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PROGRAMME 3: SHOP TILL THEY DROP
eBay and the online retail revolution
06 November 2007

Online auctions: 'Place Bid' button on a web page

Send Us Your Comments  Send us your comments about this programme

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How did one man use the web to turn a broken laser pointer into a $51billion company, creating an on-line shopping phenomenon that made him a fortune? A fortune so vast he now devotes his life to ‘responsibly’ giving it away.

eBay was founded by Frenchman Pierre Omidyar in his San Jose living room in 1995 as a market place for the sale of goods and services E-Bay turns tat into treasure, to the tune of $4.5 billion a year. And Britain is the world's busiest eBay nation.

As we compare and contrast the eBay story with other online retail successes and failures a picture emerges of a period in on line history where every thing was up for grabs, with winners and losers doing so in equally spectacular effect.

After graduating with a degree in Computer Science, Pierre worked developing software for Apple before founding Ink Development Corp in 1991. The company included an internet shopping segment that was later named EShop Inc.

Pierre was intrigued by the technical problem of establishing an online venue for direct person-to-person auction of collectible items. He created a simple prototype on his personal web page, and launched an online service called Auction Web in 1995. The business exploded as correspondents began to register and trade goods of an unimaginable variety.

Omidyar incorporated the enterprise; the fee he collected on each sale financed the expansion of the site. The revenue soon outstripped his salary at General Magic and he quit to dedicate his full attention to his new enterprise. Business expanded rapidly and he changed the company's name to eBay in 1997, and began to advertise the service.

By the middle of that year, eBay was hosting nearly 800,000 auctions a day. By the time eBay went public in 1998, the site had more than a million registered users, and by the end of the year, the value of Pierre’s personal stake in the company was nearly $3 billion.

We hear from Omidyar and those who’ve played a part in the story. We also offer an overview off the rise of e-tailing in the UK, what site’s people use and the extraordinary stories that have come about during to the rise of the web.

    Send us your comments

    - What big ideas do you wish you'd thought of?
    - What kind of items do you like to buy online?
    - What was your first ever online purchase?
    - Do you ever sell on eBay or other auction sites?
    - What's the best ever bargain you've got on eBay?
    - What are your tips for finding bargains on eBay?

    Send us your comments now - and we may feature some of your thoughts later in the series.

    Disclaimer: The BBC will put up as many of your comments as possible but we cannot guarantee that all e-mails will be published. The BBC reserves the right to edit comments that are published.

    Read what others have said..

    karin schmidt, Isle of Skye
    I am in my 70th year and didn't want any of that modern stuff like mobiles or a laptop. When I moved from Majorca to Skye 5 years ago, my children wanted to be able to contact me on my journey, so they bought a mobile for mum. I got used to it - and now I can't miss it. Then 2 years ago I had calmed down from the mad world outside the remote place where I am living now and I got a bit lonesome. Guess what: I bought a Laptop - and now I am a busy user of anything like e-bay, wikipedia, all the information I am interested in, and I even joined dating sites. I must say: THE INTERNET ENRICHED MY LIFE TREMENDOUSLY and I wouldn't be as happy and content as I am now without it. One of the best things about it is my e-mail-address. To get in touch with my friends all over the world without even leaving the house is fantastic!I enjoy listening to your show because it is so informative.

    Lisa, near Godalming
    I have bought nearly 300 items on eBay and have been delighted. Would not buy electronics, but variety includes 60's books, certain pottery and glass, tweed jackets, vintage buttons, stuff for my horses and dogs. The stuff has to be accurately described or you can send it back and in 3 very different disputes I have had, eBay have been brilliant and refunded. Overseas vendors no problem so far for me - stuff from Europe and even Hong Kong has arrived within days. Excellent way of collecting - although the fun of rifling through shops goes. Have happily bought and picked up a farm trailer, bought bubble wrap, CDs, a couple of paintings, funky gifts. Have not sold yet as too lazy. Have had amusing email exchanges with lots of vendors - lots of independent enthusiasts who now see it as their prime marketplace rather than antique fairs/shops. I find Paypal easy. I use different passwords for different retail sites and have never had a problem with payments being incorrect/fraudulent.

    harvey.family1@ntlworld.com
    eBay is a phenomenon of our time and a great example of how to execute a fantastic idea. However, I think it's about time people realised we now have other trading sites available to us. I personally use ubos.co.uk.

    Peter North, Sheffield
    I sell on Bideasynow.com its a great new UK auction site and ideal for the first timer, Its a great way to start with a store if you've multiple items.

    Debbie Lamb - Cardiff
    I buy and sell on-line, I usually buy and sell childrens toys/books and unwanted items from home. The best bargain I have had is that I bought a buggy/stroller for 1p! A real bargain! Best tips for buying bargains is to search on part words as people who have spelled things wrong wont be found by many and that way a low bid is usually a winner!

    Richard Smart, Cheshire ebay ID: smartpackagingsto
    Good evening,I have been selling packaging supplies to the ebay community for the past few years and my business is expanding very fast due to the high demand with ebay. I sell bubble wrap, jiffy bags, and sello tape etc...I still buy on ebay aswell! Mainly for vintage clothing.Many thanks to the founders of ebay and the show, keep up the good work and we will continue to make ebay tick over with postal supplies.Kind Regards,Richard

    chris simcox
    i have used and bought loads of items off ebay and would recomend it to any one, however the only problem i have is with feedback. Many sellers wait to leaves you fedback until you have left feedback for them. If you leave negative feedback because there was a problem then they will do the same to you!

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