Overhype

by Joseph Weisenthal




Enthusiasm Over Kijiji Has A Familiar Ring

from the meg-vs.-craig dept

This week, eBay announced that it would launch a domestic version of Kijiji, its free classified ads service, which inevitably draws comparisons to Craigslist (25% owned by eBay). The company has a big challenge cut out for itself, particularly considering the loyalty that Craigslist has among its users. But analysts are already excited about Kijiji's potential. In a research note, UBS analyst Benjamin Schachter talked up the potential size of the market and argued that the site could drive usage of PayPal and Skype, as users look for mechanisms to communicate and engage in transactions. Does that sound familiar? It's exactly the same logic behind the Skype acquisition, that usage of it would be boosted by eBay's buyers and sellers. That doesn't seem to have occurred to any significant extent, however. There's nothing wrong with eBay trying to capture a chunk of this market, but any excitement about major profits or synergies seems awfully premature.

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  • identicon
    Anonymous Coward, 6 Jul 2007 @ 3:05pm


    There's nothing wrong with eBay trying to capture a chunk of this market, but any excitement about major profits or synergies seems awfully premature.


    Of course its premature, these are analysts we're dealing with. Mind you if eBay were to link this new startup properly with Paypal, Skype, and eBay itself things would definitely be looking up for them.

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 6 Jul 2007 @ 3:20pm

    Kiiiiiiiiiiiiiiiiiii!!!!!!!!

    Way too many letters that look way too much alike.

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 6 Jul 2007 @ 3:38pm

    Analysts are BS.

    Just buy or sell anything and they (and their companies)make commission money - even if you go bust.

    When are people going to wise up? (never I think)

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 6 Jul 2007 @ 3:59pm

    Despite the terrible choice for a name Kijiji has got a chance to beat Craiglist (or at least someone else will). Craiglist, as far as I can tell, refuses to innovate (c.f. recent 'visual' browsing debacle). It thinks it can ride its initial success forever. Right now Craiglist is only its user-base, and while that's a powerful thing, switching costs in that type of business are very low, the direction of the wind can change quickly.

    reply to this | link to this | view in chronology ]

  • identicon
    David Binkowski, 6 Jul 2007 @ 5:09pm

    Agree with AC

    Craigslist has refused to innovate, much the same way Ebay hasn't figured out that there's a cap on how much you can screw your sellers and the demand for useless crap via auctions while beating the Street.

    I'm still waiting for Google to join the auction business, because as stated in the first comment, Ebay clearly is clueless on how to integrate existing properties. Give them a year, they'll owe a 50% market share and then in classic Ebay fashion ruin the site by charging for it. Either that or they'll take one in the behind and offer up Google ads to earn revenue.

    reply to this | link to this | view in chronology ]

  • identicon
    mike, 6 Jul 2007 @ 7:36pm

    kijiji is way better

    I have been using Kijiji for a while now, its MUCH better than craigslist, in fact almost ANYTHING is better tham craigslist, I think I have about 6 ads a month running on kijiji, and not only is it easier to use, it also looks WAY more professional and seems to have more traffic (at least my local ads get more) than craigslist.

    reply to this | link to this | view in chronology ]

    • identicon
      David Binkowski, 6 Jul 2007 @ 7:43pm

      Re: kijiji is way better

      I've looked around and there are barely any listings on Kijiji. I'm calling bullshit on this one, folks. In fact, in checking my former hometown of Detroit's listings, this wonderful spam came up under electronics: I'm not saying Craigslist doesn't get spam, but it's a bit early to declare it way better considering it's barely even being used. On top of that, some of the most popular Craigslist categories, like, musical instruments, aren't even listed on Kijiji. Let's not say that because it has colors or you work for Ebay that it's a better site, mmmmkay?

      reply to this | link to this | view in chronology ]

  • identicon
    wondermike, 7 Jul 2007 @ 11:41am

    Craigslist attitude to serve the public

    Craigslist is run with the idea of the organization serving the public good instead of focused on attempting to generate as much revenue as possible. Wonder how grating that must be to the investors behind Ebay.

    reply to this | link to this | view in chronology ]

  • identicon
    puzzled, 25 Jul 2007 @ 1:11pm

    Real Estate for Sale

    What does Kijiji charge if real estate is sold from ad or otherwise. I know there has to be a charge but darned if I can find it in their policy.
    HH

    reply to this | link to this | view in chronology ]


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