AuctionWatch announced Wednesday that it would begin charging fees for its storefronts. It also introduced new Stores features, including a cross-sell tool to encourage more sales, and said additional improvements are forthcoming.
AuctionWatch launched in 1999 as an auction management services firm and auction-industry news publisher. In February 2001, they launched AuctionWatch Stores, 4 months before eBay launched its storefront offering. One year ago, AuctionWatch laid off under 50% of its workforce, ceased its "News & Information" feature, and discontinued its efforts in the enterprise market. It is now an eBay Preferred Provider of auction management services focusing on tools and services for individual sellers, power sellers and small businesses. In June of 2002, it announced it had reached profitability.
The new fees announced yesterday are necessary to enable the company to continue developing requested features to Stores and to support the growing number of stores and sales, according to the announcement. A Standard Store plan costs $4.95 plus a 1% Final Value Fee up to $4.95 per item. A Premium Store costs $9.95 plus 20 cents per sale, and a Power Store costs $14.95 per month plus 10 cents per sale.
Merchants enrolled in the company's Sales Manager Variable Rate Power Plan and Flat Rate Power Plan will receive a free Standard storefront, but will be charged final value fees for Stores sales.
AuctionWatch Stores include a "permanent, professional presence on the web where buyers can easily find and purchase your merchandise," and a built-in mailing list to keep in touch with customers. The new fees go into effect next week. AuctionWatch will deactivate the stores of those owners who do not choose a plan by October 15. The company will hold onto store data for 60 days in the event owners choose to reactivate their stores in that period.
