Paperless

eBay's Lorrie Norrington recently announced that as part of a move to achieve complete control of the the entire payment and communication process on eBay "checks and money orders will no longer be accepted on eBay". To clarify that statement, she meant sellers will no longer be permitted to accept checks and money orders, not that eBay will no longer accept checks or money orders.

eBay will require approval of merchant CC payment processing services, and all payment methods are to be fully integrated into eBay checkout. For large sellers who utilize ChannelAdvisor or a similar service this will not cause problems. The small seller who would not qualify on volume for CA has few choices; PayPal, ProPay, try to integrate by yourself or quit. Judging by the recent registrations at Bonanzle hundreds have seen the writing on the wall and are moving on.

eBay will become a de facto PayPal monopoly in the USA.

What is wrong with PayPal only on eBay?

PayPal’s ‘User Agreement’

Users of PayPal’s services are required to accept the terms of a contractual ‘user agreement’, which is posted on the PayPal website. Many of the terms of this ‘user agreement’ are potentially misleading, unconscionable, unfair, or unenforceable. Some specific criticisms of the PayPal ‘user agreement’ include:

• Permit PayPal but not the user to avoid or limit performance of the contract;
• Penalize the user but not PayPal for a breach or termination of the contract;
• Permit PayPal but not the user to vary the terms of the contract;
• Permit PayPal unilaterally to vary the characteristics of the services supplied to the user;
• Limit PayPal’s vicarious liability for its agents; and;
• Limit the user’s right to sue PayPal.

In summary

On the whole, eBay appears to be arguing that:
• eBay's customers, the sellers are incapable of choosing the ‘best’ payment option, according to eBay’s definition of what the ‘best’ option is;
• For those customers’ own good, eBay must force them to use the ‘best’ payment option;
• It is impliedly irrelevant to eBay’s decision-making that the ‘best’ payment option is provided by a wholly-owned subsidiary of eBay, and will result in a significant financial benefit to eBay.

eBay’s argument is condescending and paternalistic at best, and ignores the fact that eBay users are capable of making rational choices about what they view the best payment method to be. Until recently eBay banned Google checkout on the site by categorizing it with 'unsafe and unproven' Payment Services not permitted on eBay. The wording recently changed

Safety and convenience are at the core of eBay’s policies toward payments. This policy is designed to promote safe online shopping, and to encourage online payment methods that are safer, easier to use, and offer high levels of protection for users

This all sounds noble and altruistic. Unfortunately an eBay executive made the following statement on eBayINKblog, the official eBay blog,
finally an truthful and unequivocal statement of the fact we suspected all along.




Well for goodness sakes!

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Links to topical articles:

The Brews News

Sing Along! Accentuate the Positive

A highly respected European pro-eBay blogger expressed a desire that some eBay bloggers read this article. Its very interesting so I thought I would give it a try. When you write a blog titled "How eBay lost ITs groove. A chronicle of eBay's destruction of the community." a real challenge is presented. One of the things I learned on eBay was to repeatedly rise to a challenge so I am going to accentuate the positive things about my ten year eBay experience and count my blessings.

1. Friends. I have made friends on eBay, some of whom I may never meet, others who have literally changed my life. Thank you eBay, genuinely & especially for Becky, Deb, Judy, Lidy & Lori.

2. Investments. My best friend (shades of kindergarten) whom I met on eBay, indirectly led me to bricks and mortar investments which have freed me from the need to earn a living on eBay. Thank you eBay.

3. Cattle. Yes cows, MOO. An eBay friendship led my husband to the source for some of the finest registered Angus seedstock available in the USA today, which is now enjoying a tropical lifestyle while growing a foundation for what will one day be the best registered herd west of the Rockies. Thank you eBay. The girls say thank you too, they like the climate.

4. The Answer Center Volunteers, my mentors, who taught me how to be a good seller on eBay and begun my education on the fine art of e-tailing; which is not exactly the same thing as retail but close enough to allow you to make some big mistakes. Thank you AC Volunteers wherever you are now, especially Bob & Glenda who are hopefully enjoying a yak dung free retirement. If eBay had customer service there would be no need for an Answer Center, so thank you eBay for your non-existent customer service.

5. Reality Check Back in 2006 I had sunk a considerable amount of cash into stock, eBay stores were in search and I was selling everything I had. The month I was one sale off PowerSeller status (my goal at the time) stores were taken out of search and sales came to a crashing halt. Every dark cloud has a silver lining. I learned that I could not keep all my eggs safe in the eBay basket. Thank you eBay for forcing me to make new baskets. I did not appreciate it at the time but now I know it was a good thing.

6. Web Skills If I had not had my reality check in 2006 I would not have learned how to build a web site or a shopping cart. I know it is not perfect but I built it and I am proud of it, so thank you eBay for opening up a whole new world of learning experiences.

7. Google Checkout. I was a PayPal user before eBay bought it. I was a PayPal enthusiast, and remained one until this year. The changes in PayPal's User Agreement led me to remove my funds from their Money Market Account and explore payment alternatives. Much to my surprise I discovered that Google Checkout was not only a lot more convenient but safer and a better deal. Thank you eBay for fixing PayPal to a point where I will shortly be all Google Checkout.

8. Alternative Venues If eBay had not started a war on small sellers there would still be no viable alternative venues. I boycotted loudly, most eBay sellers did not, they simply left, fairly quietly. The exodus of eBay refugees has given a much needed boost to these sites, many of which also have a much more viable fee structure. Thank you eBay for showing me that if I pay less to sell my low GMV items I get to keep a higher percentage of my gross.

9. Feedback Changes Yes I am going to thank eBay for the changes they made to feedback this year. It wasn't the adjustment to Final Value Fees that drove me to boycott eBay, or the increasing micromanagement of my business by suited theorists who know less than I do. I boycotted eBay as both a buyer and a seller because eBay put me in a position of extreme vulnerability with my feedback. I spent a lot of time, money and effort building a stellar longterm online reputation, only to be told I had no track record, it was meaningless to eBay. While it is meaningless to eBay it is a valuable asset elsewhere so I quit while I was ahead. I am grateful to eBay for shoving me out of the nest. I no longer log on every morning stressed, anxious and apprehensive as to what business devastating new policy will be announced. Thank you eBay.

10. Networking The changes on eBay this year and the subsequent February boycott together with increasing censorship in eBay Groups led to the foundation of off eBay Groups. Some of them were just rant centers, others have developed into valuable resources. A place where you can find a fellow seller who has made the transition to an alternative venue and will assist you to do the same thing. This is the eBay Community Spirit, no longer to be found on eBay but alive and well elsewhere. Without eBay there would be no such thing as eBay Community Spirit. So, from the bottom of my heart, thank you eBay for once upon a time being the kind of place that engendered the eBay Community Spirit.

So dear reader I have counted my eBay blessings, I feel good. Do you have eBay blessings to share?


Y'all come back

If I Were Queen of Google

Once again Randy Smythe has a whole jug full of blog juice over on My Blog Utopia!, his recent post Tin Hat Warning has some very interesting observations on Google vs PayPal.

I don't see what makes eBay/PayPal expect to be treated as if they were 'special', it certainly can't be the golden rule of "do as you would be done by". I notice recent press releases have a distinct whiny "why are you picking on us" quality to them. Looking at the rather long list (Table of Contents >> Item 3) of litigation in process all over the world (but most notably in Europe) with eBay as defendant it would appear that there are a lot of fleas out there of all sizes and they are biting.

eBay/PalPal routinely stomp anyone smaller and weaker than they are. Most of the time they can't even be bothered to explain why they are stomping and they certainly don't believe in any of that silly constitutional stuff like innocent until proven guilty.
Google is not smaller and weaker yet eBay has forced PayPal onto sellers using their venue while blatantly blocking Google Checkout. It is only very recently that the wording has been changed from

"This policy is designed to promote safe online shopping, and to encourage online payment methods that are safer, easier to use, and offer high levels of protection for users"

to

"eBay wants to help ensure that the marketplace offers buyers safer online payment choices".

in the Accepted Payments Policy. In fact eBay has very quietly been doing a lot of rule revision lately.

As a retailer, I want to offer my customers choices, I don't need to control them. I see no difference in customer protection if a buyer pays through Google Checkout with a credit card, or PayPal likewise. The big difference is convenience, GC will not harass (are you sure?) my customers repeatedly to pay from a bank account (are you sure you are sure?) like PayPal does (are you really sure you are sure?). GC does what they are supposed to, process the charge, inform me and deposit to my bank account, all for 30% less in fees.

If I were Queen of Google I would make a royal edict that anybody who didn't let me play at their house couldn't come and play at the palace. I am sure the Royal Lawyer could dress it up nicely in Bayspeak.


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Why Buy From Buy.com on eBay? Not for Value!

These days eBay is all about 'buyer experience' and eBay has a mission to provide a 'more retail like experience for our buyers'. Those quotes are both examples of Bayspeak from Stephanie Tilenius. Sounds good, but what does it mean? eBay is just a venue, unlike the highly successful Amazon which is a vendor as well as a venue. eBay does not source, sell or ship product but instead provides a platform or venue for vendors. Vendors do have buyers but for eBay to claim those buyers as their own opens up all sorts of very interesting legal implications, but I digress.

On May 2nd eBay was 'outed' by Randy Smythe on his blog My Blog Utopia and forced into hurried transparency on a done deal with Buy.com. As the cat romped among the pigeons eBay Smoke & Spin man Usher Lieberman Bayspoke:

“eBay is aggressively using price as a lever to improve the value and selection on eBay.com. Consistent with our goals, we have entered into a partnership with Buy.com to bring their new-in-season merchandise onto eBay.com. We expect to learn a great deal from this partnership and we will build upon the results.”

"Improve the value and selection"

This caught my attention right smart! I like value! After a bit of a tussle (I like definition #3) using eBay's mah-vel-ous search I found Buy.com sells under the user ID buy and also has an eBay store. The store has a small discreet banner saying "Welcome Ebay Customers!"

I picked an item about to end; a hardcover book History, Literature, and Society in the Book of Acts with FREE SHIPPING for a mere $110. Just thrilled to see it had no bids yet (item ended with no bids)I hustled over to Amazon where I found it for $92.10 also with FREE SHIPPING. Hmmmm. My buyers mind tells me that given an equal perceived value between vendors on this new book, Amazon.com at $17.90 less is the better value.

Undaunted by my abject failure to find value in this partnership I tried again. Maybe a nice new game for the kiddies at $9.99 but no free shipping on this one, add $5.20 S&H (which seems a bit steep for 9.6oz shipping weight) for a total price of $15.19. Over at Amazon I found the identical item from Amazon seller eToys, same price but only $3.99 S&H, a savings of $1.21. My perception of value says AMAZON!

Third time is the charm. My eye was caught by this totally unintelligible title "NEW OMNT 2 SHLF FLT PNL FLR STND UP - 50" PCK 2 BOXS" IT turned out to be an OmniMount STUDIO 4B 2-Shelf Flat Panel Floor Stand, and who'da thunk that! OK, Price $799.95 plus $150 S&H, total $949.95. Back to Amazon where seller TheFactoryDepot has the same item for $551.27 plus $198.81 S&H, total $750.08
This represents a $200 (21%+) savings over eBay's buy.com value.

We are not done yet. Google Shopping found the same item from ProDigitalMall for a stunning $484.85 plus $233.16 S&H, total $718.00 and this is a whopping $231.95 savings (almost 25%) over the eBay price.

Message to buyer: Do your homework, you will find better value selection elsewhere, and as a high value bonus you will not have to deal with eBay or PayPal, you can pay with Google Checkout.

Y'all come back and be sure to click VICTORIOUSLY on any interesting links in the sidebar!