Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Thu Oct 18 2018 21:24:17

PayPal Report Shows Troubling Signs for eBay

By: Ina Steiner

Sponsored Link

PayPal CEO Dan Schulman was surprisingly critical of eBay's managed payments launch during today's third-quarter earnings call with Wall Street analysts, but he said managed payments had nothing to do with the softness in PayPal's eBay business. 

PayPal's eBay Marketplaces volume grew only 3% on an FX-neutral basis - that's compared to PayPal's Merchant Services volume growth of 28%. Given that PayPal is the most popular payment method on eBay, that is not a good sign. eBay will report its third-quarter earnings on October 30. 

For now, eBay managed payments excludes PayPal; it launched to a small number of sellers one week before the end of the quarter. 

Schulman made a point of saying that eBay sellers who moved to managed payments have left comments on eBay seller forums reporting a sales drop of 40 - 60% and were "clamoring to come back to PayPal." 

eBay buyers who land on listings from sellers enrolled in managed payments are not able to pay with PayPal - it won't be added until July 2019. eBay calls the rollout of managed payments a multi-year journey and this week said it has already managed more than $20 million in GMV, representing nearly half a billion dollars on an annualized run rate, to date.

eBay-related volume represented 11% of volume on PayPal in the third quarter, down from 13% a year ago and 20% three years ago. eBay and PayPal split in July 2015.

Comments (140) | Leave Comment | Permalink
Readers Comments

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: eBay Shill Buster This user has validated their user name.

Tue Oct 23 15:37:44 2018

Maybe David, but this seems to be a unique problem to your CMS, hope you can find a solution.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: pace306 This user has validated their user name.

Tue Oct 23 15:45:33 2018

Paypals comments were revenge for being kicked to the curb by the Adyen decision.

Revenge is a dish best served cold - and that cut was deep and cold.

I doubt anyone thinks it was inadvertent - CEOs smart or dumb dont make "mistakes" like this !

Its all my own personal opinion - but one that makes sense to me.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: CanBrit

Tue Oct 23 15:53:57 2018

@pace306

I completely agree with you. PayPal had mud to sling and they were very happy at doing it. I think the legal chimps were blind, too busy stuffing what shares they could steal yet again from the company.

Again, it's don't bite the hand that feeds either you or it. Never turns out well.

I wonder if any of the eBays forum's mgmt and best buddies have caught on to this disaster, or are they still playing games as usual. Probably still games. They'll realize it when the train hits them.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: ebayout This user has validated their user name.

Tue Oct 23 16:15:52 2018

ebay is like a security guard at a flea market that ebay owns. Part of his pay was paid for by the stall owner via his stall rental.
The security guard watches shoplifting in broad daylight, and does nada.

And this goes on and on...to a point. It's like a little bit of pond scum that doubles in size on an accelerated basis. It's no big deal til it covers 1/4 the pond.
Well, the pond scum was at 1/4 about 2 weeks ago...it hit 1/2 last week.

Do the math come Oct. 30th.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: NoMoreEbay

Tue Oct 23 16:34:53 2018

I just copied the entire original link. Pasted it into notepad. Removed any spaces and inserted it into the browser. Worked fine.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: CanBrit

Tue Oct 23 16:51:42 2018

Sometimes I go back to the eBay boards and see if any rationality exists. Well....unfortunately no. While sometimes it can be a source of humor, mostly it is verbal garbage thrown back and forth.

I give for example a 7 page waste of space. I'm so happy I can't go there anymore. 😜😜😜

https://community.ebay.com/t5/Selling/SELLERS-Part
-of-The-Problem-with-Ebay/td-p/29099022

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: toolguy

Tue Oct 23 18:49:02 2018

Some sellers are still enjoying brisk sales!

I got a great deal from eBay and this seller. . .

On a account I haven't used in years I got a $10 coupon off a purchase of $30 or more

I bought this item for $23.50 that was $33.50

https://www.ebay.com/itm/90245-LEE-CLASSIC-LOADER-SET-30
8-WINCHESTER/321662980371?ssPageName=STRK%3AMEBIDX%3AIT&_trksid=p2060353.m2749.l2649

So
I look at this sellers completed listings.

Looks like he's selling more then a few items a day.

Your eBay success is in what you sell, if it's American made chances are you're doing OK, if it's made in china you have too much competition. . .

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: ebayout This user has validated their user name.

Tue Oct 23 20:02:49 2018

"Some sellers are still enjoying brisk sales!"

True, but sadly for ebay, the whole is less than the sum of it's parts.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: pace306 This user has validated their user name.

Wed Oct 24 09:15:33 2018

TOOL - you are correct - there are a few sellers still doing well - the question is - what percentage of eBay sellers are doing well ?

There are a whole lot that are protected, loved and coddled - the ones that are eBays go to guys - the ones that get special treatment - they ALWAYS do well.

The real test is how the majority of your smaller to mid sized sellers are doing.

Of course there will always people who dont sell commonly bought items - who wont do well "all the time", but if you sell (even) remotely common items - theres no excuse for not doing OK. Unless of course eBay is getting involved .. which they are.

As for Paypals leak on eBays doings - no one REALLY knows why they did it - but we can all smile to ourselves and snicker - thanking whom ever did plan it - was genius and in our own way - we got some measure of revenge against eBay.

Whether thats true or not - no one will really know - but it SEEMS that Paypal was getting in a dig and at the same time simply boosting itself to investors ... 2 birds, 1 stone.

eBay gets what they deserve ... the "we are just a venue" gang - might have gotten their comeuppance.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: Shackles4Devin This user has validated their user name.

Wed Oct 24 12:24:13 2018

Hey Guys, read my last post. Look at my user name. I tried after 2-Q to make mention but, could not go into specifics. There is active work behind the scenes. Just can't give out specific detail.
Is PayPal slinging mud?  YES
Is 2-Q under investigation? YES
I said KHAKI IS THE NEW PINK!!
Khaki shirt, khaki pants and white socks...……….

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: Shackles4Devin This user has validated their user name.

Wed Oct 24 12:27:42 2018

Oopps! Must have hit the wrong key.... no ''Web Site'' ….not now!

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: CanBrit

Wed Oct 24 13:03:57 2018

Toolguy, I am amazed at your continued support as I watch the stock go down, down, down. There have been millions of voices screaming at the demise, of their businesses lost, of small and mid sized sellers falling under Wenig's heavy boot.

He doesn't know what he's doing. The rest of the team (??) don't have a clue. I don't doubt that they are still being hacked by their ex employees, who actually did know how to work with the platform, although personally I think they should have invested getting more of the brightest in the tech world.

The dam has burst and someone needs to take over and soon before all there is left is to hack it to pieces and sell small bits.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: CanBrit

Wed Oct 24 13:46:48 2018

Like to see something rather upsetting? From the SimplyWall.St website

CEO
Devin Wenig
COMPENSATION $17,590,830
AGE 51
TENURE AS CEO 3.3 years
Devin's compensation has increased whilst company is loss making.
Devin's remuneration is higher than average for companies of similar size in United States of America.

eBay insiders have only sold shares in the past 3 months.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: toolguy

Wed Oct 24 14:16:48 2018

@canbrit

I'm amazed at how many years people have been calling for the demise of eBay!

Seriously, eBay has gone out of business for the last 15 years. . .At least that's what I've read. . .But in reality eBay is still here and so am I. . .

I've been pushing the eBay button for a solid 20 years, if you have any doubt you can go look at my eBay ID's ~ vw & z50com

It hasn't been easy but nothing in life is!

Do I wish sales were better? You betcha, do I wish fees were lower? YEP
Do I wish there were no fees on shipping? YES

Plenty of wrong things about eBay but if you can show me a better site to sell my tools on I'll be there in a hot second.

I deal with the eBay BS the best I can. . .I've learned to live with it after 20 years of doing so.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: toolguy

Wed Oct 24 15:15:00 2018

@canbrit

"Devin's remuneration is higher than average for companies of similar size in United States of America."

Mary T. Barra ~ $22 million

John Donahoe ~ $41 million

Brian Cornell ~ $28 million

Lisa Su ~ $11 million

From what I can see Wenig is paid about what most other CEO's are paid. . .

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: CanBrit

Wed Oct 24 17:57:47 2018

@toolguy

If you want to argue with the Wall Street crowd, be my guest. I do remember your id, one of them. I don't remember your being as rah rah as you have become.

Maybe you're thinking that this is what's protecting you. Not in a million years. Your niche market is. That's all.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: angryllama This user has validated their user name.

Wed Oct 24 19:04:45 2018

Comparatively HUGE SALE Volume in final few minutes of Today's Trading day. AFTER the FIRST 90 minutes or so of dithering around very near the opening price the Downward trend was merciless throughout the rest of the trading day.  Look at the volume and today's Total was 15,613,752 with essentially HALF that in the final half hour. Looks like the EXIT was pretty busy and will likely be repeated tomorrow as efforts to RACE out of this burning building.  The final was another $0.90 DOWN vs. Tuesday's closing price AND an all-new 52 week LOWEST price extracted from the sale of eBay shares. $27.24 was the lowest trade today.
 

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: ebayout This user has validated their user name.

Wed Oct 24 19:46:45 2018

Converting sales in a niche market is not gloat worthy.
It's like a 300 lb. fullback spiking the football after scoring against a 150 lb.defensive line.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

by: ebayout This user has validated their user name.

Wed Oct 24 19:56:40 2018

@angryllama
Per Market Watch, 3.5M shares sold after the bell. Have to assume it's a big buy back.

Perminate Link for PayPal Report Shows Troubling Signs for eBay   PayPal Report Shows Troubling Signs for eBay

This user has validated their user name. by: toolguy

Wed Oct 24 23:33:50 2018

@angryllama

Your post above reflects what the entire NASDAQ did, not just eBay!

In fact eBay fared better then the NASDAQ

At 1st I looked at eBay and thought wow that's right, then I looked at the NASDAQ and said no! It's the market not eBay. . .

We aren't close enough to the 30th for an eBay melt down yet. . . .

Click to view more comments
1 2 3 4 5 6 7 


Login is required to post comments.
To sign in to leave a comment, fill in the form below. If you have not yet signed up for AB Verify, or if you'd like more information, go to the Registration Page
.

Login for AB Verify
Be sure and use your email address and password to log in.

 
Email:
Password:
 
 Forgot Your Password?
 Even though you are signed in with the AuctionBytes Blog, you will have to sign in to the EcommerceBytes blog. But you can sign in with your existing AB Verify info.