Questions eBay Sellers Should Be Disscussing

PWC Blog - September 17, 2008
I understand that many sellers are concerned about the changes eBay is making - I am one of them and my past vacation did relax me a bit -- I still feel like I am in quicksand at times with all the changes eBay is wanting from us sellers at the start of the holiday selling season.
 
I am also very troubled about some of the things I have observed this past year.
 
For example,. when John Donahoe had the webcast in January from the event (2008 eCommerce Keynote Archive.) and Meg Whitman, who was still CEO at the time, was not there that morning - Donahoe said she was tired - it was a red flag to me - I read it as Whitman does not agree with the direction eBay is heading under new leadership. 
 
The last three months of Whitman as CEO she, from what I saw, was not really involved with eBay - for whatever reason - and it came across to me that Donahoe was taking over. 
 
The last day that Whitman was officially CEO she did not even post a farewell message to the eBay community - at least none I could find - on either the announcement board or eBay blog. 
 
During her time at eBay I always felt she was very personable and likeable, a eBay member like the rest of us and when there was a problem, she talked to us members as a equal.  She did not say good bye - it might sound strange but to me it was another red flag that Whitman did not agree with the direction Donahoe was taking eBay.
 
I have seen eBay stocks drop this summer, I track them on my website, I have seen a growing amount of bad press from reputable sources in the business community, and now this story of eBay laying of 1500 employees and according to the article I sited:

The Wedge report, according to Barron's, said eBay's business was "deteriorating"

 
I tend to believe what I have read from the news story.  Barrons is a respected publication.  I will of course wait for confirmation but at this point if Barrons reported it I must not just dismiss it as pure speculation.  I seem to remember the reports that eBay allowed Buy.com to dump thousands of listings on eBay for free, which was denied by eBay, however it has come to light that eBay did indeed allow Buy.com free listings to pump up the inventory (makes me as a seller feel we are nothing more than content providers for eBay).  This is based on a story in the New York Times - www.nytimes.com/2008/07/14/technology/14ebay.html?8br size="4"> - which I would consider a reliable source of information and I feel most other people would as well.
 
I was very saddened to learn that eBay did allow Buy.com to dump onto the site.  I remember back in the early days I was part of eBay, eBay stating the sale point for people to sell on eBay was that regardless of if you were a big corporation like Disney or a small person selling from his one bedroom apartment, that everyone had to pay the same fees. 
 
I would hazard a guess those days are gone.

Between the red flags, IMHO, I have stated above, and this news report, I feel sellers have a should be asking these questions both amongst themselves and maybe even of eBay itself:

 
What is the health of eBay?
What is the future of eBay?
Will there be a eBay worth selling on in a year from now.
 
I have been a loyal member of eBay since 2001, I have been an Education specialist since 2004.  With the facts of the eBay stock dropping in value, news reports (regardless of if they are speculation or not - the reports are not always favorable for eBay) and the sentiment on the site, why should I continue to do business on rBay and what reason can eBay give me to give to others who ask me, when I am wearing my Education Specialist hat, why they should buy and sell on eBay?
 
I know eBay is making great strives to making eBay the safest it can be for anyone to conduct business through, but with the recent news stories, sentiment, etc. (which I feel that most people would admit is negative in many ways) why would it be a wise business move for any serious seller to stay with eBay?

IIMHO, I really can not feel I could tell someone that eBay is a good move for their business.  Can you give me a reason that I am wrong?  Right now, and for the past 8 months, my wife and I have been talking and I am feeling stronger and stronger each day that maybe it is best to go a different direction in my life and take my business to it's own website.

 
I feel this is something sellers should be thinking about.  I would strongly suggest, again IMHO, that sellers do not put all their eggs in the eBay basket, have more than one sales channel and start preparing an exit strategy to leave eBay if things get worse - I have been working on my own exit strategy since the announcement in January just in case things get worse or I feel eBay is no longer a viable option to sell on/through.

I feel we should be concerned what is going on within eBay - because folks what is going on inside eBay will affect all of us!

A few years ago I would tell people that eBay is a great place to sell, start a business, or even use eBay as your sole sales channel. About a year ago that changed to eBay is a good place to sell but do not use it as you only sales channel.

Today, I would honestly tell people eBay is a good place to unload distressed inventory but DO NOT use eBay as your primary sales channel.

If in the history of eBay they have never had a mass layoff like this one that is being reported, what is going on with eBay? What is the future of eBay?

These are topics that I feel need answers because frankly if this is a sign of bad times to come for eBay it may not matter what we charge for shipping - if no one wants to buy or sell on eBay.

I really hate saying it since as you know eBay was there for me when I had my stroke, and I feel at times I am turning my back on a good friend, but at the same time I feel my good friend eBay has turned its back on us sellers

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