Wednesday, February 07, 2007

eBay ... not understanding it's own market?

As reported by FoxNews:

News Corp.'s Web network MySpace has been in talks for several months with online auction company eBay Inc. about a partnership, the Wall Street Journal reported on Wednesday, citing people familiar with the matter.

The idea is to let MySpace users buy and sell items from each other using eBay's online-commerce technology and its PayPal payment system, the Journal said, adding that MySpace users would be able to post items for sale on their profiles, and their eBay auctions would be automatically updated, according to a person close to the discussions

Pop Culture is undeniably what eBay is all about. To me Pop Culture is a meld of past, present, and future (with a heavy dose of nostalgia). I honestly think that MySpace is a fad ... it will certainly make it into Pop Culture history, but only as a "I Love the 2000's" on VH1 in 2011. Therefore I don't see how this partnership between eBay and MySpace is good for anyone. I also don't want eBay to start promoting that irrational emotional teenagers would be good for eBay's "Trading Assistant/Seller" image.

This "partnership" will most likely mean a revenue share/licensing by eBay to MySpace. I can't understand why eBay raises seller fees then starts promoting itself through meaningless contests and "partnerships". Is this where the raise in seller fees are going? (The answer: Yes!)

1 comment:

Unknown said...

Not to mention that underage individuals could use this new feature to enter into binding contracts on eBay. And online child predators would also have a way to meet with underage individuals who are selling things...albeit with darker intentions.

MySpace is not all just underage teenagers claiming to be over 18, but between them and the online indie music scene, they make up a good portion of the user base.

Currently anyone with any brains whatsoever can put their eBay auctions on MySpace with links to their items on eBay. This is just another example of eBay generating excitement for something that is really not that big of a deal, and most likely will not result in any long term revenue growth for the company.