Low Cost FVF

[qualitycardsandgifts]

I mainly sell low cost items and am interested in the Low Cost FVF offer.  It is showing as available on my promotions, but having just spoken to CS, I have been told that I have to be invited to join.   Does anyone have this promotion running and is this correct ?

[technthread]

I haven't been offered it but I remember a number of sellers posting on here who regret activating it. 

a 30p fixed price saving for a 15% variable fee doesnt seem like a great deal to be stuck with as you have lots of listings at £5.99 and over. 

[therenewalworkshopltd]

What you have posted, shows the offer active.  So if you are unsure of it, go look at what you are actually being charged.

As to whether it's worth it or not, you need to determine that yourself as it depends very much on what you are selling and at what price point.  It can make a big difference, but can also cost you money.

I use it on another account and it works reasonably well.

[qualitycardsandgifts]

Thanks, I was looking at a way of reducing my cost of sales (currently 40%).   

[4_bathrooms]

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@qualitycardsandgifts wrote:

I mainly sell low cost items and am interested in the Low Cost FVF offer.  

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As mentioned; it is an all-or-nothing offer. If you do enrol all your listings - not just the "low cost" ones - will be subject to the offer fee structure.

Also note the offer isn't as generous as it first appears. It is (15% + 5p) + VAT; so if you're not VAT registered it is really 18% + 6p. It still works out cheaper for items under £8.00 if you're in a 11.9% category as that would be the cut-off point where you start paying more under LCIP (i.e. the fees would be the same on an £8.00 sale).

[bojangled]

I've been on it for over a year and want out from next month. 

My main category is music, and the majority of my inventory is under a tenner, so as @4_bathrooms says it is costing me a few pennies more than the normal 15% in that category. 

I'm also under the impression that if you enrol in this you sacrifice the 10% TRS discount.

Jo

[ett1954]

@qualitycardsandgifts   To add to what @4_bathrooms  has correctly stated above.  You also need to be aware of your sales patterns.  If you are selling multiple orders as combined invoices you need to be aware when combining invoices that you will probably attract the higher fee level and make the necessary adjustments.  Likewise, if you are selling a significant proportion of international sales then due to the high postage costs these will also attract the higher fee take.  As pointed out once in the scheme it is 'all or nothing' - you can't pick and choose.

I took advantage of this offer some years ago when it was first introduced and did make some small savings for a short period however after hefty price increases by Royal Mail I found I was soon paying more and when my first year offer was up I opted out from the scheme.

@bojangled   Just a word of caution when you use the auto opt-out after the year double-check that you really have been opted out.  When I did this I found I had been automatically re-enrolled back in the offer for another year and had to go through the hassle of contacting eBay to complain.  This resulted in an additional month at the higher fee rate.

[bojangled]

@ett1954 thanks for that, I can't actually see a way to opt out other than contacting CS. 

Just to to the multiple order fees I have an order discount promo running, buy 3 get 1 free, the whole point of this promo was to reduce fees, yet several times I've had these orders come through as 2 separate transactions, buyer gets discounts but I get charged 2 lots of fees. CS couldn't explain it, didn't get any credits either.

Jo

[ett1954]

When it was first introduced it ran for a year and towards the end of the promotion there was either an opt-in box to tick for a further year or an opt out box - I can't remember which.  I certainly didn't opt-in for a further year but was nevertheless re-enrolled.  I have never looked at it since or considered it again so I don't really know how it now works but looking at the opening post it does seem to have a time limitation on it therefore there should be a way to opt out otherwise it just becomes an auto-enrollment and an oportunity to grab more fees as other seller costs such as postage increases the total sales value ultimately above the break-even point for everyone.