Online auction site uBid has lowered some Final Value Fees and has implemented listing fees for auctions on its Consumer Exchange platform. Independent sellers now pay a fee to list their items on uBid; before, there was no charge to list items. The "success fees" (or Final Value Fees) have changed from a flat 5% of closing price to a sliding rate based on the item's closing price. Items with a closing price of up to $25 will incur a 5% success fee; items with a closing price of between $25 and $1,000 will incur a success fee of 5% for the first $25 and 2.5% of the remaining closing price; and items with a closing price over $1,000 will incur a success fee of $24.38 plus 1.25% of the closing price over $1,000.

uBid differs from the typical online auctions in that it has three separate platforms. uBid auctions items that it has purchased from manufacturers (uBid DIRECT). uBid also auctions merchandise "for" manufacturers, which retain ownership of the goods (uBid PREFERRED PARTNERS). uBid's third platform is similar to other auction sites in that it allows companies and individuals to auction items on the uBid site themselves (uBid CONSUMER EXCHANGE). When consumers search uBid, they know from the results display whether items are for sale from uBid, from a "preferred partner" or from an independent entity.

The move to restructure fees is a sign that the company is ramping up its Consumer Exchange platform and reaching out to sellers who have traditionally used sites like eBay. However, by implementing listing fees, they are likely to experience a drop-off in listings. When Yahoo Auctions implemented listing fees last year, listings decreased about 15%. Yahoo claimed the sell-through rate remained consistent after the fee change, however. http://www.ubid.com