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The New Fee Structure

Let me qualify my statements by stating I understand any businesse's need to find new sources of revenue.

While I haven't had the time to list any auctions for quite some time, I fail to see how I would be excited about listing for free when I'll have to pay $5.00 for each $100 of an item I list.

The most I would have to pay under the current structure for an item starting at $25 would be $.45 - regardless of what I sold it for. I liked being able to know exactly how much I would realize from the sale of each item.

I did sell some things which started at $9.99 and ended around $300. $15 versus $.25 - as much as I don't like eBay for selling, this might drive me there since there will be a broader exposure there.

We'll see how things go.....

Fred

Re: The New Fee Structure

Hi Fred,

Thanks for your comments. I understand your concerns. This was a difficult decision. However I feel this is correct considering the following facts:

1) I originally started this site as an alternative to Ebay’s high prices. With the new payment schedule it will still be a bargain compared to Ebay, although yes you would be paying more than our previous schedule for successful auctions. But there is no charge up front. This should invite more people to participate on this site and make it better. To be honest I could have made this a Train City only auction site, but I wanted to give others the opportunity to participate selling as well as buying.

2) If something should happen to me or Train City, I personally would like choochoo to continue on. If at some point it is profitable on it’s own, that would be possible. At this point it would go down immediately because it is evident that charging up front simply does not generate enough money to come close to covering expenses.

3) We have had a number of people who listed on this site not pay for their auctions. I believe this possibly has something to do with the fact that their items didn’t sell. I’m thinking that they started their auctions too high or some other negative factor in their post, and they felt that since the item didn’t sell, they shouldn’t owe money, which goes completely against our policy which is clearly stated.

At any rate, although yes it will cost more, I believe people will be more apt to pay since they will pay only if their items sell. However if the non-payers continue we will eventually have to require credit cards or credit payments up front as a deposit, which I really don’t want to do.

I’ve always thought that train people are among the most honest anywhere. That is why I am so disappointed at the non-payers. Shame on you!

4) choochoo isn’t a huge, greedy conglomerate like Ebay is! We aren’t trying to satisfy our stock holders as we don’t have any. If you aren’t just a little mad at the fact that Ebay charges so much for auctions, then possibly you aren’t human! That’s why this and other alternative auction sites have spring up. Ebay is probably the most important marketing concept ever. It has changed everything. And they are reaping the rewards for introducing the concept. Not only are they reaping, but they are raping the consumer with the monopolistic hold over the market. They will only charge more and more as time goes on. We are just trying to give people a viable alternative. But to do that we have to make a profit in order to stay alive.

I hope this gives you some incite as to why I really didn’t have any alternative than to change our payment schedule.