• When you click on links to various merchants on this site and make a purchase, this can result in this site earning a commission. Affiliate programs and affiliations include, but are not limited to, the eBay Partner Network.

paypal's greed
0

78 posts in this topic

Just now, ADAMANTIUM said:

There sure a lot of goat gifs in your search history Mr. Porcupine, if your not careful you'll go blind :devil: 

It's from the modern heating up thread that got locked.I'm trying to make goat the new bomic.

Link to comment
Share on other sites

Companies that offer " free shipping"  factor the cost of shipping into their prices. If you have a historic return rate of five percent, and will lose the PayPal fees on that five percent, adjust your prices accordingly. If your rate of return is more than that, you have other problems effecting your bottom line that need addressing.

Do you think the post office should refund your shipping fees?  Should Costco refund the cost of your shipping materials?  Why should the post office get paid for a transaction you lost money on?  The thought process here seems to be what exactly? That PayPal only deserves to get paid if the transaction goes smoothly?

What did PayPal do wrong that they should refund their cut of the transaction?.  Why is it okay for the post office to get paid twice on a failed transaction( someone is paying to ship the books both ways) but PayPal should lose money for doing its job?

You can charge a separate restocking fee, but that will turn off a lot of potential customers. I'd simply add a bit to your pricing formula and move on

Link to comment
Share on other sites

On 10/21/2019 at 8:57 AM, shadroch said:

Companies that offer " free shipping"  factor the cost of shipping into their prices. If you have a historic return rate of five percent, and will lose the PayPal fees on that five percent, adjust your prices accordingly. If your rate of return is more than that, you have other problems effecting your bottom line that need addressing.

Do you think the post office should refund your shipping fees?  Should Costco refund the cost of your shipping materials?  Why should the post office get paid for a transaction you lost money on?  The thought process here seems to be what exactly? That PayPal only deserves to get paid if the transaction goes smoothly?

What did PayPal do wrong that they should refund their cut of the transaction?.  Why is it okay for the post office to get paid twice on a failed transaction( someone is paying to ship the books both ways) but PayPal should lose money for doing its job?

You can charge a separate restocking fee, but that will turn off a lot of potential customers. I'd simply add a bit to your pricing formula and move on

Just for the sake of the argument, you sell a $100,000 item and the buyer uses Paypal to pay for it.

The item is damaged in transit...how and why is irrelevant...and the buyer wants to return it.

You paid about $2900 for Paypal to process that transaction.

Should you lose $2900 because of something out of your control? Paypal processed the transaction, after all.

That aside, I don't suppose 19 years of precedent means anything, right...?

Link to comment
Share on other sites

If my $100,000 book is damaged in transit, my insurance will cover it. It's why I have insurance and why having insurance is just another cost of doing business.

I've never sold( or bought) a $100,000 book but have bought and sold several books in the low to mid five figure range and would never think about using PayPal for them. I did a wire transfer of $155,000 over the summer. It cost about $30. When I bought an AF 15 from Dr.Carl when he was a relative newcomer, I think the cashier's check was about $15.  I'd have to dig out the transaction details, but since he was saving a few hundred in PP fees, I think he threw in free Fed Ex, or possibly Express mail.

Link to comment
Share on other sites

18 hours ago, shadroch said:

If my $100,000 book is damaged in transit, my insurance will cover it. It's why I have insurance and why having insurance is just another cost of doing business.

I've never sold( or bought) a $100,000 book but have bought and sold several books in the low to mid five figure range and would never think about using PayPal for them. I did a wire transfer of $155,000 over the summer. It cost about $30. When I bought an AF 15 from Dr.Carl when he was a relative newcomer, I think the cashier's check was about $15.  I'd have to dig out the transaction details, but since he was saving a few hundred in PP fees, I think he threw in free Fed Ex, or possibly Express mail.

your insurance is going to cover your lost paypal fee....?

That's great insurance.

By the way....not that it matters, but BofA will do wire transfers, and a $100,000 wire transfer can be accomplished same day for $30.

Link to comment
Share on other sites

So you know you can do it for $30 but use an example of it costing $2900.

If a $100,000 book is damaged in transit, insurance will pay $100,000, if one pays $30 for a wire transfer or $2900 via PayPal. The insurance company cover your book, not your lack of business acumen.

Link to comment
Share on other sites

2 hours ago, shadroch said:

So you know you can do it for $30 but use an example of it costing $2900.

If a $100,000 book is damaged in transit, insurance will pay $100,000, if one pays $30 for a wire transfer or $2900 via PayPal. The insurance company cover your book, not your lack of business acumen.

You didn't answer the question. As I already said, the fact that a wire transfer is $30 is immaterial to the discussion. You're saying that Paypal should...despite 19 years of precedent and industry practice...be able to keep not just the static transaction cost (30 cents) but ALSO the variable fee (~2.9%), even if a refund is given.

And what if the buyer decides they simply don't like it...? Then what...? 

Link to comment
Share on other sites

10 hours ago, RockMyAmadeus said:

You didn't answer the question. As I already said, the fact that a wire transfer is $30 is immaterial to the discussion. You're saying that Paypal should...despite 19 years of precedent and industry practice...be able to keep not just the static transaction cost (30 cents) but ALSO the variable fee (~2.9%), even if a refund is given.

And what if the buyer decides they simply don't like it...? Then what...? 

Are you suggesting a business can't change ifs own rules based on changing conditions?  Should comics cost ten cents because the industry standard was that for nearly forty years? Why is it okay that ebay changed its policies that are  in effect.almost as long?  An uoutside company changed its practices, causing PayPal to change its own policies. PayPal adapted. Now sellers need to adapt. It's a scary world out there. Some people embrace change, others fear it.  PayPal isn't a monopoly. If you don't want to play, find another game. 

Now that you know there is a risk you will lose money on returns, build in some protection by adjusting your prices accordingly or by simply no longer using PayPal.No one is forcing you to use it. PayPal did this because their revenues and market share was dropping. Isn't that evidence that alternatives exist and are being used?

Keep your margins high and you rate of returns low. If an outside companies policy change drastically affects your business plan, perhaps it wasn't that great a plan to begin with. I'd imagine  CGC raising its rates effected your bottom line far more than this does.  If the cost of planning goes up, don't you pass along the cost? If USPS raises it prices, don't you look for cheaper alternatives or pass along your new expenses?

Since we both are aware of wire transfers costing $30, why use PayPal if their fee is higher? Convenience comes at a cost.

Link to comment
Share on other sites

Paypal isn't raising their fees as a part of the normal course of business (and comics didn't actually stay 10 cents for nearly 40 years. The page count was steadily reduced over time as costs rose.)

And the implementation of "best practices", which smart businessmen have already done, has nothing to do with the discussion, which is about Paypal deciding, then reneging on that decision, then re-deciding to no longer refund the variable fee (~2.9%) they charge for every transaction. 

I don't disagree with any of what you've said...but none of that is the issue at hand.

"Don't like it, don't do business with them!" isn't the point. The point is awareness and potential activism.

Edited by RockMyAmadeus
Link to comment
Share on other sites

I think it's a joke. Firstly, we were forced by ebay to use paypal and they became the thing to use for online.

If I sell a pair of trainers, the person don't like them now, or have changed their mind for whatever reason, I could click refund person in paypal, it automatically would add the funds paypal received (minus 20-30p), but now you're saying I would be out of $3-$5 for every time this happens now on a $100 item. 

This is bad, especially if it's not my fault, but buyers remorse, or someone pulling a fast one.

We need to get something that can compete with paypal, they make enough money out of us for doing very little as it is, never mind the horrible conversion fees they have in exchange rates.

If you sell a $2000 comic, that's gonna be $50-$100 hit if someone changes their mind. I don't think I can sell expensive items online that go through paypal anymore if this is across all continents, might not affect big sellers as much, but small sellers, this could hurt us a lot.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
0