Posted by: Rob Hof on June 1, 2005
The news that eBay is buying Shopping.com came as a surprise to many folks. But maybe not to readers of my commentary back in January, after eBay’s fourth-quarter profits missed expectations. I’d be shocked (and dismayed) if eBay actually listened to someone with a measly feedback rating of 156, but it’s eerie what eBay has done since the piece ran.
My advice then:
* Back off the fee hikes. A few weeks later, eBay did in fact reduce some fees.
* Ditch those TV ads. eBay recently replaced its ad agency of six years.
* Diversify! We suggested eBay consider other venues for large, branded merchants and merchandise. That's precisely what Shopping.com will do.
* Keep hammering fraud. OK, that's a no-brainer, but it's interesting that Rob Chesnut, eBay's senior VP of trust and safety, is embarking on a press tour next week.
So, what should eBay do with Shopping.com? Sorry, gotta do a little more digging on that.