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Mon Jan 19 2009 09:42:13

GoDaddy Launching Marketplace, and New PayPal Directory

By: Ina Steiner

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Domain registrar GoDaddy is launching a new online marketplace (see AuctionBytes Newsflash article)- but is it good for sellers? The $4.99 monthly fee for unlimited listings is attractive, and a 10 percent commission that includes payment processing fees makes it less expensive than eBay and Amazon. But it pays to read the terms around refunds and chargebacks.

Let's say a buyer does a chargeback on a $9.99 item. It's unknown how GoDaddy will handle disputes, but the seller is subject to a $25 fee, and GoDaddy will not refund the seller's commission fee.

I have questions in to the company and will be doing a followup in the next few days. The Go Daddy Marketplace is bound to be popular due to the low fees and traffic it's likely to draw, but more information is needed before jumping in with both feet.

What do you think of GoDaddy's new marketplace and the new PayPal directory coming out? What questions do you have for these companies?




Comments (40) | Permalink

Readers Comments

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Ed Koon

Mon Jan 19 10:25:47 2009

This should be interesting.

I like Godaddy.com for registering domains and ssl certificates but never used any of their other services.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Rainbows

Mon Jan 19 10:42:46 2009

Looks like ebay's going to have it's hands full, trying to buy up all of the competition these days... lol

I still prefer http://www.bonanzle.com, http://www.ecrater.com, http://www.blujay.com and http://www.etsy.com

GoDaddy is too flakey and glitchy to pull this off... they have far too many issues to just throw this out there to the wind.

And PayPal? Well, they're still owned by ebay, 'nuff said... lol

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Just-an-Observation

Mon Jan 19 10:43:32 2009

Surely you jest!

Go Daddy is nothing more than an over-bloated commercial and has a bogged down site that takes forever to load.

Charging sellers $4.99/month with a 10% commission fee on all sales is NOT A DEAL!!

WARNING! Read the terms before you sign on the dotted line!

According to the terms, ''vendors issuing refunds will receive a return of 70% of the original commission charged; orders with credit-card chargebacks are subject to a $25 fee and will not be refunded the original commission fee''.

“Credit-card chargebacks are subject to a $25 fee and will not be refunded the original commission fee''.

Are they kidding? A $25.00 chargeback will force most sellers to simply let the buyer keep the product, drop the chargeback and hope for less of a loss than pay Go Daddy for it's outrageous $25.00 fee!

''Vendors issuing refunds will receive a return of 70% of the original commission charged.''

Oh how generous of you Go Daddy! You'll only keep 30% of a transaction commission that never happened!

This sounds to me like they been getting some marketing techniques from the King of Spin----eBay! Win win for Go Daddy -- lose lose for sellers.

Congratulations Go Daddy! You sunk your tugboat before you even got it on the water! LMAO!

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: I hate eBay too, but...

Mon Jan 19 10:46:26 2009

GoDaddy can kiss my ...

I did business with GoDaddy a few years ago with domain and email hosting. Their Email service was awful, filtering out messages they considered to be ''spam'' without alerting me that it was happening, or allowing me to control it. Tech support had an attitude that they were protecting the ''lowest common denominator'' (who they referred to as ''grandma'') and that if I didn't like it, my option was to leave. I did, and I would NEVER use one of their services again.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Gail

Mon Jan 19 11:03:47 2009

I found it strange that Paypal was anticipating 500-1000 merchants on this new thing of theirs. That seems to be a very low number considering the amount of non-affliated ebay sites that are offering Paypal. Are they just going to be looking for the big fish or is this going to be a 'level playing field'???

I don't know anything about GoDaddy, but I already don't like the fees, not when you can get a viable store going for free on www.ecrater.com !!!

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Peter Leeflang/CEO Leeflang Archives Corporation

Mon Jan 19 11:04:26 2009

I wish the GoDaddy hosting customers good luck.

A company like GoDaddy which loses its focus on its core activity by starting a marketplace, will end up in the trash bin, like Ebay is heading for.

Try instead focusing on one thing and doing that excellently, beating expectations. I do not believe GoDdady is a offering 'excellent' products and services to mete that standard.

Take an example to Bonanzle.com.

Bonanzle focuses on one thing solely, being the best marketplace ever, and it its explosive success (almost a million listings in less than 5 months of existence and 21,000+ users) shows that focus and excellence pays off.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Key Largo

Mon Jan 19 11:05:24 2009

They are only good for one thing: their Superbowl commercials. Nothing else. If you ever do a domain search using GD, they will then register the account in their name and become cybersquatters. Their pricing overall is very expen$ive. Shop around because there are many better hosting companies out there! Bob Parson is an egomaniacal ass who thinks he is smarter than everyone else. I don't think so!

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Sandy

Mon Jan 19 11:06:04 2009

Hmmmm.....GoDaddy's doin' it, Paypal's doin' it....the question is...who's not doin' it??!!!

It seems like everyone wants to launch a marketplace. I fully expect Webhero/Catalog.com to announce one soon is they haven't already.  

On the other hand, if they're smart, they won't.  

Too many is not good and it seems like we're getting to the point of oversaturation with the glut of new "marketplaces".  

We really need just one decent one that is properly capitalized and can compete effectively with eBay....not 500 poorly capitalized boondoggles where nothing sells.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Rainbows

Mon Jan 19 11:14:07 2009

@ Peter Leeflang/CEO Leeflang Archives Corporation

Exactly! GoDaddy has serious difficulty offering even mediocre service now!

If everyone chooses a minimum of two venues, such as www.Bonanzle.com and www.eCrater.com, we split ''the power'' in half and never have this dilemma again by giving it all to just one venue like we did with ebay.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: mary

Mon Jan 19 12:19:19 2009

Paypal directory seems like a good idea for buyers, but not ebay sellers.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

This user has validated their user name. by: Bob

Mon Jan 19 12:22:51 2009

Bonanzle rules!  Bonanzle is awesome...

There, I said it, do I get a prize or something?  First chance at IPO shares?

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Daisy

Mon Jan 19 13:12:27 2009

Sounds like the 'Spawn of Ebay'. No thanks.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: JD

Mon Jan 19 13:14:45 2009

I tried GoDaddy a long time ago to host my Ebay pictures. It seemed like a good deal for the money. Then, my ebay pictures started to disappear and re-appear all through the day. When I called them about it, they told me it was because I was on a shared hosting plan. Shared with how many other gazillions of unsuspecting customers about this unreliability? I canceled the account and after a little research went to Verio.com which for 12.95 a month I get 5 Gigabytes of storage space and have yet to see a glitch or have my pictures not appear on my listings. If my GoDaddy experience with a simple hosting plan was this bad, how are they to run a complaex online marketplace. It already smells bad to me with a 10% fee and only a portion of your fee refunded if a customer returns something... On the other hand Ina, I was glad to hear and looking forward to the Auctiva Stores service for merchants being offered sometime this month. That's a company that is organized and just plain smart in their approach to design and implementation of their services.
Thanks for all the great info you bring us.
Juan
PS I have endorsed one of your advertisers of Ebay and Web design services.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Et tu, Brute!

Mon Jan 19 13:55:51 2009

Having to pay a monthly fee for the privilege of simply shopping and spending on a site is what kept me from signing on with OnlineAuctionsdotcom and I suspect that aspect has influence many similarly.  Just doesn't sit right with me.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Lester

Mon Jan 19 14:44:35 2009

Does anyone else but me see the problem with having too many places to go? It's called dilution. When there was just eBay, everyone went to eBay. All the eyeballs were at eBay. Now, you people are creating way too many places to look. Buyers aren't going to look everywhere. I agree eBay sucks, and they deserve what they get, but having too many shopping options is just as bad as only one. This isn't going to make things better.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: true dat

Mon Jan 19 14:59:17 2009

@ Lester

Yup there are definitely too many new auction type places to go. But the sad truth is, there will always be new auction sites opening especially true now. Since many thinks that ebay is going now. Better get in to grab all the angry sellers. A get rich scheme.

But all these new venues do not realize that it is hard to maintain an auction site. If you read constantly about all the lawsuits and governmental interference that certain large auction site always get. I will be very afraid to open my own auction site. You can't sell ivory, you can't sell LV, you can't sell tiffany, blah blah blah. Pretty much is going to happen to all the new sites when it get large. Government and large name brands will eat you alive. Well, at least that certain auction site is large enough to fan off and stay ahead.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: o.c.d.collectibles

Mon Jan 19 17:51:23 2009

I'm more impressed with tweba and facebook marketplace.

I think social networking will be the wave of the future. And a participating community is the key to success.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Consignment Pal Resale Directory

Mon Jan 19 18:33:52 2009

Gail,

I agree with you.

PayPal has shockingly low expectations if PayPal only: ''...anticipates between 500-1000 merchants will be included in the directory...''

With such low expectations, why bother?

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: Consignment Pal Resale Directory

Mon Jan 19 18:43:09 2009

For GoDaddy,

Does the fact that GoDaddy's chargeback rules are prominently footnoted on the bottom of the Marketplace page indicate that chargebacks are a huge problem?

I do appreciate their ''No hidden fees!'' statement.

GoDaddy Launching Marketplace, and New PayPal Directory   GoDaddy Launching Marketplace, and New PayPal Directory

by: MsFish213

Mon Jan 19 19:55:32 2009

I dont have much experience with GoDaddy except to buy domain names, and Paypal is, well, Paypal.  I am waiting for Auctiva Commerce to go live anyday now...it sounds promising!

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