Ask HN: What's wrong with Ebay?
I'm completely serious. One of Y Combinator's startup ideas they'd like to fund is something that will be better than Ebay, because "[a]uctions seem boring now because EBay is doing a bad job". I also hear many people complain about this site, and how things could be done much better.
My question is simple: why? I've never experienced any problems with Ebay, and (IMO) it works quite well. I'm curious what people's reasons are for thinking Ebay is doing a bad job.
15 comments
[ 3.9 ms ] story [ 49.6 ms ] threadEbay pushes the use of Paypal really hard, to the point where many sellers won't accept any other form of payment. Ebay convinces sellers that Paypal is a safe, secure form of payment to accept, but they don't support sellers at all.
Basically, if you want free stuff from Ebay, all you have to do is pay through paypal with a credit card and then claim the purchase was fraudulent. 100% of the time, paypal will refund your money because they don't have the clout required to argue with major credit card companies, and they sure as hell aren't going to be stuck with the bill.
This complete lack of support for retailers is slowly killing the site.
http://www.regretsy.com/2012/01/03/from-the-mailbag-27/
In the UK we have Gocardless which would be ideal for receiving payments, except there isn't a marketplace I know that supports it.
www.trademe.co.nz is our 'local eBay', and is both intuitive and attractive. It's totally baffling to me that the auction giant with tons of money doesn't have a clue how to hire competent designers.
[1]: http://www.ebay.com/ctg/Apple-iPod-classic-7th-Generation-Bl...
[2]: http://www.amazon.com/Apple-classic-Black-Generation-NEWEST/...
eBay was originally a great place to get deals on used goods from their owners, but they mostly abandoned that model several years ago, and became a place to buy things from random sketchy stores. Several times when I've looked on eBay, I've found that many sellers were offering prices greater than normal retail, but with the added “bonus” [sarc.] of being a much bigger hassle.
Beyond that, auctions were kinda fun at first, I guess, but really, because of bidding wars, you often don't save any money, or at least you don't save enough for it to be worth waiting longer, and dealing with greater hassle.
For example, if you look again at the eBay page, it looks like if I buy an iPod at auction, I can expect to pay from $210-$220 for it--I don't understand why I would spend the extra time and effort when I'm ultimately only going to save about $10-$20, plus deal with the fact that I'm buying from some random.
The thing is, people are still interested in buying used stuff from other people (who are real people). Look at how popular and fun garage sales and flea markets are. There are a lot of challenges to doing this well online, which is why there's no clear winner in this space. (Craigslist is a little different—they avoid a lot of these challenges since they're local.)
While that answer is simple, the reasons for it are not. In my personal opinion, the proliferation of "professional" eBay sellers is its downfall. If I am going to buy a product online, then I will just go to Amazon or Newegg or some of the other awesome internet retailers. I go to eBay to try and find something used and, hopefully, for a discount to new.
I would love an eBay like it was in the old days: all person-to-person. Get rid of the pro sellers. A cool project in and of itself would be an eBay filter that got rid of Buy-It-Nows and people who make their living selling stuff on eBay.
I felt this pain acutely yesterday. I am developing an Android app but I use an iPhone so I needed a used tester phone. It took me 30 minutes of searching and wading through crap before I found a suitable candidate and even then I probably only saved $50 of just buying from a traditional internet retailer. The hourly value of my time far exceeds $50, so for now, I do not see myself using eBay again.
If you start a competitor, you will face the chicken-and-egg problem of all social or peer to peer businesses - no sellers will come if there are no buyers, no buyers will come if there are no sellers. You might be able to break through this by focusing on products that Ebay currently bans, such as guns or used software.
Another method of breaking in might be to focus on people who are doing well on Etsy but moving up and out of craftsman to small manufacturing. To get them you would offer a combination of capital ( pre-pay for the product, for example ), connections and advice in dealing with various manufacturers, and a fullfillment service. That presumes you can get capital your self, of course.