Monday, October 6, 2008

eBay To Cut 1000 Jobs in Q4, What's Next ?

It's in all the papers and on CNBC today that eBay will cut 1000 jobs and reduce new hire positions. This only shows what we in the affiliate world have seen coming for months. With fee restricting every few month's and the loss of confidence from affiliate marketers and eBay sellers we are sure more news will be coming from the company. Look for eBay to cut back even more as the economy slides down. Common sense would dictate reducing expenses during hard times. That what all business's do. Whether it's your local builder or painter or a huge company reasoning says to cut back on money going out until money comes in. Basic business.
Who will suffer. Well eBay employee's for one and then stock holders. After those folks take a hit look for eBay to cut back in other place's. Were we don't know, but advertising is usually on the list when a company is having issues. According to a story on Cnet eBay just purchased a Danish classified service which would show us that they are continuing to try expanding world wide with hopes of generating revinue abroad.
Face it eBay isnt what it use to be. People don't spend hours browsing sites selling stuff. Internet users are becoming more sophisticated and tend to do more research before buying. With so many websites to choose products from their are only a few reasons a shopper would go directly to the site. One is close outs and another is buying used items. Also consumers are using their work computers to buy during their lunch hours or free time. Since most folks use the Internet at work these days they tend to turn their computers off at the end of the day and not turn on it back on till they need to. People are just getting sick of the same old thing online. The desire isnt there anymore to sit for hours and browse the site.

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