January 7, 2013—It looks like third-party sellers using Buy.com might be facing their own fiscal cliff this year. Starting next month, Buy.com will increase fees for third-party sellers making it almost impossible for low-volume sellers to continue using the marketplace. With only around 5,000 active sellers using Buy.com to sell products, the new fee increase seems essential for the marketplace to stay afloat.
The new fee increases for third-party sellers include listing fees and a higher commission rate. Previously Buy.com didn’t charge a listing fee and only charge a $.99 commission per item plus a percentage of the price, depending on the product category. Buy.com also charges payment processing and fraud review fees. Selling plans for Buy.com are changing too. Sellers must choose one of two new plans—Professional ($33/month) or Professional Plus ($199/month), and must enroll by February 1, 2013.
Spokesperson for Buy.com Bernard Luthi said, “Our new quarterly fee and commission rates are very much in line with the other marketplaces and will allow us to create an even better selling experience for the merchant.”
Is Buy.com becoming too expensive to sell on?