Selling low value items at a loss. Are people aware?

[Anonymous]

So surely selling low value items on eBay is now almost impossible. 

Say i sell a CD for £2.99. Fees for this sale are 30p plus 12.8%. After P&P ... 

But browsing through eBay CDs for sale I find some on sale for 99p with free postage. 

How can that possibly work for the seller?

99p - 13% =  87p

87p-30p=57p

Now they have to pack and post the CD.

DOES THIS NOT LEAVE THE SELLER WITH A MINUS RETURN?

Perhaps I'm missing something so forgive my lack of knowledge if this is the case.

Time eBay either scrapped the 30p fee or stopped unaware members selling items with a value of less than £5?

[tobiasd4 · Accepted solution]

Fees are slightly less under ebay,

you used to pay paypal 12.9% + 30p & ebay 10%.

Now you only pay ebay 12.8% + 30p, so .01% cheaper, no paypal fees.

Low value items have always been less profit.

[Anonymous · Accepted solution]

Thanks for the information.

[Anonymous · Accepted solution]

I received a separate tax invoice asking for more money. I have not had one of these in 15 years. Add this to the regular fees and it does amount to more. Then you have the problem of receiving payments. Instant with PayPal but 7 days processing with the new system. Admittedly this included a bank holiday.

[Anonymous · Accepted solution]

Thanks for helping me understand the fees.

I was sent a further invoice by eBay with the tax omitted. I hadn't contacted customer service or complained so it looks like a simple mistake.