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eBay Is Injured... Somehow
An excellent Seeking Alpha blog post with over 100 comments telling how John Donahoe destroyed eBay
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Doc
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06/05/2015 - 2:40 PM
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This discussion is about Adam Klein's Seeking Alpha blog post titled eBay Is Injured.. Somehow. It is a scathing finance blog post that really hits home about what many of us have been saying about what happened to the good old eBay we once knew.

So far after three days Adam's post has drawn 105 comments by mostly former ebay sellers telling their tale of woes.

discussion is about Adam Klein

Last year, eBay (NASDAQ:EBAY) took a serious blow when Google (GOOG, GOOGL) released algorithm update Panda 4.0 in May 2014. Google's update exposed additional web developer spam-loopholes used to boost search rankings. It turned out that eBay was one of the most excessive users of such subterfuge, exposed by Google for using countless "back-door" websites filled with spam links that drive eBay listings high into Google search ranks. eBay lost around 80% of its Google search exposure overnight, and has not regained old exposure percentages - not even close.

Until April 2014, Google put eBay listings into almost every product search. That exposure likely translated to a comparatively high purchase rate, for the simple reason that eBay's product listings often deliver very low prices comparatively, due to eBay's large offering of second-hand goods.

With Google's Panda 4.0 release, eBay disappeared from Google searches, and after a year, has remained at 5-7% exposure rate compared to April 2014 (citing fair-handed personal observation throughout the year).

This drastic decrease in exposure would translate to a sizable loss of sales, in addition to a few other issues eBay is having internally with sellers. Before we look at seller issues, let's look at one interesting shift in eBay's balance/income sheets from last year that display another sizeable cost to note.

Please click here to read the remainder of Adam Klein's Seeking Alpha article. And be sure to read all the comments below this excellent article.

John Donahoe totally destroyed eBay MarketPlace. Whether they sell it to Alibaba or another, or try and repair all the damage Donahoe did remains to be seen!

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