When eBay launched the DSR system, we were always concerned with the fact that sellers that offer free shipping generally received 4.8 on the shipping and handling cost DSR. It proved that the system sets up unrealistic expectations with consumers.
Last week, 8/24/10, eBay somewhat quietly (no AB post, just a tweet+post from their blogger?) rolled out a significant improvement to the system.
If a seller offers free shipping, and the buyer chooses that option, then the seller automatically gets a 5 star on the shipping and handling cost DSR.
SeekingAlpha disclosure- I am long Amazon and Google. eBay is an investor in ChannelAdvisor.