eBay Angers Customers and Sellers

Back in February, I wrote on my marketing blog about how eBay angered its sellers by raising the fees it charged.  Now, eBay is angering consumers and sellers by requiring all U.S. transactions to be paid via eBay’s PayPal system.

eBay claims the move to a PayPal-only payment model will reduce fraud.  Everyone else claims it’s a move that adds to eBay’s bottom line but does little to help reduce fraud.  Either way, eBay is laughing all the way to the bank, one PayPal fee at a time.

What do you think?  Will there ever be a viable competitor to eBay?  One is desperately needed in the online auction market.

Image: Flickr