As reported on Auctionbytes, eBay Inc. (NASDAQ:EBAY) recently announced an initiative to thwart the listing of counterfeit goods on its auction site. The program will be targeted at a tiny selected group of particular product names. Most probably in reaction to pending litigation by companies such as Louis Vuitton and Christian Dior Couture, this move seems to be a bit of oil targeted at a few squeaky wheels.
The details of the program are obtuse and ill-defined, but in part, the initiative involves a smattering of criteria which when encountered will trigger a red flag and expose a seller to manual inspection of their item listings. Included in the program are new restrictions against the listing of certain items from the countries of China and Hong Kong. While on its face this program seems helpful and reasonable, overall it is an unimpressive effort according to sources who have contacted this writer.
"What an unmitigated load of bull----!" , was the response I received from one associate. She sees this program as nothing more than another stopgap PR play reflective of the same type of flimsy "solution" eBay employed to quiet the Skype overloading of servers issue. In part, the concern is that while this program may indeed reduce the number of attempts to sell a few counterfeit copies of a few specific items, it will do nothing to pursue or prosecute those who are habitually engaged in practices of illegal merchandising on eBay's site.











Reader Comments (Page 1 of 1)
12-05-2006 @ 12:30AM
Katherine said...
What an unmitigated load of bull----! LOL just about sums up my thoughts on this too. Particularly when I have seen one seller complaining their designer item listing, for which they have a receipt from their purchase of it, was removed by ebay with no explanation etc.
It's simply a futile attempt to try and fool people into believing they are actually willing to do something to police the site and we who have used ebay know that will not happen until they are forced by law to so do.
Ebay has the most lax verification etc of sellers, all other auction sites score better on safety and on reaction to dodgy listings of any kind.
Being on ebay was an eye-opener, the number of scams and fraudulent listings on ebay was an eye-opener, an even bigger eye-opener however has been the difference between that site and the numerous others (Tazbar, Hibidder, Bidz, Bid-alot etc). I will never now go back to listing on ebay.
I figure that this move by ebay to pretend to police listings of designer goods is something cobbled together on the back of an envelope in a panic and it follows the changes in August which seem to have resulted in a huge number of cheap listing days - including CLDs on Wednesday and Thursday this week in the UK which is somewhat surprising.
One could be forgiven for thinking it has all gone horribly wrong for ebay and the only reason for the CLDs is to conceal the fact that so many sellers are deserting the site or listing far fewer goods.
Any bids for the writing on the wall?
12-05-2006 @ 12:33AM
Sarah Trent said...
These initiatives were discussed on a new offsite auction venue selling discussion board last Tuesday (28th November): http://pheebay.com/forums/viewtopic.php?t=226
It's also been discussed at length on eBays boards. It's generally believed to be a kneejerk reaction to the pending lawsuits as Gary mentioned.
One poster said: "I'm sure it will simply mean that the scammers will adapt and find other strategies for getting their listings up. Depending on how the blocks are put in place, it may be that we see a lot more titles like these: Pr@da, Di0r... It could be that the blocks might involve item specifics with flags put in place when someone selects a designer brand... The scammers will then opt not to use item specifics."
12-05-2006 @ 2:00AM
Bethany's said...
Thank you for putting another eBay problem under the microscope. It's not just name brands that are the problem. There are sellers selling suits and tuxedos in their stores for less than half what they cost us wholesale, claiming they are brand new, and bragging that they want to drive all other sellers off eBay. I contacted one of my manufacturers to find out why I could not buy merchandise that cheap and was informed that they are having pallet loads of suits and tuxedos stolen off the docks. We sell bridal slips also, and there is a seller that sells full slips for .01 and $15.95 shipping, but we can't buy bridal slips wholesale for $15.95. How do they stay on eBay unless they pay no fees? I have no problem with overseas sellers if there is some equity, but I don't feel US sellers should be overcharged to subsidize the free listings from other countries. Am I wrong, or am I missing something here? Read the following quote from a current listing:
"WE CAN'T AND WON'T BE BEATEN ON COST!!,WE ARE BACK FOLK'S! XXXXXXXXXX IS BIGGER AND BETTER THAN EVER,AND TO CELEBRATE WE ARE HAVING A MASSIVE CLEAR UP OF ALL THE OTHER SELLER'S ON EBAY!!OUT WITH THE REST AND STICK WITH THE BEST..SO LET'S KICK OFF WITH THIS SUPER DEAL....
A 4PCS SUIT COMPLETE WITH CREAM SHIRT,GOLD WAISTCOAT AND MATCHING TIE,AND BLACK PANTS..FROM 6-12MTHS TO 14 YRS AND ALL SIZE'S FOR ONLY ONE PRICE YES ONLY £12.50,BRAND NEW WITH TAGS AND FREE SUIT COVER!!"
What do you think is going on, and how do you think this is possible? Bethany's
12-06-2006 @ 10:42PM
bargoon said...
It's Gary's way of constructive criticism. Like he and his ilk repeat all the time "they are trying to help ebay by whining like a old ladies". Yup ebay sure gonna listen! It's really therapy for them to vent. Whateva toots their horn.
12-07-2006 @ 1:58AM
senseless said...
I agree with interested investor. Not sure what the point of this topic is except for people to gripe about ebay? Sure accomplishing alot.
12-07-2006 @ 2:18AM
Helen said...
eBay are in a hopeless position it seems. Do nothing and get slammed, do something and get slammed.
I'm no die hard supporter of eBay but have to admit they've made several improvements in recent months to try to stem the tide of fakes and scams. Obviously they will never do enough to stop all the scams or satisfy their critics.
This isn't a problem unique to eBay either. Search for DVDs containing huge libraries of music in MP3 format. You wont find many on eBay. Now try the other sites.
I see this coverage and the reaction as symptomatic of a much deeper problem. eBay has managed to alienate so many people now that they have lost their own 'community feel' and effectively created a massive new community of 'anti-eBayers' ready to knock them for everything and anything they do or say.
12-07-2006 @ 2:19AM
Brian Snale said...
Any move against fraud is to be welcomed, however you have to ask how did it get this bad in the first place! The comment that ebay has managed to alienate so many people now that they have lost their own 'community feel' and effectively created a massive new community of 'anti-eBayers' is unfortunately true, but they only have themselves to blame.
Had they listened to what sellers were telling them, not only about the shops issue but all the other things, they wouldn't now be looking at the current meltdown that seems to be evident in the need to have virtually continuous Cheap Listing Days. Perpetual Sales are frequently a pre-cursor to businesses closing!
12-07-2006 @ 2:20AM
DD said...
Aside from my personal views of eBay's 'management', it is good to see major brand name companies getting involved to spearhead the ongoing presence of counterfeiting, here and abroad. Unfortunately, one-sided policing by these companies is never good for any reseller, big or small, on eBay or any other site; too much big business control without considering restitution for small/big reseller business interruption. I, too, have had the honor of supporting my resold products to the attorney's of a certain brand name maker, otherwise, expect a potential lawsuit. It's lengthy, intimidating, and purely egregious in nature.
However, what truly concerns me most is when these big hitters continue to bully the market with coercive measures against all online resellers. Will this bring governmental intervention after a consistent outcry of the e-commerce community? Governmental control of the online community is my greatest concern, all things being equal.
I must applaud the efforts of brand name makers to police the industry (seeing that most online auction sites do not...I would probably do the same if I were them), I am just not sure they are setup to accurately investigate with an unbiased position. Ultimately leading to governmental legislation for online businesses.
12-07-2006 @ 2:20AM
jab said...
This post is almost as bad as the discussion board areas on eBay. An associate told the writer that a new eBay policy was bull----? That's big news!
As another poster said, these days eBay is damned if they do and damned if they don't, since their user base has gotten so big that there is bound to be a critical mass of people that dislikes anything they do (or avoid doing). I'm increasingly skeptical, however, of people thinking this critical mass is in any way the majority of users.
12-07-2006 @ 2:21AM
blah said...
If you don't like don't use ebay. Very simple.
12-07-2006 @ 2:22AM
Fruit Helmet Cat said...
I think it's a step in the right direction, but the cross-border restriction seems a bit flawed. I mean, do you really think Hong Kong & China want to buy that designer handbag? They can make the same thing for 5 bucks! I just don't believe that Ebay truly understands how the counterfeitors operate. They don't have to keyword spam the conventional way scammers do. All they have to do is post a picture and list it as a designer handbag. They make so much money they know how to get optimized in the search easily. Plus they are so organized they have IDs set up across the various regions and they just ship it from their asia showroom. They know how to go under the radar better than anyone. I'm really excited to watch how a company that can't even keep their counters from zeroing out thinks they'll be able to handle a country of a billion! rofl
12-07-2006 @ 2:23AM
Interested Investor said...
Another ludicrous ebay bash from the man with the axe to grind. So they try to do something positive and all you can do is disparage their attempts. Again you offer no constructive criticism, no solutions, you just want to have a whinge because you think they owe you a favour.
Ebay is a self-regulating entity. Buyer/seller feedback enables the community to weed out the rotten apples. So if this isn't working, perhaps they need to improve the feedback system or authentication of sellers' credentials. Or perhaps you could consider that the people buying the stuff just don't care and are happy with what they are getting. Gary, do you notice the difference between evaluating the problem and considering solutions, and writing "my friend says it's bullsh!t".
Bethany's - anyone who bought a suit from an auction advertised like that, thinking that it's anything other than a cheap suit (not an Armani), would be an idiot, or happy to buy a cheap suit knowing what they are getting. If the best thing about your product is the price, but it isn't being sold at the lowest price, then you don't have a competitive advantage and need to re-evaluate your business. Perhaps your products are better quality, have a wider range of styles, or you offer money back guarantees, quick shipping, whatever... communicate the benefits to your customers. If that isn't enough, sell something else or sell it elsewhere. It may be tough, but when you signed on to ebay you became part of the global marketplace. Accept it, deal with it, and move on.