The Associated Press
EBay Inc. said Tuesday it will cut by up to 50 percent the fees it charges sellers to list their goods online in an effort to boost listings and keep pace with other burgeoning e-commerce sites.
To balance the fee cut, the company plans to increase its commission on items that do sell, a method the company says sellers prefer because it lowers their risk if items do not sell.
The greatest fee increase will come for goods selling for less than $25. EBay’s fee for those transactions will rise 67 percent, to 8.75 percent of the final sale price.
“A majority of sellers will see their fees go down,” said company spokesman Usher Lieberman. “We are basing our success on their success and we want to encourage sellers to list more items with us.”
The new fee structure, announced to a gathering of 200 of eBay’s top North American sellers in Washington, goes into effect Feb. 20 in the United States.
EBay has struggled with flattening growth in recent years and a temporary drop in the number of items for sale on its site.