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Reverb raises fees from 3.5% to 5%

Discussion in 'Guitars in General' started by SinglecutGuy, Jul 14, 2020.

  1. SinglecutGuy

    SinglecutGuy Supporting Member

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    Beginning August 4th. Looks like the honeymoon’s over.
     
    Mazzolar59, TrebleMan, Foggy1 and 6 others like this.
  2. Drmojoxl

    Drmojoxl Silver Supporting Member

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    I just got the email. I'm done selling on Reverb.
     
  3. mavsbball

    mavsbball Supporting Member

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    Doesn’t seem like it’s really worth it anymore...sales tax on all items and now this...
     
  4. jm9239

    jm9239 Supporting Member

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    The low fee was one of the big draws for me. 5% is a joke, as is their BS PR speak about how it’ll get your gear in front of more eyes. Just greedy BS coming off the heels of Etsy’s acquisition of reverb so they can boost their bottom line. Eff off to both reverb and Etsy.
     
  5. Jim85IROC

    Jim85IROC Member

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    I'm sure that all of you got it too, but I just got an email from Reverb stating that their rate is increasing to 5%, starting on August 4th. At first I wondered if this was a bad time for Reverb to do that, since we're all still adjusting to the addition of sales tax. The more I think about it, with musical instrument sales going through the roof in recent months, maybe this won't have the negative impact that I first thought. I'm sure that Ebay will turn around and adjust their rates too, so for those of us with used gear to sell, unless we're able to sell it through local classifieds, we're all still going to end up using Reverb and adjusting to the new rates.

    Opinions?
     
  6. Scott L

    Scott L Silver Supporting Member

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    I've been doing better on Ebay the last 6 months or so - especially on the bigger ticket items.

    5% and no phone to call in for support.... Nope. Done
     
  7. sleewell

    sleewell Member

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  8. TreeHugsBam

    TreeHugsBam Member

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    There is no fee amount that makes it worth it if they're going to take the side of the buyer every single time

    I've actually never had a complaint on my sales, but I think that's just luck. It's inevitable

    What to do. I don't want to Craigslist. Selling to guitar center / Sam ash takes like an hour, even if you're the only one there. Ebay / reverb always sides w the buyer
     
    Last edited: Jul 14, 2020
  9. oneblackened

    oneblackened Member

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    Yep... I'm done with that. 8% of sales to CC processing and reverb? I think the hell not.
     
  10. Golem

    Golem Silver Supporting Member

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    I just saw this too. The price will get passed onto the buyers, honestly. Sucks as a buyer.

    But it also means you can likely get a 5% discount if it's a legit shop just by calling and asking.
     
    Last edited: Jul 14, 2020
    cwgatti, Mazzolar59, tomich and 3 others like this.
  11. SinglecutGuy

    SinglecutGuy Supporting Member

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    I expect a similar email from eBay any minute now....
     
  12. earwax

    earwax Member

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    Headed from 3.5 to 5 percent.

    Even more reason to use the emporium.

    ..or guitarscanada if you live north of the border like me.


    Blurb from Reverb:


    We are modifying our selling fee to help us invest more to sustain our community’s continued growth. This year alone, we plan to increase our investment from 2019 by:

    • Investing over 30% more in marketing initiatives—including SEO, online video advertising, and other digital advertising—to get your inventory in front of more buyers from around the world.
    • Expanding by more than 25% the capacity of our global customer support team focused on assisting you and your buyers as we grow.
    • Increasing by more than 40% the capacity of our product team focused on creating and enhancing seller tools and services to increase the visibility of your shop and inventory.
    Our team comes to work each day to ensure the success of our sellers—our marketplace simply doesn’t exist without the independent shops, makers, artists, experts, and individuals that form our vibrant seller community. These changes will enable us to bring more buyers to Reverb on your behalf, support the long-term health of your online business, and continue growing together.
     
    Last edited: Jul 14, 2020
  13. Presc

    Presc Member

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    It seems like they've spent a lot of resources on features that benefit volume sellers (i.e., actual guitar stores) - search engine optimization, video advertising, etc - and are now passing that cost through to the customers. Those marketing tools may be worthwhile for the corporate client who is trying to move gear in volume, but not so useful for the individual doing the occasional sale.

    At the end of the day, Reverb is a very safe platform to transact on, and has some protection features that (IMO) are valuable to the average person, and I understand and am okay with paying an extra fee for that versus an emporium sale. That said, it would be nice if they could offer more of a tiered fee structure tied to usage of different features since I certainly don't need a marketing suite but am now paying for it.
     
  14. whoismarykelly

    whoismarykelly Oh look! This is a thing I can change!

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    No surprise here. This was the change everyone has been expecting since Etsy acquired Reverb. The money has to come from somewhere.


    To Our Community,


    I’m writing to share upcoming changes that will enable us to significantly grow our marketplace so that we can help you reach even more buyers all over the world. Beginning on August 4, 2020, we are increasing our selling fee for the first time ever⁠— from 3.5 % to 5%.


    When Reverb launched in 2013, the idea was simple—an online marketplace built specifically for the musical instrument community by a team of musicians. Our team thought about everything that we, as music makers, wanted in a site for selling gear and put it into Reverb: A live support team staffed with musicians, tailored tools to make things like price negotiation easier, a personalizable feed and useful content to help buyers find exactly what they want, and more.


    Today, Reverb is the largest online marketplace dedicated to buying and selling musical instruments. In the past year alone, our community has achieved tremendous growth. More consumers are buying instruments than ever before, and players of all levels increasingly are buying gear online. As more buyers move online, we’ve heard you loud and clear: You want more support and more tools to help you get your gear in front of Reverb’s expanding audience of high-quality buyers and grow your sales.


    We take the role that we play in supporting your business very seriously. Over the past seven years, our team has worked tirelessly to improve our marketplace to support your business and to find new ways to help you grow your sales. Now is the time to deepen our commitment to these efforts. We are modifying our selling fee to help us invest more to sustain our community’s continued growth. This year alone, we plan to increase our investment from 2019 by:

    • Investing over 30% more in marketing initiatives—including SEO, online video advertising, and other digital advertising—to get your inventory in front of more buyers from around the world.
    • Expanding by more than 25% the capacity of our global customer support team focused on assisting you and your buyers as we grow.
    • Increasing by more than 40% the capacity of our product team focused on creating and enhancing seller tools and services to increase the visibility of your shop and inventory.
    Our team comes to work each day to ensure the success of our sellers—our marketplace simply doesn’t exist without the independent shops, makers, artists, experts, and individuals that form our vibrant seller community. These changes will enable us to bring more buyers to Reverb on your behalf, support the long-term health of your online business, and continue growing together.
     
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  15. mikeratan00

    mikeratan00 Member

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  16. ixnay

    ixnay Member

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    Yep. The only reason eBay dropped to 3.5% was because of Reverb.

    5% sucks, but it is still only half of the 10% eBay was charging before Reverb came along.
     
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  17. Blue-moon

    Blue-moon Supporting Member

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    Well, it was fun while it lasted. See ya Reverb.

    So it is going from a total of about 6.5% in fees to 8% in fees (including transaction costs).

    So seller will increase their listing fees to cover that increase and that, along with sales tax, will put most things out of the reach of buyers.

    Smart move.
     
    Last edited: Jul 14, 2020
    ooglybong, deemic, TrebleMan and 14 others like this.
  18. d18sinker

    d18sinker Member

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    Reverb is becoming less and less relevant to me. First the state sales tax addition, now this... Of course, the sales tax is not their fault, but this fee increase will definitely encourage me to cruise craigslist more often.

    EDIT: I would like to say that I've had nothing but good experiences with buying and selling on Reverb.
     
    Last edited: Jul 14, 2020
    ooglybong, deemic, JackS2 and 2 others like this.
  19. stagolee

    stagolee Silver Supporting Member

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    Will be interesting to see if eBay holds firm and goes back after that part of the market.

    With impact of taxes on potential buyers, the 5% is a non-starter for me. I’m sure others will disagree. Nice to have options.
     
  20. MKB

    MKB Silver Supporting Member

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    I love the text of the email, marketing spin trying to convince us that we are lucky and privileged to pay more for the service. Ya know, Ebay would get my business back if they fixed the PayPal 6 month return window, and got something resembling customer service.

    Why does Reverb increase their fees? Because they can.
     

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