posted on March 6, 2003 07:59:49 PM new
Here are the key, practical, research findings from the eBay seller survey, which many of you contributed to.
Any comments would be appreciated. Also, what do you think an optimum, online auction payment method would look like?
KEY, PRACTICAL RESEARCH FINDINGS:
1. Higher seller sales volume is positively correlated with credit card payment choice, probably due to seller convenience, especially money management services that credit card processors, like PayPal, provide.
2. Products, which are difficult for the buyer to assess suitability, which are used, and which do not have warranties, tend to drive the payment choice away from credit cards. Since these products are more risky for both buyer and seller, sellers probably try to steer buyers away from credit cards, which place the buyer in a relatively strong position, when returning an unwanted product.
3. Seller reputation rating has no impact on payment choice. However, negative seller reputations are positively correlated with a seller’s not offering a credit card payment option to the buyer. Sellers with many negative ratings probably do not want buyers to have a credit card’s high bargaining power.
