Ebay DSR Stars - Good for Ebay, Still Bad for Sellers and Buyers
Will Ebay Ever Roll Back Their Bad Business Practice of DSR Stars?
DID YOU KNOW: Buyers who leave 4 Ebay DSR stars or less are possibly costing ebay sellers thousands of dollars by doing so? Did you know they are also forcing the "good deals" and fun sellers off ebay? How do I know? I'm a buyer who has become wise to the Ebay DSR stars mess. At first, I did not know the Ebay DSR stars I was leaving for good sellers could hurt them in the long run. I've educated myself on the DSR star system and have made it a point to request that Ebay management re-examine the Ebay DSR stars immediately. What was once an annoyance is now causing sellers to leave even before the holiday season is in full swing. Countless favorite sellers are leaving due to in great part to the Ebay DSR stars system of feedback. Does that make me, a buyer want to buy from the big label accounts Ebay is getting in? Not by a longshot, and I'm not alone.
Ebay seems to think that they can use us buyers as their axmen. They want the bigger accounts to be attracted to the website, but that's like taking out all the bees from the beehive because it blocks all the honey. Not all Ebay buyers know that the Ebay DSR stars hurt sellers. Other competitve sellers have found ways of gaming the system by attacking competiting sellers with Ebay DSR stars dinging, and there is no recourse. Many Ebay buyers still don't know that they are forever damaging the sellers they visit by doing something that seems pretty inane - leaving stars of good or lower. That's right, GOOD or lower stars mean problems for the sellers. Here's why:
Ebay punishes sellers who have 4.5 Ebay DSR stars or less and kicks sellers out who have lower than 4.3 Ebay DSR stars. That's right. Better than good means punishment and sometimes suspension. As a Buyer, you see that 4 stars as good. That is not true in Ebay DSR stars formulas. Punishment can be pretty bad for these sellers, too. How are they punished? Well, paypal can hold their money for 21 days (or longer, Paypal just can't seem to figure out how to release the money when they promised. to) for being considered a bad seller. Why does paypal do this? Easy. They make interest on the float. So sellers can be forced off the marketplace because of the fact that they can't keep up with the cost of shipping, because yep, paypal freezes the shipping money too. Now that Paypal (or another merchant form of payment) is the only permitted type of payment allowed on the marketplace now, (and no, you still can't use Google Checkout), the float makes Ebay a lot more money. Four stars means profit! And all Ebay had to do is tell a white lie - that four stars is good. Are you scared yet? If you like good deals, you should be.
If you have bad stars, it is nearly impossible to get them back up again. The reason is simple math, or in this case, Ebay math, which encourages that 4 stars is good, and 5 stars is more satisfactory. Anyone who has ebayed long knows that plenty of buyers rate sellers on a curve. As a Ebay DSR Stars confused buyer, I left fours for good service and fives for outstanding service. I gave fours to the everyday sellers, not knowing this would damage the sellers I frequented. I gave fives only when the seller went out of their way. Was this right? I feel like Ebay lied to me. Not being a seller myself, I had no clue the sanctions and fees I was costing my sellers. And, it's impossible to take it all back. Ebay would not hear my phone calls requesting they change my Ebay DSR stars to fives. I may have damaged a good lot of different sellers, as I have been a high-volume buyer in the past. Ebay can not claim ignorance of their missteps, because they are not stupid. I can only guess this was all done on purpose. I hope that my self-NARU from me quitting the marketplace will remedy the stars I have left in the past.
Here's the ugly truth. Ebay raised fees for sellers but lets some of them have a discount if they keep the Ebay DSR stars up. Sounds nice, right? Well, it's almost an unobtainable goal. Who can keep their Ebay DSR stars up? For starters, sellers with the money to have family members purchase their own products and give them good Ebay DSR stars. Other sellers who can overcome some of the Ebay DSR stars mess are sellers who refuse to sell to newbie buyers or put a lot of restrictions on buyers. There are also large-contract sellers who seem exempt from DSR suspensions. Ebay seems to prefer these sellers over those trying to maintain honesty in the marketplace. Convinced you're in trouble yet? You don't have to be. You can buy from an Ebay alternative!
Bad sellers who sell lots and lots of stuff every day can keep up with the wave of negativity, but for smaller sellers with a smaller volume, one faulty ding from a careless or vindictive buyer is the END of their Ebay career. The end. . . finito. There is no logical way to recover from this. Why? The deck is stacked against occasional sellers. At the same time, it is buyers who are suffering. They can't find the things they want to buy because the sellers they want to buy from are simply absent from the marketplace. In this economy, Ebay should be booming. People typically flock to flea-market type marketplaces in times of weak economy. Why won't Ebay capitalize on this? They are too bull headed to admit error. As the stock continues to slide, it is likely the powers behind Ebay will continue to blame the economy and not the fact that kitchen table entrepreneurs have been forced out of business by poor policy changes, unreasonable fee hikes, and the Ebay DSR stars system.
As a buyer, it was impossible for me to see the Ebay DSR stars would hurt my sellers. There was simply no warning - just a big bold popup encouraging us to neg if we wanted to without recourse. I only learned about the Ebay DSR stars problems when I went to a message board to get information about a problem I had experienced. The truth is, only people having problems go to the boards. Who has the time to seek all that out? Ebay is supposed to be simple. I'm surprised they would hide such important truths from the buyers like that. I feel used. Has Ebay used you too?
Published by L. Galatea
L. Galatea is a stay-at-home, homeschooling mom from central Indiana. View profile
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19 Comments
Post a CommentI was a top rated seller on EBAY. I have my business license and was cleared by customs. I have always had positive feedback and all it took was one bad buyer who complained about a purchase and I was pulled from EBAY. I had 50 other positive feedbacks for the same item and one person ruined. They filed a claim and EBAY sided with them and when I got the item back there were used and dirty. Two days letter I get a letter from EBAY saying I have been kicked off forever due to the one unhappy customer. They feel I am a security risk. The funny thing is they called me a couple of days letter and wanted to hook me up with some wholesalers. My husband told them where to go. EBAY is bad business.
How do you respond to this article: http://3rdpoblogs.com/colderice/2009/03/27/the-ebay-dsr-4-star-misconception/ ??
I'm only interested because a recent purchase brought worried "please be sure not to leave me a 4 or I'll be punished" emails from the seller. It seems that the math shows that maybe it's hard to come back from lower ratings but that it's also hard to slide to the lower ratings, by the same math.
Bonanzle, Etsy for handmade, and atomic mall, baby!
Yesterday I was a TOP RATED SELLER after midniight I was changed to an ABOVE STANDARD seller and lost my 20% discount which on average is about $90-$125. Anyone ever heard of EBID.NET?
Thank you for this article! It was very well thought out and written. I am an eBay TRS this month but wasn't last month nor will be next month. I have a 99.9% satisfaction rate. I have wonderful customers but as you stated we cannot build our business plan on this monthly roller coaster ride. I wish there was a worthy eBay rival! OH and why don't they realize that as a buyer we are not looking for eChina? I'm so sick of China listings and they can't be trusted as sellers!!!
DSRs are completely bogus. Ebay pulls your DSRs out of thin air. DSRs DO NOT reflect the numbers buyers actually leave for you.
Ebay arbitrarily decides each month how many 5%, 15%, and 20% discounts they want to hand out. Ebay then fudges each seller's DSRs to go with the number of discounts they want to hand out.
Basically it's a giant scam.
This dsr system that ebay has implemented is hurting my sells. I have put listings at other free sites and have found that I am getting really good responses with a good amount of items selling. I am now looking at other sites to list my items as ebay has gotten out of hand and I would recommend others put feelers out to see if they can sell at other sites as well. Ebay is getting too greedy and are charging more when your ratings fall below a certain level. When communicating with my buyers most do not know that this is the case and they feel that if they leave positve feedback marked then they can be more critical on the dsr star rating not realizing the damage they are doing to sellers that they were actually very happy with. I am obviously getting away from ebay and exploring other marketing tools and hope that others who are having the same problem will do the same. Maybe if enough poeple do this ebay will get it together instead of trying to screw the good ebayers who have helped
Nod. I know fewer and fewer who use Ebay anymore. It's sad, as many used to constantly talk about Ebay, and now few do unless they are complaining.
Remember Ebay, if I lose money as a Seller. I have nothing to spend as a Buyer either. Do the math. Or perhaps, just don't and go out of business. Just 10 years ago, a ton of people hadn't heard of you. In 10 years, they won't remember you.
Buyer is honest and doesn't take me for a complete sucker by claiming to not receive their item, while I have no proof of sending it (unless I pay for that, too), or raising my prices and offering free shipping, which, I think, sometimes changes the perceptual price of what Buyers pay, making them less likely to buy. Of course Ebay wants you to charge whatever you can charge on the actual item charge so they can maximize their profit. Essentially, what they are trying to corner you into is obtaining free product and labor for them. You are the free labor, by the way. So, yes, as per another poster, they want you gone. The best way to do it is to make it as frustrating, cornered, and unprofitable for you as they can. I don't know about eBay, but even my small sales, tiny though they may be, trickle in and add up like a bit of caulk. It does the same for them, whether they are too arrogant to realize it or not. I wonder where they will be when the caulk is gone.