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eBay is a fascinating story for their early impact to the commercial internet. It is also fascinating to see how they've fared: it is still around but now it is

eBay is a fascinating story for their early impact to the commercial internet. It is also fascinating to see how they've fared: it is still around but now it is being eaten up by competitors like Facebook Marketplace in the US, MercadoLibre in Latin America and others. PayPal is on a somewhat similar trajectory. The lesson here is to keep your customers happy or someone else will. Also found it interesting to read about the people and companies who thought eBay wouldn't work for various - good - reasons. You can always make something work!

Scoundreller 7y ago
eBay has a lot of attackers: You have FB Marketplace on the local C2C side. They own kijiji (annihilated CraigsList in Canada at least), but it probably cuts into their eBay revenue. Then you have Amazon on the B2C side. And Aliexpress doing their damage on the low-margin direct-from-Asia side.
- wolco 7y ago
  Aliexpress increases ebay listings (and Amazon). Facebook Marketplace competes with kijiji/craigslist. Doesn't really compete with ebay. Amazon, Wallmart take brand name product sales. Ebay is left with what is rare. Ebay's problem is shipping.
  - axlpress 7y ago
    Would you be to expand on why EBay’s problem is shipping?
    - Scoundreller 7y ago
      Most people are stuck paying USPS rates. Amazon’s network of delivery crews is/will be cheaper. And ebay shippers can’t consolidate shipments. They’re stuck at many-to-many. Amazon is one-to-many.
    - wolco 7y ago
      I think shipping is where vendors push price markups. One price like Amazon for shipping would change the game.
stickfigure 7y ago
keep your customers happy or someone else will That seems trite. Why couldn't ebay/paypal keep their customers happy? It looks to me like these companies epitomize the management philosophy of "software doesn't matter". Having established a lucrative niche with strong network effects, they offshored their software development. The CEOs are pure managers without software backgrounds; they could just as easily be running Proctor & Gamble. And so they run it like Proctor & Gamble. Stripe, Amazon are run by people with software backgrounds.
- aluminussoma 7y ago
  eBay has not added many new features in years. There are problems with the platform, like auction sniping, that they have not addressed. PayPal as well to a similar extent. There are a litany of problems that its users have been complaining about for years that have not been addressed. I see PayPal rolling out certain new services but ignoring existing services. If PayPal was ahead of the curve, there would be no need for services like Venmo (now owned by PayPal!) Or even Stripe.

Scoundreller 7y ago

eBay has a lot of attackers: You have FB Marketplace on the local C2C side. They own kijiji (annihilated CraigsList in Canada at least), but it probably cuts into their eBay revenue. Then you have Amazon on the B2C side. And Aliexpress doing their damage on the low-margin direct-from-Asia side.

wolco 7y ago
Aliexpress increases ebay listings (and Amazon). Facebook Marketplace competes with kijiji/craigslist. Doesn't really compete with ebay. Amazon, Wallmart take brand name product sales. Ebay is left with what is rare. Ebay's problem is shipping.
- axlpress 7y ago
  Would you be to expand on why EBay’s problem is shipping?
  - Scoundreller 7y ago
    Most people are stuck paying USPS rates. Amazon’s network of delivery crews is/will be cheaper. And ebay shippers can’t consolidate shipments. They’re stuck at many-to-many. Amazon is one-to-many.
  - wolco 7y ago
    I think shipping is where vendors push price markups. One price like Amazon for shipping would change the game.

stickfigure 7y ago

keep your customers happy or someone else will That seems trite. Why couldn't ebay/paypal keep their customers happy? It looks to me like these companies epitomize the management philosophy of "software doesn't matter". Having established a lucrative niche with strong network effects, they offshored their software development. The CEOs are pure managers without software backgrounds; they could just as easily be running Proctor & Gamble. And so they run it like Proctor & Gamble. Stripe, Amazon are run by people with software backgrounds.

aluminussoma 7y ago
eBay has not added many new features in years. There are problems with the platform, like auction sniping, that they have not addressed. PayPal as well to a similar extent. There are a litany of problems that its users have been complaining about for years that have not been addressed. I see PayPal rolling out certain new services but ignoring existing services. If PayPal was ahead of the curve, there would be no need for services like Venmo (now owned by PayPal!) Or even Stripe.