You know these guys that are selling games, and they have a 1 cent auction, but the shipping is $6.95?
So basically they are selling the item for $7, but they are trying to make it look less than it really is.
Doesn't Ebay get mad at this tactic?
I'm assuming that they are using this tactic for three main reasons:
1. By having a super low starting price of 1 penny, they show up at the top of the list when people do searches for the lowest priced item.
2. By packing their profit into their shipping cost, they basically avoid the Final Value Fee that Ebay charges. I mean what the heck is the Final Value Fee for an auction that is only 1 penny?
3. More people will click on there auction, just to check it out.
Nowadays, when I see a 1 penny auction, I typically don't even waste my time clicking on it, because I know the shipping is going to be in the $6.95 range at least. But there must be suckers out there that bid on these auctions or these people wouldn't do it.
But I would think that Ebay would recieve alot of complaints from Buyers that paid $6.95 shipping for a CD that was shipped for 60 cents, or a cart that was shipped for $1.06. Also, you would think that Ebay would be pissed about these people avoiding Final Value Fees.
Yet, these auctions continue to exist. Unabated. Does anybody know why Ebay allows these 1 penny auctions to continue?