on AOL auction issues raised;
Keeping AOL auctions within AOL is an advantage over ebaY since the number one problem on ebaY right now is fraud and shill bidding (though ebaY won't admit it). By keeping auctions inside a membership list, it keeps them more honorable and fair (we can only hope).
[Consider also that a "problem" with ebaY is it has more sellers than buyers, which may be why listings are up, while sell through prices are down. On AOL they will start with few sellers, and ton's of potential buyers, keeping listings down, but sell though higher. The corporate sellers like Disney who are looking to ebaY to sell crap, might be better served by AOL. Once AOL auctions developes, it might be the prefered host by corporate sellers, while ebaY becomes a backwater auction sight for small time hoodlems, and illegal trade.]
As for payment system, AOL actually uses C2IT from CitiBank, they just market it under a house name. They could also use your billing account information as well if they choose to.
Another point to consider is how AOL's closed membership could be "led" to AOL auctions the same way they are to led to AOL's many retail sights based on the context of your usage. Time Warner is testing the legality of blocking ebaY in favor of AOL Auctions for their broadband customers. EbaY can't get you to their sight unless you Address them in your browser, or get linked to them from a search engine.
Hey, I'm not saying it's game over for ebaY, not by a long shot. I'm just saying these developments Thursday, and Tuesday December 3rd, could punch wholes in ebaY's lofty stock price, at least in the near term.
Disclosure: I have no position in AOL, but I'm an old member and even have my AOL email address with my actual name ajberger[at]aol.com with no numbered suffix (now that is old!). However I only pay $5/mo to keep the account alive, as I prefer using EarthLink has my primary dial up ISP. If AOL develops more exclusive content like auctions that are only available to members, I might actually pay More to AOL in monthly fees (to buy more online time) to AOL in order to participate. Consider that case in point... |
