Two weeks ago I reported (story #2) that eBay will begin charging buyer fees instead of seller fees in the UK, following in the footsteps of Mercari, Poshmark, Depop, and Delcampe, all which shifted fees from sellers to buyers this year.
I've reported on many of those stories in the past and am always very vocal about the fact that I think shifting fees from the seller to the buyer is a terrible idea. It takes an absorbed cost of doing business that was previously hidden to the customer for decades, and turns it into a buyer tax and surprise fee.
Well flash forward to present day…
Some of those companies might be realizing the error of their ways. Liz Morton of Value Added Resource reports that Mercari is currently testing adding buyer fees back into the item price.
Here's why this solution is still terrible:
- Previously sellers could set their sale price and shipping fees and display the exact price they want to show customers.
- Then Mercari shifted the fees to buyers instead, which was dumb, but it still let sellers control their list price.
- Now by adding the buyer fees — which are variable — back into the item price, sellers have lost control over what final price customers are seeing. Their $75.00 product can become an oddly priced $81.67, which could ultimately push it out of results for customers searching with a price filter.
Morton also reported that Poshmark is rethinking its new fee structure as well. The company announced, “We want to take a moment to thank you for your valuable feedback regarding our recent fee changes. We hear your concerns and are actively reevaluating these updates to ensure they align with your needs and expectations.”
Does this mean Poshmark will be reverting back to its old seller fee system? I'll be patiently waiting to see if the company comes to their senses.
I understand the idea behind shifting the fees to buyers. Attract more sellers to our platform with commission-free sales!
However when the quid pro quo becomes lose frustrated buyers, then the concept becomes a net loss.