eBay Announces Changes – DSR and other Ratings changes (Part 2 of 4)

Part 2 of the eBay Announced Changes covers “Rewards for sellers delivering great buyer experience” section of the eBay announcement and contains six items  which we have broken down below.

1. Rewards for sellers delivering great buyer experiences
* New way to look at DSRs: Avoid 1s and 2s; only domestic DSRs count
* PowerSeller requirements and benefits—rewarding quality over quantity
* New eBay Top-rated seller status earns the highest PowerSeller rewards
* New minimum standard and new Selling Practices policy for all sellers
* Optional buyer charges for shipping insurance no longer allowed
* New Seller Dashboard with more insight to help you improve

New way to look at DSRs: Avoid 1s and 2s; only domestic DSRs count

What does it mean?

“1s and 2s. Buyers have different ideas about what constitutes a high rating, but most leave a 1 or a 2 only when they experienced a significant issue with their transaction. eBay will be shifting focus from average DSRs to the number of low DSRs as a more accurate measure of customer satisfaction.”

What does it REALLY mean?

  • .05% 1’s and 2’s will remove you from the “Top Rated Seller” program (more than 5 out of 1000)
  • .1% 1s and 2’s will remove you from the PowerSeller Program for item description (more than 10 out of 1000)
  • .2% 1s and 2s will remove you from the PowerSeller Program for Communication, Shipping Time or Shipping & Handling Charges. (more than 20 out of 1000)
  • If any of the DSRs have more than their share of 1’s and 2’s you will not be eligible for the programs.
  • If you do not meet these standards, you are demoted in search, restricted, suspended and/or loss of PowerSeller Benefits.

Examples

What’s Unclear

  • How the 1’s and 2’s are counted for multiple purchases from the same buyer. Thus, if one person ordered 20 items, and was unhappy with shipping – could that one person leave all 1’s and cause your account to be suspended, restricted, etc?
  • The actual numbers that cause demoted search, restricted selling, suspension, and/or loss of PowerSeller benefits.

PowerSeller requirements and benefits – rewarding quality of quantity and New eBay Top-rated seller status earns the highest PowerSeller rewards

What does it mean?

“Starting in October, a new eBay top-rated seller status will be added to the PowerSeller program to recognize and reward sellers providing great buyer experiences based on the new way to look at DSRs (very few 1s and 2s). eBay Top-rated sellers will receive the highest PowerSeller Final Value Fee discounts (20%), increased visibility in search results for Fixed Price listings, exclusive access to purchase Featured First and a prominent Top-rated seller badge on item pages. The Top-rated seller badge will be tested in search results pages this summer. The current PowerSeller icon will no longer be displayed on buyer-facing pages including item pages.

What does it REALLY mean?

  • All sellers can qualify to be a top rated seller.
  • 20% fee discount
  • Requires 4.6 DSRs AND low 1’s and 2’s (see above section)
  • Only Top-Rated Sellers can purchase “feature first”
  • Top Rated Seller Badge displayed

In a nutshell, if you are lower than these requirements, you will be hindered in search and will be unable to purchase your way to visibility.  This is a complete restructuring of the PowerSeller program and has in essence eliminated tiers of PowerSellers with only one designation of “Top Rated Seller”.  Sellers who do not meet the 4.6 and low 1’s and 2’s can still be designated as “PowerSellers”, however, there is no icon or anything that shows they are PowerSellers – so in reality the program is dead.

This is however, a fee decrease overall for the smaller seller who can now qualify.

New minimum standards and new Selling Practiced policy for all sellers

What does it mean?

“Starting in October, there will be a new minimum standard for all eBay sellers based on the number of low DSRs (1s and 2s) received. The minimum standard will be stricter in April, 2010.”
Item Details and Description—Sellers are responsible for providing accurate and consistent details regarding their items, including item condition and product details. For example, it would be a violation to select “New” in item specifics and say that it’s refurbished in the item description. Also, listing descriptions must be professional in both language and tone.
Terms and Conditions—Sellers can include only relevant terms and conditions. Violations would include conflicting information in a listing, failure to uphold stated terms, or a disclaimer of seller responsibility to deliver the item as described in the listing.
Product Availability—Sellers are responsible for having items available for sale for the duration of the listing. Single quantity items or items in low supply should not be listed both on and off eBay simultaneously.
Shipping and Related Charges—Sellers will continue to be required to charge only reasonable shipping and handling fees.
Return Policy and Handling Time—As previously announced, sellers are required to specify their return policy and handling time in a listing. The new policy requires the information you specify to be accurate.
Appropriate language—Listings cannot include comments that undermine confidence in the marketplace, such as comments expressing negativity toward buyers or the selling process.

What does it REALLY mean?

  • The 4.3% DSR requirement is being replaced with tabulations of 1’s and 2’s.
  • No more than 3% 1’s and 2’s for Item as Described
  • No more than 4% for Communication, Shipping Time and Shipping and Handling Charges.
  • This is reduced even further in April 2010 to:
  • No more than 1% 1’s and 2’s for Item as Described
  • No more than 2% 1’s and 2’s for Communication,  Shipping Time and Shipping and Handling Charges.
  • No surprises in the policy – although you can’t say anything negative about eBay anymore. There goes the “fun” auctions.

Here is a handy chart of when this all goes into affect

Optional buyer charges for shipping insurance no longer allowed

What does it mean?

The insurance option creates the perception that buyers need to purchase shipping insurance as a protection on eBay, an experience they’re not accustomed to on other ecommerce sites. In fact, sellers have always been responsible for their items until they arrive safely in their customers’ hands. That’s why shipping insurance will no longer be included in the purchase flow as either an option or requirement for buyers.

  • You can’t charge for insurance anymore.

What does it REALLY mean?

eBay is actually correct on this assumption that it’s the sellers responsibility to get the item to the buyer (FOB destination),  some sellers will have a hard time with this one as eBay has never really had a policy for who is responsible.  But, the reality is,  insured or not insured, it’s still the sellers responsibility. HOWEVER..this does increase the fees eBay is taking when a user includes insurance and is charged by eBay and PayPal. Having it separate allowed a seller to not be charged fees for shipping costs related to insurance.

So putting this down a fee increase.

New Seller Dashboard with more insight to help you improve

What does it mean?

Improved seller dashboard that displays the 1’s and 2’s

Bottom Line

  • You can’t charge extra for insurance and it has to be included in opening bid or fixed price amount.
  • DSRs are being replaced with 1’s and 2’s (hmmm..which is a lot like the old feedback 1 and 2 are negative, 3 is neutral and 4 and 5 is positive)..just saying (grin)
  • PowerSellers program is going away and being replaced with Top Rated Sellers
  • Virtually everyone can be a Top Rated Seller
  • 20% Fee Discounts are available for Top Rated Sellers

Previous Blog Post Part 1: eBay Announces Upcoming Changes (Part 1 of 4)


4 Responses to “eBay Announces Changes – DSR and other Ratings changes (Part 2 of 4)”

  1. Vendable » Blog Archive » eBay Announces Changes – DSR and other … : PlanetTalk.net - Learn the truth , no more lies Says:

    [...] See more here:  Vendable » Blog Archive » eBay Announces Changes – DSR and other … [...]

  2. Vendable » Blog Archive » eBay Announces Changes – Enhanced Search and Listings (Part 3 of 4) Says:

    [...] « eBay Announces Changes – DSR and other Ratings changes (Part 2 of 4) [...]

  3. DontScamMe Says:

    I hate being lied to, and if an item was listed as New and was not disclosed in the auction description as smelling of smoke, I will leave negative feedback and an extremely low DSR. Any item that reeks of smoke is NOT new. I never bid on smokey items. Want to avoid negative feedback and terrible DSR’s, Sellers? Then never, ever lie to a Buyer!

  4. Vendable » Blog Archive » eBay Announces Changes – Easier Selling on eBay (Part 4 of 4) Says:

    [...] eBay Announces Changes – DSR and other Ratings changes (Part 2 of 4) [...]

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