posted on August 6, 2001 08:53:19 PM
Found this in a sellers ME page. And to think I questioned 11.00 shipping on a 1oz item (memory chip).
SHIPPING AND HANDLING CHARGES
Answering your question about Shipping and Handling is very important to us. Please email us back if you have any other questions or suggestions that may help in reducing these costs so we may pass them on to our customers.
Before you read the following breakdown we ask you to consider a few items that are not related to your questions about "shipping" costs.
1. Dutch auctions start at $1. Generally folks place their bid based on "low-ball" items that are similar they find using search engines, completed auction items, recommendations from friends, links from advertisements, etc. This are really not reliable and don't reflect the true cost of the item.
2. Most of the time, with Dutch auctions starting at $1, the closing sales price or winning bid amount is BELOW the actual, wholesale cost of the item. FEES have to be charged to process the item. These fees include shipping, handling, packaging, insurance, returned item processing, contract services related to the sales of the item, miscellaneous labor charges that have to be paid.
STANDARD SHIPPING AND HANDLING COSTS FOR BPC ORDERS UNDER TWO POUNDS
ADD ALL COSTS TOGETHER TO GET AVERAGE COST PER ITEM
1.Postage is about $2.35-$9
2. Canada, APO, Alaska and Hawaii - we average these is $.75 additional
charge per item.
3. Box, packaging is about $.75 cents
4. Auction related fees are about $5 (this takes into consideration that only
60% of people pay, filing of paperwork for credits, collection efforts for the 40% of customers that run deliquent, credit bureau fees)
5. Labor fees - $3 per order (our folks like those paychecks on Friday)
6. Reserve for RMA (returns)-$2 per item. This includes re-shipping back of good parts or parts found to be in good working order but incompatible with buyer's system.
7. Contract Services & Non-cash payment administrative costs are about $2 per item
That actually works out to over $12 per item.
Any item that we ship out of our warehouse, regardless of shipper, generally costs
us $10.75-$12 in direct expenses.
posted on August 6, 2001 09:52:42 PM
so as an honest buyer you pay for all the deadbeats?
And does he pack that chip into gold-plated paper or something for $ 9.00 shipping?
Of course the APO thing ist B$, too. For such small items he won't even have to fill out a green customs label.
Well, I guess if you bid on his auctions you deserve what you get.
And do I get a $ 2.00 refund if I decide to keep the item?
edited to add:
actually he is pretty generous, though. After all - its runs to well over $12 and he lets his buyers get off with a mere $ 11.
Maybe not such a bad guy at all.
[ edited by Zugspitz on Aug 6, 2001 09:55 PM ]
posted on August 6, 2001 09:59:19 PM
What's to suggest?
This is his chosen method of sales. If it works for him, and people are willing to deal in that manner, then he will keep doing it.
I personally don't agree with the practice of $20 shipping, but none of his figures are out of line. It's an accepted practice to do this on eBay and buttloads of people are doing it.
If he was selling it at $20.00 + $1.00 shipping instead of the other way around, would you buy it?
posted on August 6, 2001 10:03:53 PMso as an honest buyer you pay for all the deadbeats?
You think you don't? It's built into the price somewhere, even by the nicest seller in the world. I wouldn't do it like this, or even rub it in the buyers face that they where paying for the deadbeats, but consumers pay for shoplifting, bad checks, and everything else buyers can do to rip sellers.
posted on August 6, 2001 10:08:29 PMdon't agree with the practice of $20 shipping, but none of his figures are out of line. It's an accepted practice to do this on eBay and buttloads of people are doing it.
It's gotten to the point with ram chips, that lots of sellers are doing this.
I only charge $20 to package a darn boat motor for shipment.
posted on August 6, 2001 11:14:31 PM
We can not comment on Electronic Chips, but we have often paid half or one third of the shipping for very fragile Items from the UK than we have for a smaller, lighter, more durable metal Item only 2 states away. We also have found that PM often takes one day longer than 1st Class. Twice as nice at half the price. (Whoops!) Our thrill was getting a 260 year old Sterling Silver Ring mailed 1st Class in a slightly padded envelope. We paid for PM and USPS Insurance; it was mailed with 85 Cents USPS Postage. As this cost me a fairly high winning bid, and it was for my Daughter, I was not amused. As I was a stranger, only 45 minutes by car from the Seller, I doubted this man's sanity. It was not so much the dishonesty and misrepresentation by the Seller, it was the naked and blatant in-your-face callousness in mailing in what essentially was the same as a phone company payment envelope with the thinest bubble-wrap in it I have ever seen. The Ring arrived undamaged, unbent. I was fortunate. He was LUCKY. We had been dumb enough to believe his E-Mails, and had already Posted him a very specific and individual Positive Feedback. No more. This guy's luck will not last forever. Good Topic, great replies. - PJ187 -
posted on August 6, 2001 11:35:26 PM
I'm hoping the government will just send me a subsidy check to keep shipping costs affordble.
Seriously if they don't, e-commerce will die because A) those who eat the costs will go bankrupt, and B) those who charge $12 s/h on a two pound item likely won't get much business and will go bankrupt. That's the end of e-commerce.
posted on August 7, 2001 01:54:03 AM
Not only do good buyers pay for deadbeats, but good drivers pay for bad ones, healthy people pay for smokers (I smoke, so I'm not putting anyone down here, just making a point), and responsible people in general pay for slackers in many areas of life.
I don't like it, and it ain't fair, but it is what it is.
posted on August 7, 2001 06:15:05 AM
The sellers terms stated: "...60% of people pay, filing of paperwork for credits, collection efforts for the 40% of customers that run deliquent, credit bureau fees"
40% of this seller's customers don't pay?
Considering the outright lies and mis-statements in the so-called explanation, I am surprised it isn't more!
These are the kind of sellers that drive buyers away from ebay and give us all a bad name.
This is as if you went to Walmart and they added 25% to your bill for their overhead.
I also think these charges are not allowed by ebay's tos. It is obviously fee avoidance.
The question still remains as to what all ebay considers "reasonable" to be included in handling fees which still hasn't been addressed by them. Though, this person might make a good test case.
When I hear back from ebay on my other question regarding the new rules, I'll ask them their position based on this guy's info (but making sure it's done in a "hypothetical" format).
posted on August 7, 2001 06:43:56 AM
I would bet that most ebay buyers have purchased an item from a catalog or an info-mercial. Have they ever questioned the shipping charges? My bet would be they haven't.
All of us honest, up-front sellers have spoiled the bidders with "actual"cost shipping to the point they now expect it.
It took most of us a long time to figure out that we couldn't afford to keep giving away expensive shipping materials and labor. Now the majority have been adding a handling fee and it would seem they all feel defensive about it.
The stated shipping charge is the shipping charge and is non-negotiable as far as I am concerned. In the old days it made less difference because final prices assured healthy profits.
It won't be long and bidders will just accept the shipping& handling fees because that will be what they have grown used to.
