posted on August 28, 2001 04:32:24 PM new
breaking news-yahoo shop announced new fee structure-49.95 to host your website per month,10 cents per item insertion fee,1/2% transaction fee for every transaction in your shop,3.5% fee for participating in yahoo network.
in other words,if you shop is relying on yahoo network(yahoo shopping,yahoo directory) to bring you the traffic which results in order,their cut of your sales amount is 3.5 % .
This is a more flexible plan-win win situation for both shopowners and yahoo,we can stock more or less in our shop and yahoo gets to share our success when items sell.
GO YAHOO GO,take on cyber gorilla EBAY
posted on August 28, 2001 05:48:05 PM new
when yahoo gets more shops and i would assume some will be ebay dealers,they can drop items from their shop to yahoo auction.there is a feature in the shop for shopowner to drop item to ebay,hopefully these are the uncluttered ones!!
i am waiting for some of these upscale shops to start dropping lalique,waterford,rolex,mercier to yahoo!!
posted on August 29, 2001 01:29:21 AM new
This can only be an improvement IF your Yahoo Store has been doing more than $5,000/month in sales.
Up until now, Yahoo charged $100/month for a small store....with NO listing fees and NO transaction fees or network fees on your first $5,000 worth of sales every month.
Now you pay $50 less per month just to have the store, BUT have to pay them 10 cents every time you add a listing PLUS 4% of EVERY SINGLE SALE you make.
The 4% they're now taking on your FIRST $5,000 in sales (which used to be transaction fee-free) is $200.00!!!!!!!! Add to that 10 cents per listing, and Yahoo is charging MUCH, MUCH MORE in fees to the small store.
How do you figure this is an improvement for small sellers??????????????
From where I sit, it looks like Yahoo just DRASTICALLY INCREASED their Store fees....hardly something to cheer about.
posted on August 29, 2001 06:44:02 AM new
first,transaction fee is only 1/2 %,3 1/2% comes in if your sales came from yahoo network.
but then if you have a shop on yahoo,you want to take advantage of its worldwide esposure.
many yahoo shops have pricey items which sell for a few hundred dollars,these shops do not have many items (many equals over 1000 items).
so what is a 10 cents fee if you are compaq or smithsonian musuem or some upscale shop selling lladro,waterford?
yahoo shop is not the same as amzn or ebay store,it takes money to develop the software and takes money to maintain it.
i have a shop with 1000 items ,i am paying 300 a month ,with this new policy,my fixed fee is 49.95 plus 100,which comes to 149.95
franckly my dear,if i get an order,i dont mind paying yahoo 4 % if it comes thru yahoo.
i also drive traffic from ebay which cost me no yahoo fee.
yahoo also submits my shop to major search engines,some of my orders came from them,once again it cost me no yahoo fee.
so you could have under 5000 sales a month and paying less than 300 a month to yahoo come october when new fee kicks in.
the old saying-it takes money to make money,amzn zshop let us list 40,000 items for 39.99,i have one order since july .
so it is cheap,but does it produce results>
i open a zshop for the pro merchant account because i sell on marketplace,otherwise it makes no sense to have a zshop,yes it is cheap for 40,000 items,but if i just sold 2 items in a month,IT IS VERY EXPENSIVE.
posted on August 29, 2001 06:55:30 AM new
also,if yahoo makes it very cheap,then it will end up like amzn zshop,every one just list everything at 4.95 and leave it there forever.
posted on August 29, 2001 04:13:12 PM new
some of you are missing the real opportunity here...by chraging for listing fees, and i believe it's a one time fee per sku, yahoo will decrease the number of merchants offering the same items (some will fade out due to the fees) which means that there will be less 'kids in the sandbox' which should thereby drive up the sales of those that stay in the sandbox...at least that's the opportunity presented...
for a store that might have 10,000 items, it would simply be a $1000 one time fee to play - quite a bit cheaper than any advertsing/marketing one might do and theoretically the quality of the marketplace will improve...
posted on August 29, 2001 04:47:05 PM new
redneckbob-
listing fee or what they call insertion fee of 10 cents per sku is per month.
most yahoo shops do not have 1000 items,many of these stores have many more items in their land shops which they do not show in their yahoo shop,they just say if you dont see it,just inquire.
one shop carries brand names such as herend,lladro,armanti etc,and it has a big land shop,so viewers would just inquire what they dont see online.
so if they have 200 items ,the listing fee per month is 20 dollars.
number of items is the daily average- they take the number of items you have in your store daily and divide by 30 or 31.
i dont believe yahoo change in fee policy is to discourage existing shopowners to drop out,they want more shops and so they lower the barrier.
they want you to experimant by investing 49.95 per month,then 10 cents insertion fee per sku,if an item sells,then 1/2 % trannsaction fee.
if the order comes from yahoo network,then 3 1/2 % revenue share kicks in.
yahoo network will probably account for a good number of the shop orders but one can drive traffice from ebay,aol classified,yahoo auction,search engines etc,so dont let that 3 1/2 % intimidate you.
yahoo shop is not for everyone,folks shop for mostly new items as gifts -birthday,xmas,wedding,graduatione etc and worn and old and cracked items would not go.
