Those who have been around the web and eBay awhile will probably remember that eBay once had its own payment system. I’m talking before Paypal. Yes folks, eBay actually competed with PayPal for a little while. Their payment system wasn’t very good and PayPal was clearly the choice among customers. Thankfully, eBay gave its users a choice.

Back then.

via Auctionbytes:

eBay is banning sellers from requesting payment through Google Checkout. The online auction giant updated its Safe Payments policy this week to add Google’s new payment service, Google Checkout to its list of online payment methods not permitted on eBay.

See eBay payment acceptance policy here.

I don’t think eBay is thinking this move through very carefully from a customer’s perspective if they are serious about banning not accepting payments made through Google Checkout. If more companies, particularly big corporate machines, said to themselves: now how is this going to go over with customers? I think the end result from both a PR and business standpoint would be greatly improved.

Sadly, that’s rarely the case. Big companies tend to put competitive fears and money ahead of the customer. eBay, you have nothing to worry about Google Payments — yet.

I think the word ‘yet’ is the instrumental part. By eBay accepting payments through Google Checkout they would help legitimize Google’s service. By saying no, they aren’t giving Google any free advertising.

Now let’s imagine that you happen to be one of the (very, very few) people out there who might like the idea of being able to pay through Google Checkout? By saying no to that, eBay is effectively saying “we don’t care about your payment preferences here.”

That’s a terrible perspective for any customer to have, no matter how you look at it. In eBay’s case, they could always reconsider if Google Payments ends up being more popular but the PR damage might already be done as later it will look like they had no choice but to support Google Checkout. And it’s extremely unlikely eBay will ever be able to buy Google the way they once bought PayPal.

I don’t see why eBay doesn’t offer a ton of different payment options to their customers. Well, yes, obviously I do because it’s a conflict of interest since they own PayPal. eBay had a good chance to take the high road here and do the opposite of what people expected. It’s not the competitor they hurt, but consumer choice.

Couple this move with the linking restrictions placed on the eBay bloggers and it sure seems like eBay has become overly possessive lately. Maybe these new management changes will help? Personally, I think eBay has gone downhill since spending way too much for Skype.

But hey Google, you are in good company. eBay doesn’t accept cash either.

Ironically looking back what was our very first post here about eBay? August 8, 2003, post #167: eBay says no to Google Adsense. History.

Did this post make you go hmm?

Maybe Related Posts (plugin generated)

• Why is eBay unwilling to offer Google Checkout?
• Paypal integration in Skype to finally be reality as GBuy lurks
• No cash payments allowed in eBay listings
• Google working on PayPal rival?
• $500 fine for using PayPal for gambling, porn or unauthorized prescription drug sales
• eBay slows, PayPal grows