If you are a PowerSeller. If you hope to become a PowerSeller. If you know any PowerSellers. You may want to read the following:

In a recent email, most PowerSellers were told they would soon be recieving reductions in listing fees along with free gallary pictures.  Another benefit they were promised would be a power seller discount of 5% (with a DSR rating of 4.6 in all 4 catagories) and 15% (with a DSR rating of 4.8 in all 4 catagories).

In order to qualify and be elegible for the discounts, the ratings must be at the levels stated above during the preceeding 30 days. So the discounts are based on the DSRs for the past 30 day period. Although all of these facts were not made immediately clear, they were welcomed as being a very positive benefit.

So this is all true and is great news.

However what they failed to mention was that there would also be a substantial  final value fee increase. A slightly less rosy picture began to emerge. What was initially announced as a rate reduction with special additional power seller benefits ended up, after some investigation, to be part of a far different story.  

First a PowerSeller must qualify just to hold the PowerSeller title at all. It will now be necessary to have DSRs ratings of 4.5 or higher in all 4 catagories in order to hold the title of PowerSeller once the new policy takes effect. In addition a PowerSeller's DSR ratings of 4.5 or higher must have already been maintained a that level or higher for a full year in all 4 catagories. So at any time in the the past or in the future that any of these ratings drop below that level they will not qualify to hold the title of PowerSeller, and/or will lose the benefit until and unless they are able to regain the DSR minimums back to 4.5 or above and they must retain that DSR rating in all 4 catagories for a full year from the date of the dip.  With the new no-negative feedback entitlement program for buyers in place, this benefit is highly unlikely to occur for most,  if not eventually for all, PowerSellers.

After running the numbers on the listing fees reduction and free gallary picture feature with the new final value fee increases , it is clear that even with the somewhat illusive 15% discount, the final fees will be, not a decrease, but an increase. eBay is not denying this. However they still maintain that it will be a savings because listing fees will be greatly reduced. This is possible, but remains to be seen.

For those currently using sub-titles, borders, bold, design lister program and other features, some carefully thought out changes may help reduce other fees as well. The question is, how much should a seller be willing to sacrifice by not using proven sales tools in order to stand still fee-wise?

Some serious problems my also arrise for the Store owners as well. eBay has already begun limited store owership in the UK. It is sure to follow in the US as well. For the high volume sellers owning a store is the only way to manage a large inventory, but at what cost?  

UPDATE: As of February 13, 2008 One Important CHANGE WAS MADE!
WE HAVE WON ONE BATTLE - DO NOT GIVE UP!
It is important to note that these very important changes are coming in July 2008: PowerSellers, present and future should understand that simply pouring hundreds of thousands of US dollars or British pounds, etc. of hard earned money into eBay will no longer guarantee that a person can remain a PowerSeller. This one fact seems worth repeating: Now in order to hold the power seller title, a seller must qualify by having  a 4.5 DSR in all 4 catagories for a full year* in order to qualify as a power seller at all. [Note the exact quotes from the original statement below which can be found on the power seller pages. See the changes in the wording as of February 13, 2008]

This was the wording before February 13, 2008
"New (PowerSeller) requirement effective July 2008: must have maintained a rating of 4.5 or higher for the past 12 months in all four detailed seller ratings (DSRs) - item as described, communication, shipping time, and shipping and handling charges."

The new wording states: (you will note that it no longer says "past 12 months")*
This icon next to a member's user ID means that the seller meets the criteria for being a PowerSeller - consistent sales volume, 98% total positive Feedback, eBay marketplace policy compliance, an account in good financial standing, and beginning in July 2008, detailed seller rating (DSRs) of 4.5 or higher in all four DSRs - item as described, communication, shipping time, and shipping and handling charges. If a seller no longer complies with any one of the above requirements, they are removed from the program.

Check your DSRs to see if you would qualify as a PowerSeller if the program began today!

But it is important to note that many current PowerSeller will still not qualify under the new rules. Check your DSRs today!

It is also important to note that USPS is once again raising rates. This will be occurring at the same time as some of these changes take place on eBay.

Add to that the new problem of eBay assisted problem buyers, (most of us would quickly agree that almost all of our buyers are worth their weight in gold. However, (if you pardon the earthy anology, just one fly in the most delicious soup pretty much ruins the whole pot, doesn't it?), because of this collection of unpopular changes, we are looking at working harder for less money in our pockets and poorer ratings coming soon, and many of us may very well not even qualify for PowerSeller any more.

I will end on this personal note. Last week I, along with 1000s of other concerned eBay members, wrote emails to Meg, Bill, Griff and others. The quote below is taken exactly from one of the responses I received.

I wrote Bill Cobb about my concerns and I got this back:

"Jane, although I do understand that this will affect your business, please understand that we have made these changes for the betterment of eBay's marketplace."

[This suddenly become very personal. So I responded back saying that it may be ok with eBay, but it certainly was not ok with me.  I have an almost flawless record. And I worked very hard to get and keep it. I try to charge exact shipping w/no handling fee. I ship within 24 hours. I love what I do and I treasure my customers so I always include a related bonus pack in every box I ship. I offer lifetime support. Almost 40% of my business is from repeat buyers. I have no negatives and I don't leave them for others. Have no mutual withdrawals. Am a PowerSeller. And I have only had 5 non-paying customers in all these 9 years.I just got a new one. Still not bad]

Am I to understand that eBay feels they need to protect someone from me?

For more information about the eBay 2008 changes:

1) No Negative Feedback for Buyers? What an odd solution!
http://reviews.ebay.com/No-Negative-Feedback-for-Buyers-What-an-odd-solution_W0QQugidZ10000000005275539

2) No Negative Feedback for Buyers? Why it won't work.
http://reviews.ebay.com/PowerSeller-Benefits-Program-A-truly-sad-new-chapter_W0QQugidZ10000000005524944

3) PayPal - 2008 Changes - The 21-day hold on your money
http://reviews.ebay.com/PayPal-2008-Changes-The-21-day-hold-on-your-money_W0QQugidZ10000000005528443

4) An open letter to: Our customers, friends & other sellers
http://reviews.ebay.com/An-open-letter-Our-Customers-Friends-amp-Other-Sellers_W0QQugidZ10000000005710066

Thank you for reading my guide.