Tag Archive for 'livedeal'

YP buys LiveDeal, Zecco goes wild, other news

LiveDeal is acquired by YP Corp., an online classified ads service I reviewed in October, has been acquired by YP Corp., a publicly traded company operating the Yellow Pages site From the press release published yesterday at BusinessWire:

Under the terms of the acquisition, LiveDeal shareholders received 15,968,514 shares of YP common stock. LiveDeal will remain an independent entity and a wholly owned subsidiary of YP and the two companies will leverage one another’s content, sales teams and technology to strengthen their individual product offerings

The deal is valued at around $12 million and is just a drop in the series of acquisitions flooding the news these days, a clear sign of a hot IT market. Other noticeable acquisitions:

and in the rumors:

Zecco removes minimum balance requirement

The secret promotion at Zecco is not a secret any longer. I just received an email that they have removed the $2500 minimum balance requirement making the deal even sweeter.

Zecco is a financial portal offering $0 commission stock trading. If you are thinking of opening an account at Zecco, as I am, check out this and this review at Sun’s Financial Diary to get an idea of what to expect.

After reading the reviews myself, I stand by my previous conclusion that $0 commission trades are a good deal but Zecco has a long way to go improving their service and customer support. Is the trouble worth savings? You will have to choose this for yourself.

Discovery Channel to close stores

After a series of recent revenue losses the network decided to close its mall-based and stand-alone Discovery Channel Stores to focus on its e-commerce platform and partnerships with large retailers.

Discovery Communications announced on Thursday that it will close its 103 stand-alone and mall-based retail stores, cutting 1,000 jobs, or 25 percent of the company’s global workforce, in the process

The overhaul is expected to be complete by the end of the third quarter. Does store closings mean we will see close-out sales is yet to be seen and I sure will be keeping an eye on it.

Source: Discovery closing stores, slashing 1,000 jobs at Reuters (via WiseBread)

eBay + CraigsList = LiveDeal

You must have heard about these two behemoths: eBay is the largest online auction while CraigsList is the largest online classified ads source.

Back in 2003 a man named Rajesh Navar – former eBay employee – saw an opportunity in the fact that eBay misses out to address well the market of goods sold locally. Those would be large items like cars, furniture that usually require a local pickup. CraigsList on the other hand was good for these but was not very business/entrepreneur oriented. It served well as online newspaper but lacked the conveniences eBay provided for pro-sellers.

LiveDealAnd so LiveDeal was born featuring a mix of functionality that the two sites provide. Similar to CraigsList LiveDeal doesn’t charge anything for listing, selling or buying an item. Yet it utilizes seller feedback based rating (the feature that made eBay very popular) and has advanced listing features. Transaction wise – LiveDeal leaves it up to the buyer and seller to settle it. To that extend LiveDeal acts more like an on-line classified ads source. Here is a short summary comparing the three web sites.

eBay CraigsList LiveDeal
Fees Multiple fees: Insertion, Listing Enhancements, Transaction, Premium Accounts No fees No fees to list up to 10 items. Fees for Premium Accounts. Listing Enhancement fees
Sales Type Price is defined via limited time open auction Up to the buyer and seller to settle the price Up to the buyer and seller to settle the price
Listing Enhancements Advanced features: Featured, Highlighted, Sub-title, Bold, Pictures, Gallery, Reserved Price, Buy Now, etc Pictures Some features: Home page & Category featured, Highlighted, Pictures, Buy Now
Pro-seller support Store Fronts, Batch Submissions None Store Fronts, Batch Submissions
Listing Duration 1-10 days Major US Cities: 7 days for classifieds, 30 days for resumes;
Other Cities: 45 days.
up to 30 days
Buyer Convenience Advanced search & sorting functionality, email alerts Search by city, category, price Search by ZIP-code, category, price, email alerts
Countries Serviced Multiple Multiple US, Canada
Banner ads Few to no ads No ads A lot of ads

It will be fair to note that due to the fact that eBay controls the sales transaction itself it can provide extended user interface features which the other two web sites cannot. For example eBay allows you to search past/completed auctions – a very convenient feature if you want to see what similar items sold for in the past.

eBay have learnt their lesson and is aggressively moving into the local markets. They improved eBay autos to make a better accent to the seller location. They are adding classifieds to eBay listings. They purchased 25% stake in CraigsList and launched an international classified brand:

Will LiveDeal present any serious threat to either eBay or CraigsList? I doubt. It is now 3 years since it launched and according to this Alexa chart it barely made any dent in the other two web sites popularity.

LiveDeals Alexa

eBay has practically monopolized the market. Buyers are happy with the advanced features the web site offers and don’t see the numerous fees eBay charges sellers. Sellers see a potential in the huge buyers base eBay offers. I don’t think the picture is going to change anytime soon.

Read more about LiveDeal here.

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