Ebay is under the mistaken impression that sellers work for them, rather than the other way around. Sellers are the customers of Ebay, not buyers! Sellers are the ones who pay all the fees and keep the lights on.

With its new feedback proposals, Ebay is basically saying to its customers:

"Go to hell! We don't need your business! We don't care about your concerns! Your opinions don't matter to us! We're so big and powerful that you can't do without us! We can do whatever we want!"

Adding insult to injury, we've been told the changes will be good for us. (If the changes are so good for business then why did so many Ebay executives sell off their stock just a few weeks before announcing the changes? Apparently insider trading rules also don't apply to Ebay.)

Lower insertion fees and free gallery fees will increase profit by increasing volume. On the other hand, increased final value fees will reduce volume and therefore reduce longterm profit.

It seems that Ebay is going down the same road as many obslolete businesses have done in the past, trying to grab a bigger and bigger slice of a shrinking pie. (or one that's about to shrink) As sellers leave will they keep raising fees until they get 100% of nothing? Slowly but surely that's where they are going.

Instead of increasing profits by encouraging more sellers and more volume. Ebay thinks it can win by driving away business and taking a bigger percentage from what's left. It's a recipe for disaster!