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eBay Inc. (EBAY) Message Board

  • contentsmatters contentsmatters Mar 11, 2013 11:09 AM Flag

    International shipping might affect Ebay stock

    The post office has done a very large increase in shipping rates for U.S. sellers selling overseas. Packages under 1 pound have practically doubled to all parts of the world; for example the cost of shipping a cd to Asia has gone from $5 up to $10. Usually each year a slight 20 cent type increase and now the post office doubles the rate. Packages between 1 pound and 4 pounds have gone up more than 50%, so a vinyl record has gone from $14 up to $21 for most parts of the world. I think this has to hurt Ebay and investors should look into this. For me as a seller; I've seen a huge drop off in Non-U.S. buyers, which has led to an overall decrease in total sales. Generally I've had about 20 to 25% of my orders go to non-U.S. buyers, but since the rate hike on January 27th; I've had just 6 out of 153 orders go to non-U.S. buyers. So from about 22% going to Non-U.S. buyers down to about 3%. Rare items are still in demand worldwide, but your basic cd or other more common low priced items will be staying in America. Paypal takes 3% of the shipping so with less and less high cost international shipping, that alone hurts Paypal and with less overall bids, auctions will sell for less overall. I think this is a factor investors should consider for both Ebay and Amazon.

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