10 cents for the poly foam & my time. I don't thinmk I am ripping anybody off.
posted on July 14, 2005 06:40:37 PM new
I've found it best to charge a S/H fee to cover all costs for envelopes, insurance, etc and then let them calculate the actual postage. Most buyers are willing to pay a "reasonable" fee if they know their item will not come shoved in an envelope with no other packaging. When I've been a buyer, this infuriates me to no end -i.e. a $25 shirt jammed into a paper envelope. If you're honest and reasonable, no one can complain! Just don't shove $25 shirts into paper envelopes! Hehehe!
posted on July 15, 2005 04:12:57 AM new
Sanmar, the only person you're ripping off is yourself! I have never figured out why people value their time at $0/hour; is it lack of self-esteem, a misguided sense that eBay is a hippie commune, unresolved guilt, what?
posted on July 15, 2005 04:53:57 AM new
Claude, sanmar could still charge his 'flat rate' $10 to ship one platter, and make up for the amounts he didn't collect on shipping the numerous plates.
posted on July 15, 2005 05:05:26 AM new
estatesale, maybe I misunderstand flat rates. Are we saying that every auction gets shipped for $10? If so, I guess the time not spent calculating an auction's shipping quote is valuable enough to overcome an occasional undercharge.
What bugs me are the amateurs shipping Priority for $3.85. It must suck to announce to the world that your time is worth nothing (and that you enjoy giving away peanuts and bubble).
And I'm happy to combine shipping whenever possible. 