October 5, 2007

eBay deleting auctions with Jajah buttons

Mike Butcher

33 comments »

It’s a little like a dirty fight in the school yard: Little kid throws stone at big kid and when the teacher turns round, the little kid starts bawling and the big kid takes the heat.

On Monday Internet telephony company Jajah started releasing “call-me” buttons which sets up a real phone call between two parties, with the voice re-routed over the Internet. Jajah doesn’t require sign ups, downloads or headsets – you use a normal phone, the caller pays nothing and the contact details of both parties are kept private.

These buttons could be embedded on any web page, including “auctions”, Jajah pointed out, helpfully. A day later they’d changed the wording to “customized for eBay”. Jajah clearly knew what it was getting into.

Predictably the buttons started turning up on eBay and predictably eBay has started deleting entire auctions which carried the buttons. Perhaps eBay is also smarting from reducing its valuation of Skype by $1.3 billion, which it bought in 2005 for $2.6bn, since it was always meant to be Skype which connected buyers and sellers over VOIP.

eBay’s response to the resulting furor amongst those auctioneers who’ve seen their auctions vanish has been that the Jajah links “violated the eBay Inappropriate Links policy… links or other connections to live chat systems are not permitted.” That is, unless the chat system is Skype of course.

Jajah co-founder Roman Scharf says he is “currently seeking to get clarification from eBay.” He may have to wait a while, but what does he care? The longer the controversy continues, the better for Jajah.

Ironically, eBay may have to get used to deleting auctions which carry competing VOIP links. As our recent post on TringMe shows, there is any number of VOIP startups clamoring at eBay’s gate with call me buttons.

I don’t have much sympathy for eBay. The reason it is having to deal with this kind of thing is because it has not made proper use of Skype in auctions, limiting its use to Power Sellers. When average users take matters into their own hands to help their auctions, eBay can hardly cry foul.

Let’s remember that when eBay bought Skype in 2005 it said: “Buyers will gain an easy way to talk to sellers quickly and get the information they need to buy, and sellers can more easily build relationships with customers and close sales. As a result, Skype can increase the velocity of trade on eBay, especially in categories that require more involved communications such as used cars, business and industrial equipment, and high-end collectibles.”

Unless eBay really starts promoting Skype for the reason they bought it in the first place - they will have to go on deleting auctions and annoying the customers who made them successful in the first place.

Update (Nick): Jajah has started a petition protesting eBay’s actions.

  • Sphere It

Comments

Well when you have a monopoly you have to flaunt it. It seemed pretty stupid to customise a widget for eBay when Jajah knew they were going to get banned.

Its like every other VOIP that tries to integrate into eBay. With the 1.4 billion write off already on Skype or whatever it was, you would have to image this was going to happen quick smart.

I think eBay’s entitled to ban them when they own a competing business, and more importantly when JaJah really want to just capitalize on eBays success. You might not agree with me, but hey, thats my opinion.

:D

 

You write this in your sleep? Go back and proofread!

 

for ebay, bought skype to boost sales, then now it is kicking away sales to keep skype.

 

I can see why eBay doesn’t want these click-to-call buttons. They want conversations between sellers and buyers to be traceable through their own contact system. When you’re talking to someone over the phone, it isn’t easily disputable what was said. It’s always better to have everything in writing, especially when dealing with a complete stranger.

 

Funnily enough, the Jajah CEO worked for eBay briefly when PayPal bought VeriSign’s payment business and hated it. I bet there’s even less love lost now….

 

the question is … would they have deleted the auctions if it was skype buttons?

 

Too bad for eBay. I think the Jajah Buttons are great! I posted my opinion about it on my blog:
http://www.designvsart.com/blog/

 

seems like eBay is making such moves for current challenges being faced by them
http://vidsonly.blogspot.com

 

Jajah has no distribution method and they tried to use the PayPal strategy… they were stupid to think eBay would allow it.

PS: Jajah… what a HORRIBLE name and a HORRIBLE logo…

 

eBay is just odd. I recently registered an account, and posted a mesasge asking a question about an auction on the same day (if the buyer is willing to ship to Taiwan), then my account got banned the next day! Ebay wouldn’t tell me why (only to say that I violated some policy which they cannot disclose) and ask me to fax them my credit card info. No big deal really, but I just don’t want to. It feels like crap to be accused like that. I registered, post a question, and I became a criminal? I guess this was a sign that they are not doing too well. Becomeing beauracratic like that. And now this stupid stunt?! Darn, they are really NOT doing well, huh?

 

Stephen: Jajah is actually the Asian version of “Haha,” many of my Korean friends have used it in IM conversations. Its actually not *that* bad of a name…

 

ebay is weird these days. They are making something that is supposed to be simple too difficult.

 

ebay is a disgrace. they company is going down the toilet every since the “Powersellers” took over years ago

 

Yeh. If ebay is going to limit itself to how it is going to use Skype, then there is not stopping companies like Jajah. ebay has got to blame noone, but them.

 

Run with the little guys, ClutterMe.com

 

We tried to penetrate the ebay market with click to call over 4 years ago, what we found was that ebay sellers really don’t have time to talk. Exceptions in a few categories only. When you make 1-5% margin selling you just don’t have time to talk, and the ones that do post their TF number in ebay for this. Jajah and Jaxtr are well funded late comers and are just trying to grow their business any way they can. If you visit our site, we have a flash demo we created over 3 years ago, post your click to call buttons and links in webpages, emails, ads, ebay listings, anywhere html is accepted. We even pitched some folks at LinkedIN (ceo of jaxtr from there). So, jajah and jaxtr are just trying to do with their technology what we said to do with thinkingVOICE Click to Call.

 

eBay blocks ALL non-secured communication methods. Even Skype is rarely used and in many cases blocked from listings. Most fraud is caused by people engaging in activity off eBay. It’s actually a good thing for the community at large. Sad, but true.

 

surely as ebay have a good 99.999999% of the online auction market they are lining themselves up for anti trust issues with this anti competitive behavior.

 

As a Platinum Powerseller, I can tell you first hand that sellers on eBay do not want an easy way to communicate with buyers via voice - buyers on eBay are the most time consuming customers in the world. We beta tested the skype buttons when they were first made available in private release, and I would get calls from people who would talk for half and hour about their cat’s digestive problems (we sell clothing and jewelry). If you have a problem, email me and I’ll get back to you. That works, and its easier.

After our initial tests, eBay quickly changed their tune, saying skype was mainly for high value transactions. The logical mis-step is that If I’m buying a $20,000 diamond, I don’t mind paying $0.10 to call the seller - the additional of skype does nothing to smooth the friction point.

That being said, JaJah is smart in using this as a PR coup - but from experience, sellers - please do not add skype me or other voip buttons to your auctions - you will be on the phone all day and it won’t increase your bids one iota.

 

Thinkingvoice is still in business?

 

Yep, we have been under the radar… intentionally. Thanks Sig,

 

I think ebay fears competition. It’s something Google enjoys sensing.

Note: I wonder if Google Product search (aka Froogle) will consider doing something similar with GrandCentral with what ebay did with skype?

 

#21
what exactly does “under the radar … intentionally” mean. that can mean many things … are you not wanting more customers? … reorganizing? … bankruptcy? … no money for funding? … seeking funding? … preparing for new offerings? etc.

 

How often do you call an ecommerce site before you make a purchase? How often do you email an ecommerce site before you make a purchase? Comparing emailing and calling - how many more times do you email a website over calling a website to make prior to a purchase?

If you step back and do a common sense ‘litmus test’ I’m 100% positive you haved emailed far more than phoned - that’s if you have ever phoned (or emailed instead of looking for FAQs).

The addition of these 3rd party phone call widgets is a Fraud/Trust and Safety issue. If you ever work for an ecommerce site you’ll see that pretty clearly. As the eBay sellers have said in the comments above, if adding in Skype to the listings was moving the business you would have seen it added to the website already. Its just common sense.

 

This is ridiculous. Remember its not as if Ebay are providing a free service - you have to pay to get that space on Ebay to list your product. Therefore, as a paying customer you should be able to put what you want on the page without having to worry if you are treading on a competitors toes.

Another example of why Ebay is no Google

 

@ 25: you try putting whatever you feel like into your Google Adwords ads . This is something which “you have to pay to get that space…” and see what Google does. Ignorant comment if I ever read one.

 

Tried it…not that easy seeing I have to go to m y PC everytime I want to make a call….

 

Not to play devils advocate. When MySpace did the same as eBay, loads here cried bloody murder. In a way, it is the same thing.

Each one of these companies have the right to do what they feel protects their brand and equity. We can also disagree. And we can also not be consistent in the way we disagree across these companies.

In this case I have to side with eBay, although, I am not so sure if full removal of auctions was too much.

 

Nothing strange, here. It has always been an ebay’s rule, since 2001. So, it’s Jajah’s fault, they had to CAREFULLY read their rules before stating that Jajah buttons could work on ebay. I commented it yesterday on my blog: http://www.lucafiligheddu.com/.....eally.html

 

Hm. I am a bit disappointed with TC’s readers’ response to this post.

It seems to me that when Mike says something is a bad idea it is advice, not moral or economic protest. The responses here seem to suggest that Ebay is simply acting as a business, which is perfectly true… but how I read this post, and the way I genuinely feel, is that for Ebay to be a founding father of net business, they aren’t behaving like it. Decisions to delete these listings, just like the decision to forbid Google checkout, resemble traditional business strategy–and this works for now. Will it ever stop working? I’m not sure. I get angry with sites that do such things and stop visiting them, but I can make money on Ebay (I am an Ebay seller for a retail store), and at the moment, that comes first; hence the friction that allows Ebay to do this.

Will the changes we have seen with the internet (i.e. free-content) be able to carry Ebay-type business? Or are they too heavy? That is not rhetorical, I honestly am not sure.

 

It’s easy.
If the users want the call me button they have to use the link on there entry’s.

Two things can happen:
1) ebay remove all entries with the call me button
2) ebay will allow the call me button.

If 1 –> to less users want the button and there is no chance to change this
If 2 –> a lot of users want the button and ebay can not remove the entry’s

So all ebay users can make the decision.

I suggest : put in the Call me button :-) and show who make the music

 

Did eBay learn nothing from their scuffle with PayPal before they purchased them? This is the exact same thing! eBay did not like others innovating around their app, and deleted auctions that allowed people to pay with PayPal. Eventually they gave up the fight, recognized the value, and purchased PayPal. But with the recent talk of the non-existent synergies between Skype and Ebay, a purchase of Jajah by eBay may not be likely. Jajah really seems like a solution looking for a problem. Dialing in a phone number (that you can read of the internet) on a regular phone is a pretty killer app. If you don’t want people to know your real number, you are probably doing something shady.

 

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