posted on September 25, 2001 09:09:31 AM new
I was just wondering why nobody commented yet on the new fee structure at AW. I believe that it won't surprise anyone.
posted on September 25, 2001 09:32:30 AM new
Hi "petertdavis":
I just read the announcement on the new fee structure. Presently we are on the Power Plan ($200.00/year), plus we have to pay if we list a new item from Auction Manager ($0.05/listing) and we don't pay a % of the final value. If we relist from eBay or Vrane we don't have to pay for the images either (images are hosted at AW). With the new fee structure we have to pay $0.10 per listing from Auction Manager or $0.10 per picture if we relist from somewhere else. Usually we list around 500 items per month. If you do the math it will cost us at least $50.00 a month plus the % of the final value. Meaning our Auction Watch fee will be more than double than it is now. When our Power Plan is up it is time for us to move on to another service, where we can have the same features AW is offering for $19.99/month and no final value %.
This new fee structure is way overpriced and will drive away even more small businesses from AW than when they introduced their payment plans in March, 2001.
posted on September 25, 2001 12:51:19 PM new
Has anyone noticed that since the economy has started getting worse, everyone is raising their prices. Where's the logic in that?
We have less customers so we better raise our prices so we can make money. The problem is more people leave and they make less..
posted on September 25, 2001 01:15:16 PM new
The problem is that they should have been charging for their services all along. Now they (not just AW, but most any internet company) have to play catch up. Giving away your products or services for free was never a good business model. This contributed heavily to the crash. Now companies like AW are struggling to figure out how to survive. Most of them will not.
posted on September 26, 2001 07:21:36 AM new
dman3, that's one of the things I was wondering. I've been recommending low volume people to use AW's service because it (used to anyway) had the best combination of services and pricing for people listing only a few auctions per week. I am reassessing whether or not I can make that recommendation anymore.
