eBay in denial, uses bullying tactics on sellers

Alex Zaharov-Reutt
Tuesday, 17 June 2008 18:16

Opinion and Analysis

Pierre Omidyar wrote, back on February 26, 1996, a letter to eBay’s original forum users. You can read that original letter here.

What follows is a modification of that letter, where I have superimposed today’s Paypal fracas over Omidyar’s initial statements. Read the original letter to understand further if you wish, but you’ll certainly get the idea once you read the modified letter below.

Please note the modified letter is my own creation, but the parts I reference from eBay are taken from that original letter linked above.

Posted: June 17, 2008
To: eBay Community
From: Alex Zaharov-Reutt

Pierre Omidyar launched eBay's AuctionWeb on Labor Day, 1995. Since then, the site has become more popular than he ever expected, and Omidyar’s realisation “that this was indeed a grand experiment in Internet commerce” was right on the money.

“By creating an open market that encourages honest dealings. I hope to make it easier to conduct business with strangers over the net”, said Omidyar. What a shame eBay’s latest tactics are making it easier for eBay to collect fees from strangers over the Internet instead.

“Most people are honest”, said Omidyar, “And they mean well” – unlike the “new” eBay.

“Some people go out of their way to make things right. I've heard great stories about the honesty of people here” said Omidyar. “But some people are dishonest. Or deceptive” continued Omidyar – little realising that his very words could one day be said of eBay, deceptively trying to enforce “third line forcing” and forcing people to do business the eBay way – or take the highway.

“This is true here, in the newsgroups, in the classifieds, and right next door. It's a fact of life. But here, those people can't hide. We'll drive them away.” said Omidyar. Little did he know that one day eBay would drive its own users – sellers and buyers – to other auction sites instead.

“Protect others from them.” said Omidyar, speaking of ‘bad people’. But now people want to be protected from eBay!

“This grand hope depends on your active participation.” said Omidyar. But now the active participation eBay users sick at eBay’s tactics wish for is active participation in auction sites other than eBay!

“Become a registered user”, said Omidyar. Of course, that rallying cry is now to become a registered user of an auction or sales site that competes with eBay.

“Use our feedback forum. Give praise where it is due; make complaints where appropriate.” said  Omidyar. But does eBay listen to complaints anymore?

“For the past six months, I've been developing this system single-handedly, in my spare time. Along the way, I've dealt with complaints among participants. But those complaints have amounted to only a handful. We've had close to 10,000 auctions since opening. And only a few dozen complaints.” said Omidyar.

There have been many more complaints since them, and in recent times, all directed at eBay, about eBay’s own newly nefarious payment policies!

“Now, we have an open forum. Use it. Make your complaints in the open.” said Omidyar.

Pierre, your users have certainly been doing that.

“Better yet, give your praise in the open. Let everyone know what a joy it was to deal with someone. Above all, conduct yourself in a professional manner. Deal with others the way you would have them deal with you. Remember that you are usually dealing with individuals, just like yourself. Subject to making mistakes. Well-meaning, but on wrong occasion. That's just human. We can live with that. We can deal with that. We can still make deals with that. Thanks for participating. Good luck, and good business!” said Omidyar.

If only eBay took its founder’s advice to heart! Deal in a professional manner, he said. eBay forgets it is “dealing with individuals” and only now only seems to see the big dollar signs.

eBay seems well meaning. But its actions in forcing sellers to ONLY sell using its system are ugly. eBay’s Australian users angry at eBay’s forceful new policies say they can’t live with that. eBay’s Australian users angry at eBay’s forceful new policies say they can’t deal with that.

Good luck, eBay. I hope it’s still a good business for you!