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April 25, 2008

eBay gets tough on sellers

Filed under: eBay — estreet @ 1:50 pm
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As reported by Ina Steiner of Auction Bytes, eBay gets tough on sellers.

eBay shifted their focus from sellers to buyers last year when they dramatically increased the affiliate payouts while funding it with increased seller fees.

It’s the right move for eBay. If eBay has solid buyer traffic, there will always be sellers jumping at the chance to sell. For example, look at high population growth areas with new home buyers. The homes are built first, then the grocery stores appear. You don’t see grocery stores in the middle of nowhere before the customer base is established.

And besides, there’s no pleasing eBay sellers anyway. Just look at the negativity on the forums.

eBay is one of the lowest cost, high traffic sales channel out there. If a seller can’t turn a profit on eBay because of a 5-10% fee increase, then it’s not because of eBay. It’s because they chose a poor market or are not able to market their products successfully.

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2 Comments »

  1. Only time will tell if the changes are good for eBay. My vote is for buying stock in Amazon as thousands of sellers are flocking to Amazon during the shakeup. You know, Amazon isn’t just for books anymore.

    eBay is forgetting that the best customers they have on eBay are the sellers themselves — and eBay is most certainly pissing off their best customers.

    As a platinum powerseller with 4.9 DSR ratings, I have seen my sales hit dramatic new lows as eBay has instituted Best Match. I don’t think our sales have slipped because of a lousy economy. In fact, the Web site formerly known as the world’s flea market is headed for a temporary spurt in listings because of a bad economy. People are selling their jewelry, guitars and clothes to pay the high gas and food prices — or in a last ditch effort to make another mortgage payment before it goes into foreclosure. It’s a great time to snap up these deals, but it’s not a good time to sell.

    While people are frantically listing more of their garage sale wares on eBay, only eBay’s selected elite will rise to the top. Namely, eBay’s partnerships with retail type merchants. You’ll find Buy.com listings shortly on eBay as they have recently announced a partnership.

    It’s time for the average seller to get out of eBay! It’s time for eBay’s stocks to plunge. It’s time to go to Amazon.

    Comment by PowerSeller — May 5, 2008 @ 5:57 pm | Reply

  2. There is being tough on sellers and then there are ripping sellers off. I agree, people should look for alternatives. Read my post on the pain of an ebay experience (and their new 10% charge) http://www.binarydesigner.co.uk/2010/07/how-do-ebay-justify-such-high-fees/

    Comment by Christopher Peat — July 26, 2010 @ 8:23 am | Reply


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