eBay authentication cost for watches

For watches above a threshold, a sale can route through an authentication step. It changes your costs in more than one way, and because eBay's terms and thresholds change, the honest move is to model it as its own line rather than guess a number.

What it actually costs you

1. Shipping to the authenticator, which is a cost you carry before the buyer ever gets the watch.
2. Time. The money is tied up longer than a normal sale, and capital that sits still is a cost even when no invoice is issued for it.
3. Risk on condition. An item that fails authentication comes back to you, and you are now holding a watch you thought you had sold.
4. Any fee eBay applies for the step, where one applies. Check the current terms for your category and price band, because this is exactly the sort of thing that changes.

Where it belongs in the calculation

On the buy side, with the other costs you paid to get the watch sold. Not deducted from the sale price, and not left out because it is awkward. A margin that only works if authentication is free is not a margin.

All figures above are examples. Your rates, bands and thresholds are your own.

The practical rule

Before you bid, decide whether the watch is likely to route through authentication, add the shipping and any fee as real lines, and check the margin is still there. If the deal only works with that line missing, the deal does not work.

Run these numbers on the listing you are looking at

Flip Ledger does this arithmetic in the eBay or Chrono24 page you already have open, using your own rate tables. The free tier is a complete tool, permanently: landed cost, the fee stack, net proceeds, margin and the consignment split, with no account and nothing limited by time or by count.

Get it on the Chrome Web Store See the comps view ($13 once)

Flip Ledger is a Chrome extension for watch dealers. Free tier is a complete tool, permanently.