Thread: Demise of Ebay?
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Ian Stirling[_5_] Ian Stirling[_5_] is offline
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Default Demise of Ebay?

In uk.d-i-y Adrian C wrote:
magwitch wrote:

Google have already signed an agreement with Ebay stating that Google
will not set up an auction site.


So go to eBid. Interesting IT selling related thread here.
http://forums.nekochan.net/viewtopic.php?f=6&t=16717996


Online auctions are a natural monopoly, for all but the most common of goods.

There are several problems with starting a new auction site.
Firstly - a massive ad campaign might get you 5% of the ebay buyers looking
at your site.

Then, unless that buyer finds what they are looking at, at a competitive
price, without too much hastle, they wander off.

For example, ebid uk, Business, Office & Industrial
Building Materials & Supplies,
has 100 items.
Ebay has 9216.

This masks a more subtle problem.
Auctions are free to list.

This would seem good for sellers and buyers, but it means you get 'spam'.
A buisness, instead of selling one or two lines that are their best buys
drops their entire catalog into the listings.
This shows as their are only about 4 sellers in the above category, compared
to several hundred on ebay, which means that sellers with one or two items
to list on the site don't bother, as this spam makes it hard to find their
auctions.
Add to that that listing an item on ebay is a (relatively) simple process.

Listing on ebay and ebid together at the same time is forbidden by the terms
and conditions - as you would end up not selling one item.

This means that individual sellers with one item to sell are very unlikely
to list on ebid first, wait a week, then try selling on ebay.
Which means that buyers coming to ebid don't find them.