topic Re: Is it all over for eBay ? - Mainstream media article, The Age in Selling

Is it all over for eBay ? - Mainstream media article, The Age

vicr3000 — Fri, 13 Feb 2015 17:34:17 GMT

FYI, I noticed this in the Age this morning. A negative article in the Mainstream media.

Is it all over for eBay ?

Some of the comments are interesting, including the first one that mentions these forums.

Here is the first response.

"I'm not sure who was spoken to for this article, I don't know any of the sellers mentioned. But if you'd like to tootie along to the power-seller forums on eBay you'll see some extremely unhappy small sellers who will give you the truth about what it's like now on eBay. High costs, fees from eBay even on your postage amount, rubbish from China ranking above Aussie sellers in exposure, free returns for 180 days, insistence on free shipping, a "defect" for a return (even if asked for by the buyer) - too many defects and you're position in "best match" is downgraded to page 3408 where no-one will ever even see you; and you also lose top rated status; can't leave any feedback for buyers other than positive, but they can affect your whole business over a .99c sale by leaving you a negative and defects, No support for smaller sellers, call centres where they often don't even know the rules because they change so often and no one can make any sort of concession against defects or feedback even if you've been a great seller for 10 years and can stand on a perfect record! Don't even ask me about the limited exposure they provide - the urban myth about your "lights being out" is felt by way too many people to have no truth at all. There are many sellers gagging for a new platform and eBay will be trampled in the exodus. No-one will look back! It's an absolute travesty of mis-management from a once GREAT business.

One of the replies to it is even better

http://www.smh.com.au/small-business/trends/blogs/the-big-idea/is-it-all-over-for-ebay-20150212-3pzix.html

Is it all over for eBay?

eBay's changes have received a mixed response.

"I've got a story for you," said my friend Tallulah. When someone says that usually they don't. But I was prepared to listen.

"Why don't you write about all the changes at eBay? They charge their fee as a percentage of the price of the item plus postage, whereas they used to just charge the fee on the sale price."

Talullah isn't a commercial eBayer, so I thought I'd check in with some people who run businesses on the site to find out about their experiences.

Fleur Filmer who runs Hanging Rock Picnics, which sells picnic gear, is frustrated with the way changes have been introduced at eBay.

"Any fee increases are buried deep within policy updates and the level of fine print is staggering. My store has fared quite well but I must admit that fee increases from three per cent to four per cent [of gross sales value] up to nine per cent are very hard to absorb.

"I would also suggest that a lot of investment and resources have gone to their promotion of the majors online. They have actively gone after the big brands to establish eBay stores and haven't offered any new resources or assistance to small store owners. I do understand that's commerce. But competing on the platform with large brands hurts small operators. I would be highly surprised if the fees charged to major brands were anywhere near as large [as the fees charged to small operators]."

In response to this claim eBay spokesperson Megan English says, "we have a standardised fee structure that offers options for business of all sizes - from time to time we have explored fees outside of this but we are talking about less than a half percent of all the businesses currently on eBay." She says, "it is not standard practice ... to offer more attractive rates to big businesses."

Fleur points out eBay is an important sales channel for her. "It represents about 30 per cent of my overall sales and the platform itself is incredibly user-friendly and easy to use."

Nick Molnar, who runs Ice Jewellery, which has an eBay store, says the site's fee structure changes have not had a material impact on his business.

"It is very rare to find a marketing channel you only pay for after you have made a sale. eBay coupled the simplification of their fees with increased marketing and support for key eBay merchants, and Ice has been very fortunate to work closely with eBay on jewellery campaigns through the year."

Scott Gladstone, a director of exercise gear e-tailer Klika, says the changes in the price structure for listings on eBay hasn't affected his business because it offers free shipping.

"We believe these changes have been positive because they weed out sellers that have listed their products at low prices but impose high shipping fees that they pass on to buyers."

So what's eBay's perspective? Megan English argues eBay sellers were notified in March and April last year about changes to the fee structure that were introduced in May 2014.

"They were also given advice about a simple way to offset this change. Sellers were informed that there would be a change in the way that eBay calculates the final fee. The final value fee is now based on the total cost to the buyer, including postage. This change was made to encourage sellers to offer free or competitive postage," says English.

"Sellers who offer free shipping are much more likely to sell their product. The majority of Australian sellers already offer free shipping, so for them nothing changed last year," she explains, adding that eBay negotiated a 10 per cent discount with Australia Post on flat rate products for eBay sellers to coincide with the fee hike.

There's no doubt eBay revolutionised the small business sector. Many businesses simply wouldn't exist without it. Technology research house Paul Budde Communication noted in one study that there are now more than 160 businesses earning more than $1 million a year on the Australian site. In 2013 the Australian site attracted more than 7.3 million unique users each month, equal to a 60 per cent market share of Australian online shoppers.

But the way I look at it, eBay's a sitting duck. It's only a matter of time before someone does to eBay what Uber did to Taxis Combined.

Paul Budde, managing director, Paul Budde Communication, says the business is still growing, but at much lower levels that in previous years. "It has reached the maturity stage in its life. But there are no real threats to its business so there is no reason to believe that they won't be able to continue along current lines for some time to come," he says.

Hmmm. That's what the hotel sector said just before AirBnB took off. I've heard many people claim the eBay experience as a seller or a buyer is clunky and I think someone will soon come up with a better way of selling online.

So although eBay will remain the dominant online market place for the time being, I predict a new market entrant will challenge eBay before too long. In fact, there's probably scores of start-ups in incubators right now secretly plotting its demise.

Re: Is it all over for eBay ? - Mainstream media article, The Age

phorum_junkie* — Fri, 13 Feb 2015 22:51:08 GMT

I haven't read most of your post but would just like to make a general observation. If I had a dollar for every time I read that ebay's policy changes would beTHE END I would be rich enough that I wouldn't be selling on ebay, I would be out spending my fortune.

Re: Is it all over for eBay ? - Mainstream media article, The Age

vicr3000 — Fri, 13 Feb 2015 23:50:35 GMT

That makes two of us.

I only posted the article on here so everyone could see it as not everyone reads the papers.

Re: Is it all over for eBay ? - Mainstream media article, The Age

whar_debb — Sat, 14 Feb 2015 00:16:26 GMT

Thanks for the link I found it very interesting from both the seller and the buyers prospective.

I would love to see eBay return to original unique market place it once was before the Asian invasion

its so incredably boring now ..page after page of the same cheap rubbish.

Re: Is it all over for eBay ? - Mainstream media article, The Age

cvjoint_shockabsorber — Sat, 14 Feb 2015 00:20:51 GMT

If Ebay has a real competitor, then it will have big problem.

Very upset that they have changed rules and we sellers have to spend more time on getting the transaction fee back if the buy won't pay.

Ebay should notice, Sellers pay to make them survive, not the buyers.

If one day companies like Alibaba come in, Ebay will see its end soon if their way to do business is not changed.

They should have remembered how easily Ebay was beaten by Alibaba's son company Taobao in Chinese market a decade ago.

Similar thing might happen again.

Re: Is it all over for eBay ? - Mainstream media article, The Age

vicr3000 — Sat, 14 Feb 2015 00:38:37 GMT

Just an observation.

Alibaba, made in china, dx.com, Taobao, they don't have to 'come in', they are already taking business from ebay.

They dont need a dedicated Australian or US web site.

Just my HO

Re: Is it all over for eBay ? - Mainstream media article, The Age

vicr3000 — Sat, 14 Feb 2015 00:38:44 GMT

Re: Is it all over for eBay ? - Mainstream media article, The Age

roseworthy11 — Sat, 14 Feb 2015 03:55:55 GMT

Interesting - in the comments, someone refers to a new online Australian shopping site having started up - swapmeet au ? Anyone heard of that before?

Re: Is it all over for eBay ? - Mainstream media article, The Age

bettyboopsadaisy — Sat, 14 Feb 2015 05:57:52 GMT

No, but I'd like to know more about it. I tried googling it but couldn't find it.

Anyone got any details about this site?

Re: Is it all over for eBay ? - Mainstream media article, The Age

roseworthy11 — Sat, 14 Feb 2015 07:26:40 GMT

swap meet dot net dot au

Re: Is it all over for eBay ? - Mainstream media article, The Age

black*poppy — Sat, 14 Feb 2015 08:49:57 GMT

Aren't swap meets for computers and tech stuff??

Re: Is it all over for eBay ? - Mainstream media article, The Age

i-love-my-sheep — Sat, 14 Feb 2015 09:38:55 GMT

@black*poppy wrote:
Aren't swap meets for computers and tech stuff??

And cars/bikes, and gems, and collectable toys.....like Matchbox cars. I'm sure there's more.

Re: Is it all over for eBay ? - Mainstream media article, The Age

digital*ghost — Sat, 14 Feb 2015 09:50:00 GMT

@phorum_junkie* wrote:
I haven't read most of your post but would just like to make a general observation. If I had a dollar for every time I read that ebay's policy changes would beTHE END I would be rich enough that I wouldn't be selling on ebay, I would be out spending my fortune.

But would you invest that fortune in eBay? I wouldn't.

I would have to be very naive, I think, to believe that eBay will just keep on keeping on. It won't be any one policy change, and I don't think people saying "the end is nigh for eBay" on the back of one is necessarily accurate, because failed or bad policies can be changed relatively quickly.

It's something else that will prove to be eBay's undoing, if/when it happens - long-term arrogance, ignorance, stubborness will do it.

A lot of the "ebay is dying" comments have an unwritten "for me" after them, but eBay is a collective of indivudual sellers, so if it dies for too many of them, they (eBay) will be in a bit of trouble. There may always be sellers, but eventually there might not be enough of them willing to sell here.

Re: Is it all over for eBay ? - Mainstream media article, The Age

saarzi — Sat, 14 Feb 2015 14:21:49 GMT

Just amazed it focuses on the fee structure and postage issue, which can be overcome by small sellers by a change of business plan / strategy.

It makes no mention of

- forcibly taking money off sellers to refund buyers who never return the item, and/or when the seller is not required to refund.

- allowing their current refund / defect policies to facilitate fraud.

- not allowing sellers access to their own monies.

- Allowing sellers to get "strikes" against their names, that count toward the closure of their account / business, for situations that would violate general business ethics, and in some cases, Australian consumer law.

- growing evidence of hidden seller caps and throttling.

I could go on all day.

The article reads like its been written by an Ebay employee who is trying to deflect from actual issues, by presenting something very straightforward that isnt going to generate a class action suit - unlike the other problems.

Re: Is it all over for eBay ? - Mainstream media article, The Age

digital*ghost — Sun, 15 Feb 2015 00:34:23 GMT

@gtx305 wrote:

The article reads like its been written by an Ebay employee who is trying to deflect from actual issues, by presenting something very straightforward that isnt going to generate a class action suit - unlike the other problems.

That, or to get people to dismiss those complaining about eBay as having nothing legitimate to complain about - complaining about fees and larger competition, to buyers or people that don't even use ebay, likely just looks petty a lot of the time.

Re: Is it all over for eBay ? - Mainstream media article, The Age

circletek — Sun, 15 Feb 2015 04:45:40 GMT

The more alternatives crop up, the more I am getting off ebay completely.

Ebay sucks more and more.
I've already got a long rant with my personal annoyances on my own thread, but agree with everything posted here, which is even more detailed than my rant.

Thanks for further confirmation that it is time to abort this ship.

Re: Is it all over for eBay ? - Mainstream media article, The Age

go-tazz — Sun, 15 Feb 2015 05:01:00 GMT

I've listed my first get out of selling listing ,that way someone else can have the ~~hassle~~,fun,(I've listed the basics

on the listing and it will sell,so that's over 100 listings I no longer need to worry about),

So there will be another newbie you lot can help out,,(I'll let them know about the boards)

I'll hopefully will only be doing the bigger bulk listings,(I'm only going to do a few "smaller" ones plus the

occasional magazine).

I'll then list whatever I have left as another bulk seller package to clear it all,(so someone else can have the

"fun"of trying to list on eBay or another site),

So this ID might retire or become a buying one only,

Re: Is it all over for eBay ? - Mainstream media article, The Age

vicr3000 — Sun, 15 Feb 2015 07:42:12 GMT

Ebay is still a good marketing medium, to get your business name out there, let people know what you sell
And every sale is just a bonus.

Thats the way i look at it now.

Re: Is it all over for eBay ? - Mainstream media article, The Age

peri-landlubber — Sun, 15 Feb 2015 22:51:47 GMT

U could call it an online swap meet - U can list almost anything. Very easy to use once U get used to it.

Re: Is it all over for eBay ? - Mainstream media article, The Age

englishrosegardens — Mon, 16 Feb 2015 02:12:57 GMT

Be thankful it didn't go into details about the money back guarantee because that'd encourage people to try and get things for free. Yes, even for those who read the Age. Good news has a way of spreading, and getting items for free is definitely good news for buyers!