Sydney Morning Herald – Australian Competition and Consumer Commission – eBay anti-competitive and monopolistic

The Sydney Morning Herald blog adds a final word about eBay’s attempt to make PayPal the only payment service available to eBay buyers and sellers in the down under.  The author – Simon Tsang reports the Australian Competition and Consumer Commission plainly determined eBay’s PayPal only plan as a monopolistic play.

It seems from our end of the World that the Australian governmental agency ruled in favor of it’s citizens and merchants. I understand eBay’s position in wanting to make PayPal the only payment service available on eBay but I do not think the plan will work as long as eBay charges final value fees on listings.  In an article I wrote late in 2007 I made the proposal that eBay could look at a fee free based service with a PayPal only option for payment processing. 

Do I really think would ever happen?  No, but the days of double & triple dipping at eBay with the pre-sale charges, post sale charges (final value fee) and payment processing charges seem to be causing the selling public to re-evaluate the venue. 

Free listing services like CraigsList and now Walmart’s free classifieds will take an ever increasing portion of eBay’s market share.  Would a Free eBay make more sense to consumers if PayPal were the only option?

We may never know….


No comments yet.

Leave a Reply