Bid.com International (BIDS) Message Board

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Microcap & Penny Stocks : Bid.com International (BIDS)

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To: Tiger USA who wrote (12685)	3/24/1999 11:04:00 AM
From: Denise D	Read Replies (1) of 37507

John, EBAY's revenues are only the fees charged on the products that are sold on their site by subscribers, NOT on the products themselves. I'm not so sure about that. I mean if they are collecting the money from the consumer, then that is Revenue. The revenue in both cases is the same. The only difference I can see is that their gross margin is "guaranteed" at whatever their commission % is. For example, if you wanted to buy a $100 item on eBay they might charge 3% or $3. This is their gross profit. If you wanted to buy the same item on Bid.Com, but the cost to them is $99, then the gross profit is only 1% or $1. Denise.

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