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eBay Live: No Walk in the Park for CEO Donahoe

Posted Jun 19, 2008 12:33pm EDT by Aaron Task in Investing, Internet

John Donahoe can expect an earful from sellers at eBay's Live conference, which starts today in Chicago.

In addition to slowing active user growth, eBay is facing a revolt from sellers who stopped a strike but are still irate over recent fee increases, the inability to make negative comments about buyers, and other recent changes.

Darren Chervitz, co-manager of the Jacob Internet Fund, is long eBay and says Donahoe needs to reassure the community that the company has their interests in heart, which may be a tough sell:

"I am VERY disappointed in a lot of the things they are starting to do," reports one Houston-based eBay Power Seller. "They say they want to make it a buyer's world out there, but when they have a shortage of sellers, which more and more are leaving every day, maybe they'll see the light!"

Generally speaking, Chervitz believes eBay is well positioned for stable -- but not spectacular growth -- and is attractively valued at current prices. But more than a "seller's revolt," he is worried about possible competition for eBay's PayPal unit from Amazon.com.

85 Comments

- Thursday June 19, 2008 12:47PM EDT

Sellers are leaving by the droves, it's not a strike, it's not a boycott, it's I will take my goods elsewhere. Many sites with welcoming arms: iOffer view charts 4,526,386 -- -- -- June 19, 2008 1:15 pm eCrater view charts 1,222,438 2725 auction listing down from yesterday 0.22% June 19, 2008 1:12 pm us.eBid.net view charts 852,766 6818 auction listing down from yesterday 0.8% June 19, 2008 1:11 pm uk.ebid.net view charts 819,448 20626 auction listing down from yesterday 2.52% June 19, 2008 1:10 pm CQout view charts 640,587 1227 auction listing down from yesterday 0.19% June 19, 2008 1:06 pm Bidville view charts 461,789 -16358 auction listing down from yesterday -3.54% June 13, 2008 12:03 am blujay view charts 424,344 6166 auction listing down from yesterday 1.45% June 19, 2008 1:04 pm OnlineAuction view charts 322,532 675 auction listing down from yesterday 0.21% June 19, 2008 8:04 am ePier view charts 181,958 0 0% June 19, 2008 1:13 pm buyitsellit view charts 134,629 345 auction listing down from yesterday 0.26% June 19, 2008 1:05 pm SpecialistAuctions view charts 133,850 1288 auction listing down from yesterday 0.96% June 19, 2008 1:18 pm tazbar view charts 87,271 -79 auction listing down from yesterday -0.09% June 19, 2008 1:19 pm WeBidz view charts 75,361 272 auction listing down from yesterday 0.36% June 19, 2008 1:23 pm wagglepop view charts 72,195 -97 auction listing down from yesterday -0.13% June 19, 2008 1:22 pm PlunderHere view charts 59,537 51 auction listing down from yesterday 0.09% June 19, 2008 1:17 pm AuctionQuests view charts 55,253 -23 auction listing down from yesterday -0.04% June 19, 2008 1:02 pm HiBidder view charts 39,517 -239 auction listing down from yesterday -0.6% June 19, 2008 1:14 pm Wensy view charts 25,224 253 auction listing down from yesterday 1% June 19, 2008 1:24 pm YourHighBid view charts 14,487 -336 auction listing down from yesterday -2.32% June 19, 2008 1:25 pm Overstock view charts 13,373 -252 auction listing down from yesterday -1.88% June 19, 2008 1:16 pm UBidRight view charts 11,724 -2 auction listing down from yesterday -0.02% June 19, 2008 1:20 pm USiFF view charts 0 0 0% June 16, 2008 12:30 am

- Thursday June 19, 2008 12:52PM EDT

i must agree. I am a seller on ebay. and ebay has completely turned their system into a buyer's world. ebay has no regards at all for their sellers, which contribute to over 90% of their revenue. they raised the price and also put masking tape over seller's mouth by not allowing them to leave the appropriate feedback when needed. which gives all the buyers ( which know how to abuse their system to get their needs ) all the power, even when the seller is not at fault and the fault may come from a third party ( post man , customs , etc. ) with a new system that puts their most important customers last, SHAREHOLDERS BEWARE

Squirrelygirl
Squirrelygirl - Thursday June 19, 2008 12:55PM EDT

Whatever road eBay takes, it takes it without me as either a seller (with 100% positive feedback), or a buyer. After nearly 10 years of being a real fan of eBay, I've finally had it. I'll pay more to shop somewhere else rather than buy on eBay. I believe the correct phrase is: "See ya, wouldn't want to be ya."

- Thursday June 19, 2008 01:01PM EDT

kdly help me out

- Thursday June 19, 2008 01:11PM EDT

I was selling about $30,000 USD pr yr in items on ebay, within 1 week of the change in feedback I recieved 2 negatives, one because of overseas shipping and the other because the buyer didnt read the item description. I am done selling on ebay if I have no protection as a seller. I am the one who pays for ebay to operate by selling items, if they cant protect me as a seller, I will continue to use CraigsList and hope for the best. Ebay fees up, seller protection down doesnt make sense to me.

- Thursday June 19, 2008 01:20PM EDT

Use to sell on Ebay but I left and I am delighted that sellers are finally reacting, as it became absolutely a nightmare being a seller on Ebay as very often comments from buyers were not fair and it made our reputation etc. just falling down for no reasons whatsoever. The funny thing was that the buyers that did not pay in time or not at all took the liberty to make negative comments and you as a seller could not do anything against this I tried and tried, response after 3-4 days or not at all. Their fees and Paypal's..... too much.

- Thursday June 19, 2008 01:24PM EDT

Ebay needs to get away from upfront fees! The seller should not get charged unless the items sell. That is what Amazon does. I'd rather pay an extra couple of % at the time of sale. They would see the amount of items put up for sale soar! I only list 10% of my inventory for this reason.

- Thursday June 19, 2008 01:32PM EDT

Ebay does not offer adequate protections for their sellers. http://feedback.ebay.co.uk/ws/eBayISAPI.dll?ViewFeedback2&ftab=FeedbackLeftForOthers&userid=19crystaltipps67&iid=-1&de=off&items=25&page=1 The sellers fears ARE NOT imaginary.

- Thursday June 19, 2008 01:33PM EDT

We Powersellers now live in an Ebay world where 'neutral' means 'negative' and Seller Feedback is contrived by Ebay to be 'positive' only. At the same time Ebay stifles all communication between Buyers, Sellers and Ebay; one result being that they are probably unaware of how these policies will ultimately negatively impact shareholders.

- Thursday June 19, 2008 01:34PM EDT

THE SELLER'S FEARS ARE REAL!! http://feedback.ebay.co.uk/ws/eBayISAPI.dll?ViewFeedback2&ftab=FeedbackLeftForOthers&userid=19crystaltipps67&iid=-1&de=off&items=25&page=1

- Thursday June 19, 2008 01:56PM EDT

I've both bought and sold on eBay for almost TEN years and have a 100% feedback rating. I was even considering opening an eBay store (emphasis on "was"). I may still buy a few random items on eBay, but I'm certainly taking my selling business elsewhere. To take away a seller's right to post feedback on buyers is unconscionable. When uncontrollable greed (e.g., the much higher fees) hits the company executives, decline is certainly on the way. One thing I am selling -- my eBay stock!

- Thursday June 19, 2008 01:58PM EDT

I am silver power seller selling hand made valances and curtains by me. I will move to ebid, amazon, Ioffer, Etsy and ValanceStation.com Bye,bye Ebay

- Thursday June 19, 2008 02:06PM EDT

ebay is ridiculous ..........forcing fees for both ebay and paypal ...........they dont care about anything but the bottom line ............guess what ebay ............you lose

- Thursday June 19, 2008 02:10PM EDT

As an Ebay Powerseller I'm now consdiering alternative selling channels as Ebay fees, in conjunction with PayPal fees, have made selling on Ebay too expensive, period. As for their recently revised feedback system, it's completely lop-sided in the buyers favor and I've already seen buyers using this to their advantage with respect to either not paying for the item they're contracted to purchase or paying as and when they feel inclined. There are a plethora of inept, dishonest and geneally abysmal buyers actively making purchases on Ebay but now the seller has zero recourse against these buyers since a seller can no longer leave negative feedback under the buyer's ID. My answer to this, besides developing alernative ways to sell my goods, is to NOT LEAVE ANY FEEDBACK, period. If all sellers adopt this policy then the feedback system collapses and therefore no longer serves a purpose. Maybe then Ebay will wake up to the fact that the people who line their pockets are important and need a level playing field in order to conduct business.

- Thursday June 19, 2008 02:11PM EDT

As a buyer I am disturbed by the way Paypal operates as to getting to be verified. They insist on a Bank Account before you can be verified and tend to get you to apply for their Credit Card. I have had a very hard time paying for an item I purchased on Ebay until I had to enter my checking account in order to pay or the item I bought. Took a week to clear my account after 42 minutes at one time and 22 minutes the next time and finally got verified. No cooperation and responce. I have been a buyer since 2004. Very Bad !!!

- Thursday June 19, 2008 02:13PM EDT

As an Ebay Powerseller I'm now consdiering alternative selling channels as Ebay fees, in conjunction with PayPal fees, have made selling on Ebay too expensive, period. As for their recently revised feedback system, it's completely lop-sided in the buyers favor and I've already seen buyers using this to their advantage with respect to either not paying for the item they're contracted to purchase or paying as and when they feel inclined. Continued...

- Thursday June 19, 2008 02:13PM EDT

There are a plethora of inept, dishonest and geneally abysmal buyers actively making purchases on Ebay but now the seller has zero recourse against these buyers since a seller can no longer leave negative feedback under the buyer's ID. My answer to this, besides developing alernative ways to sell my goods, is to NOT LEAVE ANY FEEDBACK, period. If all sellers adopt this policy then the feedback system collapses and therefore no longer serves a purpose. Maybe then Ebay will wake up to the fact that the people who line their pockets are important and need a level playing field in order to conduct business.

- Thursday June 19, 2008 02:15PM EDT

I am an Platinum eBayer Powerseller. I have 100% positive feedback and apparently 2 neutral feedbacks due to buyers complaining about shipping costs( they why the hell did you buy it?) and I'm being penalized for the next 12 months becuase for some odd reason a neutral is equivalent to a negative. wow...

- Thursday June 19, 2008 02:20PM EDT

Ebay and Paypal had better reorganize for the Seller and Buyer. It has become more difficult to complete a transaction on both sites.

- Thursday June 19, 2008 02:30PM EDT

I am primarily a Buyer on Ebay and to me it is a Godsend. I am not sympathetic with Sellers who complain about Fees because it is the best way to reach the most customers BY FAR. Most importantly, it is extremely reasonable compared to any other venue taking the number of potential customers into consideration. Paypal is also a favorite for me and frankly, I stay away from Sellers who don't take Paypal. Perhaps Sellers have a legitiment complaint about the new Feedback policies, but that can be easily changed and they brought about the situation themselves by never giving Good Feedback until they had received Feedback from the Buyers. Whatever small faults Ebay has is vastly offset by the numerous benefits. Thanks for Ebay.

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