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Auctionbytes-NewsFlash, Number 948 - February 07, 2005 - ISSN 1539-5065     

Opinion: Reaction to eBay 'Good' News Not So Good
By Ina Steiner
AuctionBytes.com
February 07, 2005
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Some eBay users are reacting negatively to eBay's announcement that it would cut fees on listings with low-starting prices and would improve its customer service over the next 3 months. Letters to AuctionBytes and posts on eBay discussion boards on Sunday evening revealed a cynical and angry reaction.

Many sellers report the fee reduction announced Sunday morning won't affect them, and they are still angry over eBay's announcement in January that it would increase user's Store commission fees and some auction-upgrade fees on February 18.

eBay Storeowners had been surprised last week to discover their February invoices contained the pro-rated charges at the higher rate, given that eBay had stated they would not be charged the higher rates for February until March. eBay issued an apology, but left the higher invoices in place.

eBay also blamed the angry response from the January announcement on seller confusion and issued another letter to clarify that final value fees on the auction platform remain at 5.25 percent. But many sellers feel eBay is downplaying the increases in fees affecting the auction platform including Buy-It-Now, Gallery and 10-day auctions.

eBay's President of North America Bill Cobb posted an announcement on the Boards Sunday saying the company will lower insertion fees for items with a starting bid of 99 cents or less from 30 cents to 25 cents, effective at midnight Sunday. He also said eBay would extend phone support to Store owners, and would replace an automated email support system with "real" emails from customer service representatives.

eBay sellers expressed cynicism in letters and posts, questioning whether eBay would really improve customer service in a meaningful way.

Cobb's letter on Sunday was conciliatory in tone, but some users said they believe the letter was posted for the benefit of the press and analysts, not its members.


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