Any thoughts on the eBay / PayPal split-up?

[jeffweico]

For those that do not know yet, at some point later this year, eBay and PayPal will split up, becoming two separate companies. eBay Enterprise will also be split off from eBay, leaving eBay to stand alone.

PayPal seems to be in a relatively good position. They will most likely still be the dominant payment processor for eBay since they are so entrenched. And they have moved to expand into other areas.

eBay may have issues. The bulk of eBay's growth in the past few years has come from PayPal, meaning they will have to find new ways to grow the company, since they can no longer depend on PayPal to make them look good.

If you own stock in eBay, this could be a good thing, because analysts say the separate companies may end up trading for more than it currently does as one company.

For sellers, this could mean higher eBay fees. It could also mean, however, that PayPal will no longer be the ONLY payment processor they allow for certain items and in certain categories. It could also mean that if your eBay account goes down, your PayPal account will not automatically follow. But I am just SPECULATING. Nobody knows for sure, because we do not know what is in their operating agreement - and that is likely to remain private.

I don't see this affecting stealth in any major way, although it WILL change the game somewhat. I plan to have a few extra accounts in reserve before the split, just in case.

Anybody have any other thoughts on this?

[josh]

nice info , I am really not in the know enough to speculate on what could happen. I would hope eBay do not raise their fees anymore. Although they would be two separate companies i am sure they would still be linked in some way?

[Haidukken]

I'm sure it'll bring new methods to stealth game and I'm sure some creative minds will find new and creative ways to have stealth accounts.

I'm very interested to see if there are any changes when it comes to different countries.

It really is a coin toss when it comes to account creation and stealth in general. On one side of the coin, eBay might relax a bit to make sure it's got sellers to charge the fee from, but on the flipside they might go full retarded and start harassing even more or ask for extra details, more security.

BUT, overall I believe that the existing accounts are more or less fine and carry on as nothing has happened. They will not be changing anything for existing customers because I don't think they want to create any headache for base they need to build on.

I'll just make sure that I have enough accounts going as the changes happen and then see how it goes and what changes will they make when it comes to account creation.

[jakobrockz]

Maybe after the split, Amazon will start accepting Paypal?

[jeffweico]

Originally Posted by jakobrockz

Maybe after the split, Amazon will start accepting Paypal?

Well, it COULD happen, although I think that Amazon still has dreams of Amazon Payments taking off.

[slokor]

Doubtful.
Amazon doesnt need nor want to deal with paypal.
Besides, the split sounds like its more for financial/investment/accounting purposes than anything else. I don't think anything will practically change as a result of it.

[BlackLion]

A New paypal alternative will replace paypal later this year. No one knows what it is yet.

[colfor]

Originally Posted by BlackLion

A New paypal alternative will replace paypal later this year. No one knows what it is yet.

Where did you get this information from?

From what I have read, Paypal and eBay will remain partners, and have operating agreements in place for the forseeable future

http://tamebay.com/2015/02/ebay-and-...agreement.html

[jeffweico]

I agree with Colfor. eBay bought Billpoint at one time and tried to get eBay users to use their service. In fact, they DISCOURAGED the use of PayPal back then. You couldn't mention PayPal in your ads, you could use the PayPal logo, but it had to be microscopically small, etc.

Even after all that PayPal won. So, I don't see eBay trying to create a new service. I mean, they COULD, but too many buyers have been trained to think that PayPal is the only safe way to pay. Also, since the company will now actually be two separate companies, there MUST be an agreement in there somewhere to keep PayPal as their preferred payment service for X number of years. Otherwise PayPal would be not be worth nearly as much as a separate company.

[mchgrt]

eBay and PayPal will still have agreements to share data so I don't think this will improve things for stealth users

[Lost in the Supermarket]

Originally Posted by jeffweico

I plan to have a few extra accounts in reserve before the split, just in case.

Anybody have any other thoughts on this?

Good point. It might be good to have a few extra accounts....in each. Without using the same contact info, email address etc etc.

A few standalone pp accounts to match up with standalone ebay accounts when things get all sorted out. That way you don't burn two accounts (1 and 1) with a mistake.

[BlackLion]

Originally Posted by colfor

Where did you get this information from?

From what I have read, Paypal and eBay will remain partners, and have operating agreements in place for the forseeable future

http://tamebay.com/2015/02/ebay-and-...agreement.html

Sorry for the late reply. I didn't receive an alert for this thread. Here is where I found my information.

Apple loses global payments executive to eBay's rumored PayPal replacement

[dallis]

PP profits have been propping up EB's balance sheet for years, once they are no longer a unit of EB fees are going to skyrocket.

We're already seeing the start of this... right after the breakup announcement EB cut off the 3 free relist option and raised other fees; in this cycle they're reducing the 100 monthly free listings to 40, 20 of which have to be in the collectible category or they can't be used, and 1 & 3 day auctions will cost a dollar extra, + all the other raised fees.

Expect to see EB phase in more of the same every 6 months, until they actually show a profit that's large enough to satisfy Wall Street.

PP and EB plan to remain close for now, but as PP expands into other markets, I think EB will very slowly and very gradually cease to have as much influence over PP it does now.

PP's behavior on other sites is very different than it is on EB.

In short, PP is good for EB's business, but I don't think EB is good for PP's business.

[123]

It's going to be very interesting to see what happens, hopefully not much changes as far as the stealth game goes, maybe just more payment options on ebay. But I could definitely see ebay fees going up. As for amazon doubt they would ever take paypal, dont see much benefit for them. Only reason so many online stores takes paypal is because they would lose a significant amount of customers by not taking paypal. Amazon has reached the point where that's the last thing it needs to worry about.