Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Tue Oct 10 2017 23:50:41

Is eBay Trying to Kill Auctions with Make Offer?

By: Ina Steiner

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eBay has perplexed users by adding a Make an Offer haggling feature to auctions. The unannounced change is so disconcerting that some people who have noticed the feature are sure it is a glitch. But the feature appears to be eBay's way of signaling when it has determined that a starting bid on an auction is set too high.

Until this week, Best Offer was only available for fixed price listings and Classified Ad formats. A reader tipped us off to the change, and we found users buzzing about it on the eBay forums. 

The reader said he and another seller tested the feature. One of them made an offer for less than opening bid, then the other placed a bid for the auction starting price. "His offer was automatically declined once I bid. After my bid was canceled the offer button was there again."

The appearance of the Make an Offer button to sellers' listings came as a surprise - eBay did not inform sellers. At least three different sellers we observed discussing the feature on the eBay boards said the feature appeared in their listings with no warning. Nor did eBay customer service reps or moderators monitoring the boards appear to know anything about the feature being available in auction listings.

However, one eBay user was told by a customer service rep:

"eBay applies Best Offer to over-priced listings to help increase their chances of selling. Best Offer is applied to auctions when the start price exceeds the recommended Buy it Now price. This only applies to Auctions, it does not apply to Auctions with a Buy it Now price. 

"The trending price and recommended Buy it Now price is based on prices of similar listings sold on eBay over the past 90 days. Listings where the seller-selected auction start price is greater than the trending price are considered overpriced and will have Best Offer applied. 

"Moving on, we currently do not have a way for sellers to remove Best Offer from auction listings. However, based on the Best Offer logic, if you reduce your auction start price to the recommended Buy it Now price or below, Best Offer will no longer appear on your listing. 

"On the other hand, if you receive an offer that you don't want to accept there are a few options. You may reject the offer outright, counter the offer with a price that you would accept, or ignore the offer. If ignored, the offer will expire after 48 hours. I trust the information I have provided is helpful on your concern."

One seller reading the response from eBay was flabbergasted. "That's absolutely bleeped. I would expect offers to be ABOVE the starting price, kind of a formal "request a BIN price". They're really going to tell buyers that an auction is "overpriced"??? That's insane."

Another seller wrote, "I thought the purpose would be for the impatient buyer, who just wants to buy it now, to offer a HIGHER price than the opening bid. This would tie in with the current campaign to block off site transactions, as that could happen in that instance, and this would make it easier to keep it on site and for eBay to get its fees from a new revenue stream."

Interestingly we saw one auction with a starting bid of under $2.00 sporting a Make an Offer option. (We tested the feature and were unable to make an offer of less than 99 cents.)

Not only are sellers unable to remove the feature from their listings if eBay places it there, sellers say they can't find a way to add it to listings when it doesn't display.

In addition to the frustration of having the haggling feature foisted on their auction listings, sellers are upset at eBay's lack of communication. And one seller said they were disturbed about the fact that when they preview their listings, it doesn't show the Make an Offer feature, but it appears once they post the listing.

The EcommerceBytes reader pointed out that the feature could prove annoying to buyers and could hurt auctions. "The real bids don't come in until an auction is closer to ending. If I come to bid an hour before I know an item was scheduled to end, only to find the seller accepted an offer a day or two earlier, I'm going to be upset. The more that happens, the more people will avoid auctions. There is still a place for auctions."

Comments (80) | Leave Comment | Permalink
Readers Comments

Perminate Link for Is eBay Trying to Kill Auctions with Make Offer?   Is eBay Trying to Kill Auctions with Make Offer?

This user has validated their user name. by: The End

Wed Oct 11 20:55:47 2017

This question is a re-tread from the long-ago past.
Ebay is stale. I haven't bought anything there in way over a year.
One time, long ago, I bought ALL of a particular item offered by several different accounts. Auction, buy it now,...every which way....Turns out, it was a team of people working in concert. There's no more of this item to be had. It's dry. Nothing good on the horizon.
If a new, fantastic venue came along......
But we know That will never happen......because the diseased corporate culture has a strangle hold on absolutely everything "money". So it's a dead end for us. A cul-de-sac of opportunity. It's O.K. if the world ends now. It's all re-treads from here on out.

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This user has validated their user name. by: Ming the Merciless

Wed Oct 11 22:07:12 2017

@ The end

"diseased" is exactly right, but I would add more.

Silicon Valley suffer from a trifecta of diseases: arrogance, omnipotence, and greed.

Social media, e commerce marketplaces, and all self described "tech" companies NEED to be regulated to protect consumers. We're seeing the results today of precisely why these bullies are inherently incapable of "self regulation."

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by: Tiffee Jasso This user has validated their user name.

Thu Oct 12 00:08:46 2017

Ebay's price suggestions do not work. Often I am told to reduce my price because such and such sells for so and so price. When I look at what they are suggesting I am generally in the middle of what is stated. The other problem is the suggested pricing does not take into consideration of whether it is a set or one item or the item that sold for $2.95 was glued back together. This past week I was told to lower a price on the a book because the highest one sold was $9.99. I thought that odd as it is a leather bound reference book. When I went on Ebay and took a look the cheapest one up for sale was $22.00 and so where did they get $9.99?  

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This user has validated their user name. by: LasVagueness

Thu Oct 12 00:24:44 2017

More 'hand-crafted by Millennials in a lab' digital detritus to ignore.

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by: imbloated This user has validated their user name.

Thu Oct 12 00:29:26 2017

I received an email from eBay today telling me my "buy it now" listing had few views and that the price was more than the average selling price. It said to lower the price to a certain amount. It included examples of similar listings that had lower prices. These were clickable so I clicked on each one. Each one led me to a totally blank page. I had researched the completed listings prior to listing, which is how I determined my price, so I was suspicious about their examples because it didn't match my research. The fact that they sent me FAKE examples amazes me.

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by: Barbbie This user has validated their user name.

Thu Oct 12 00:31:33 2017

If I do a bid, I would prefer to watch it to see where I am and attempt to fairly win it.
To me, this is just a way for an early end should the seller deem it necessary, I thought that was bad.
So I guess you also need to make a best offer if you make a bid? Sounds like a bunch of BS.

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by: smallstuff This user has validated their user name.

Thu Oct 12 00:41:16 2017

I relisted some fixed price listings and switched them to auctions on Monday or Tuesday.  The Best Offer option was automatically added in the relist window (yes, I am still using the old bulk relist function, not seller hub).  What used to happen was the best offer would go away and I would have to separately add a buy it now.  I was convinced this was a bug in the function, because the form wouldn't let me have both buy it now and best offer.  It took some work to get rid of the best offer function, but I was able to do that.  I'm not convinced this is a new feature ... but the best way to prevent it from happening is to offer buy it now for an auction.

Perminate Link for Is eBay Trying to Kill Auctions with Make Offer?   Is eBay Trying to Kill Auctions with Make Offer?

by: Chicago48 This user has validated their user name.

Thu Oct 12 06:39:09 2017

This is another beta test by Ebay.  They're throwing everything up against the wall to see what sticks.
I haven't seen the Best offer YET in my auctions.  I'll take another look.  No other auction site does this crazy sh*t.  

Perminate Link for Is eBay Trying to Kill Auctions with Make Offer?   Is eBay Trying to Kill Auctions with Make Offer?

by: Chicago48 This user has validated their user name.

Thu Oct 12 06:41:22 2017

It seems to me that the reason they're doing this is because with auctions we/they have to wait for the payment, which can take up to 7 days for the buyer to pay.  They're trying to figure out how to get people to pay immediately.  The only way is do away with auctions. Period.
Maybe Ebay should have a special and separate Auctions Site.  Only auctions.  Goodwill stores is ONLY auction.  Top Hatter is only auctions.  

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This user has validated their user name. by: Rexford

Thu Oct 12 07:01:57 2017

Pace post starts with "a bird in the hand is worth 2 in the bush" - thats why they did it.

I'm selling my birds for asking price on other sites and not dealing with the nonsense.  Also not dealing with the constant changes and disruption on those sites.  They are stable selling platforms.  Those sites feel like a partner, something that eBay haven't felt like in over 10 years.

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by: frustrated This user has validated their user name.

Thu Oct 12 07:39:42 2017

Race to the bottom.  Race to the bottom. Race to the bottom.  Race to the bottom. Race to the bottom.  Race to the bottom.

They should change the name of the site.

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by: Whatever This user has validated their user name.

Thu Oct 12 07:47:27 2017

"Sellers are losing more and more control of their businesses on eBay which is why they are flocking elsewhere."

And just exactly where would that be? I mean a place where your could actually sustain yourself? It's not like I haven't tried. I have. There is no other place to go if your locked out of Amazon.

Here's the problem - regardless of what the government says - people are still broke with the exception of the higher-ups who have money to spend. Or their dead broke and want to buy "chinese" priced american stuff.  Ebay's biggest mistake is flooding the site with chinese crap - 10 -20 -50 listings of the same item from the same seller who has hundreds of negatives. It's turned off too many people. Once ebay gets it into their thick heads and kicks them out they possibly might woo back the sellers with the truly unique items that made the site in the first place.

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by: Chicago48 This user has validated their user name.

Thu Oct 12 07:57:00 2017

@Whatever, there are some new sites around but they're struggling to get eyeballs & sales.
Prairie Grit.  I was on the site for about a month, very small site, and they're now doing monthly subscriptions.
Artyah is like Etsy.
Everything but the House is an estate seller online.
Top Hatter.  
They're all fairly newer sites, and I've tried a few and got nowhere.  Incidentally, down the street the Plato's Closet  is going out of business, 70% off, selling out, so that tells you a lot about competition and race to the bottom prices.

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by: Chicago48 This user has validated their user name.

Thu Oct 12 07:59:14 2017

Here's what Prairie Grit is charging to have a store & listings.  For $19 a month, 10 listings, which isn't anything near what Ebay offers.

Monthly Subscription Level # Listings
$19.99 (1st month free) Dabbler 10
$49.99 Hobby Junker 40
$69.99 Junker 80
$99.99 Wheeler Dealer 150
$159.99 Certified Picker 750
$199.99 Junk Drunk Unlimited

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This user has validated their user name. by: toolguy

Thu Oct 12 08:01:49 2017

I'm still a very happy eBay seller!

I LOVE MY JOB

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This user has validated their user name. by: RKTOYS

Thu Oct 12 08:15:20 2017

"Here's the problem - regardless of what the government says - people are still broke with the exception of the higher-ups who have money to spend. Or their dead broke and want to buy "chinese" priced american stuff."

That's been my take on it as well.  Alot of the stuff eBay does doesn't help, sure, but I've been seeing the same trend at conventions too.  At the convention level, we're being killed by rentierism.  There's show out in Pittsburgh that I had to stop attending because they raised booth fees (and ticket prices) by 90% in four years while sales fell 50%.  There's another show in Jersey that I've probably been to my last one because they've gone to a two-day format and tripled my costs overnight with no corresponding improvement in meager sales.  There's another in Harrisburg that I never even got to go to because they came out of the gate at top dollar and actively drew attendees away from the dealer room with sponsored events.  And so on.

What's sad is that I knew I could never open a physical storefront because of rentierism and had to settle for conventions and e-commerce.  You have to sell an awful lot of Batman figures to pay some greedy landlord to hold out his hand and take $8K+ every month.  Now that mentality has infected everywhere else and it feels like I work harder and harder for a smaller and smaller piece of the pie.  I can barely be bothered to list online and will be down to just one or two shows next year.  No idea what I'll do with the leftover inventory but I'll be damned if I keep subsidizing moneyed takers.

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by: JWsax This user has validated their user name.

Thu Oct 12 08:57:22 2017

Weapons grade stupidity yet again.

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by: lindysthings This user has validated their user name.

Thu Oct 12 09:24:06 2017

By definition an auction is: Common name for several types of sales where the price is neither set nor arrived at by negotiation, but is discovered through the process of competitive and open bidding.  

It seems Ebay is trying to rig the pricing, or at the very least interfere with it in this latest un-asked for Best Offer addition. And the fact that you can't opt out of it changes the landscape of a true auction.

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This user has validated their user name. by: toolguy

Thu Oct 12 09:30:35 2017

@lindysthings

"And the fact that you can't opt out of it changes the landscape of a true auction."

You can "OPT" out by starting your auction at a lower price!

Perminate Link for Is eBay Trying to Kill Auctions with Make Offer?   Is eBay Trying to Kill Auctions with Make Offer?

by: ccstreasure This user has validated their user name.

Thu Oct 12 10:12:37 2017

I read a few comments on people complaining, no thats to harsh and critical and can be taken offensively and i do not want to offend anyone so ill say people were "venting their frustrations on how they felt" about how this will effect someone watching an auction and they were going to wait til the last minute to place a bid and now it'll be more frustrating if said auction is gone before the end time because someone accepted the offer someone put in?  That's kind of a too bad for you, you should have put a bid in when you saw the auction to begin with then, make sense? As a "buyer" yes its frustrating for you BUT think about the SELLER in that case, now the seller can sell his item quicker and be happy he or she made some money.  Lets think back to how auctions used to work, you saw an auction you placed a bid, someone else placed a bid over yours and so on, making the SELLER very happy to watch the price of his item grow higher and higher while knowing at the end of the auction will have the most bidder fighting it out for the winning bid.  Fast foward to the point where now people think if if i dont bid and wait til the last minute maybe ill be the only bidder, or if i put in the most im willing to pay ill still win without being outbid, etc...MEANWHILE the SELLER sits there watching his auction have ZERO bids and starts to think no one really wants his or her item and maybe they should take it down and trash it or give it to goodwill. NOW enter ebays best offer , well now the seller has more of a chance to sell his item quicker so good for him or her. Why should the average "buyer" complain about this feature? Its not your item being sold right? Let someone else make their money, if you wanted the item bad enough you should have placed a bid during those days leading to the end.   and ""watchers" means absolutely nothing anymore. I have sold jackets worn by characters on tv and movies and i have had up to 27 watchers on auctions that ended with no bids what so ever. so people arent watching to buy anymore, they watch for other reasons such as to see what the item price will end at, or to see if they can find it cheaper at a later date, etc. Point being this feature can only HELP the seller. Should it be forced upon us? Absolutely NOT! This should be an option of our choosing. We pay enough in ebay fees, store fees, payapl fees, picture fees, i sneezed fees, etc, we should have the option to choose this feature  

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