posted on January 12, 2001 03:03:55 PM new
Just finished reading the AuctionWatch article Yahoo Fees: For and Against.
On the "nay" side, as expected, are many Yahoo Auctions sellers who say they are jumping ship and heading back to eBay or abandoning online auctions altogether.
posted on January 12, 2001 05:38:25 PM new
As a follow-up, the article also was in error on the point of how much revenue Yahoo!Auctions will derive from their ill-conceived decision:
Blodget predicted the auction fees could add $30 million to $80 million in revenue for 2001, or 3 to 5 percent of Yahoo's total projected revenue of $1.4 billion. He even agreed with Yahoo's reasoning that charging fees would heighten the overall auction experience for its users by improving the quality of listings on the site.
Merrill Lynch's Blodget re-issued his report saying he had ... err ... ummm ... made a mistake in not really looking into Yahoo!Auctions.
``We believe that the net revenue added in 2001 will be closer to $16 to $30 million, rather than the $30 to $80 million we initially estimated,'' Blodget wrote in a research report.
