A reader questioned eBay's strategy of using a single seller to power the eBay consignment service, which eBay explains is "a service designed to help you sell your luxury apparel and handbags with ease. We take the hard work out of selling your items." The reader posted a
comment yesterday on an EcommerceBytes article about eBay's expansion of its partnership with longtime seller Linda's Stuff to handle all of the goods consigned through the eBay consignment service.
"Why wouldn't they choose several/many high-rated sellers to share this process with," the reader asked. "With this, eBay is competing with their own sellers!"
The timing of the comment was interesting given that eBay promoted Linda's Stuff (not the eBay consignment service) in a marketing email yesterday featuring the subject line "15% off fresh kicks." The following coupon was embedded in the email that went out to eBay shoppers:
Save 25% at Linda's Stuff
Shop an array of chic handbags, jewelry, apparel, and more.
Get the coupon
Ends 4/7. Max $250 off orders $55+. 5x use.
The favored treatment doesn't end there. eBay CEO Jamie Iannone published an interview with the proprietor of Linda's Stuff
in a post on LinkedIn last week.
We don't want to pick on a single seller - there are many merchants who would likely jump at the chance to enter into a high-profile relationship with a prominent marketplace.
And there's no reason eBay or its CEO should not promote its partners.
But the reader raised an interesting issue in their comment - especially since eBay contends it does *
not* compete with its sellers (it's even in the
eBay purpose statement). By entering into a partnership with a single seller to handle eBay-branded consignments, is eBay competing with all the other sellers who use eBay in their consignment businesses?