An open letter to john donahoe
November 7th, 2008 by catpower327Hi everyone,
I have decided to stop marketing the eBay Partner Network (ePN) to shop for a host of reasons, the paramount reason being that the system is run by a man named Steve Hartman whom I believe to be the single most dangerous person from the affiliate marketing industry. Hartman admits to having no experience from the business of affiliate marketing yet he somehow knows how to run a system of through 87,000 marketers.
He is also the genius that brought usYahoo advertisments on eBay. Perhaps the fact that ePN and the struggling Yahoo Publisher Network (YPN) is additional info than a strange coincidence: both claim to become “partner networks” and both companies seem to be allowing monkeys to directed the zoo.
ePN should have and could have been the largest and most popular commission-based program that the web can have ever experienced, but due to the ineptitude of Hartman and the “disruptive innovation” of his boss, eBay CEO John Donanhoe the network is on a path of certain failure. On August 20, 2008, ePN terminated hundreds of affiliate accounts, approximately 90 days after the system started, to shop for sending poor quality users. Hartman called this traffic, “not engaged enough“. Many people argue that it would be extremely challenging if not impossible for a new system to garner enough meaningful data in that short time period to make an accurate decision, but eBay seems to have done the impossible. Not only can they determine how engaged a visitor should be after coming through a partner link, but using their secret and magic metrics they can determine if that user would have bought on eBay exclusive of the affiliate. This means that eBay will know whether visitors that you send would have bought on eBay without your help. If they make this determination i will prove to be penalized to shop for the purchase and it could lead to i being removed from the network. That is a pretty amazing and unbelievable feat considering no other network from the history of the world has been able to extract this article. This “extra sensory ability” fits loosely into John Donahoe’s “we-know-better-what-i-need-than-i-do” mentality that he has dubbed “disruptive innovation”.
The biggest problem understanding the eBay/ePN network is inexperience and insane systems and processes. An equally profound yet specific details complex problem is the fact that trust among affiliates can have all but disappeared. Many experienced affiliate marketing professionals have taken their millions of buyers to Amazon.com and other smaller niche-focused sites. This means one thing to purchase eBay Sellers:fewer buyers for the upcoming Christmas season. Fewer Christmas shoppers means lower sales and less-than-glowing Q4 reports. This all spells unhappiness for Sellers and to order EBAY stockholders.
As of this writing, EBAY stock is worth 61% less than it’s 52 week high. The stock is currently trading to shop for less that $14 per share even with a recent substantial “buy back” by eBay, inc.
Is this just SOUR GRAPES?
Some of it certainly is sour grapes. I miss the old eBay. I have been buying, selling and trading on eBay.com since the times when they gave a $50 free seller account to anyone in consideration of an message address and sent out paper invoices that you paid by paper checks. I can’t even buy since Sellers on eBay and pay by check anymore. eBay is forcing PayPal, their electronic payment processor down the throats of both Buyers and the dwindling pool of Sellers.
UPDATE: ePN and Steve Hartman Extortion Attempt
Yesterday, October 27, 2008, I were contacted via phone by Steve Hartman from relation (or retaliation) to a private communication sent to the Company of the President, John Donahoe. These emails were sent regarding my concern over eBay censoring unpopular forum posts. Donahoe’s frat assigned “Michelle” to correspond understanding me and wendi said that my issue had “drawn the attention of the President” and that she wanted to get more information. Since I had the “attention” of John Donahoe, even if by proxy, I thought it best to quickly turn the topic to the blatant tracking errors in the ePN system. I specifically asked that the information that I is sharing not be sent to ePN because they have a history or retaliating against affiliates that speak negatively about the system. Michelle violated that confidence and forwarded the calls to Steve Hartman. Michelle, you broke our trust and i have proven to seem to be a person of low character. I hope your Mother is pleased.
On October 27, 2008, at 3:42 PM CST, Steve Hartman called me since 408-967-6000 and immediately began to berate me about contacting Donahoe’s street and about posting unpopular comments on forums. We spoke to order a little through 47 minutes and he is saying things like, “I will not let you threaten the company that I work to order…” and “I am running a business here…” I explained to Hartman that I had a client waiting and that I would call him back in an hour.
I called him back and we spoke to buy another 28 minutes and it is really just specific details of the same. Hartman, who admits to having limited affiliate marketing experience, contends that the users that I am sending is of low features and/or not properly engaged knowing eBay. In the 6 months that I have been marketing eBay through the eBay Partner Network I have sent 430 new users. 215 of them are active on eBay. I have also sent eBay $13,137.11 from bid revenue and an estimated $100,000.00 + in Seller revenue. If i do some conservative estimates on this you can clearly see that I could have sent the Sellers of eBay from excess of a quarter of a million dollars from revenue in the next six months. If this traffic is not engaged then what is?
What is “engaged” visits?
From talking seeing Hartman I was able to glean on bit of information. eBay is not looking to order affiliates to send repeat buyers through their partner network. They are looking to order an affiliate to send a new user that buys a product instantly and then continues to come to eBay exclusive of the affiliate and continues to buy. This means that they (eBay) do not choose to pay affiliates commission after the first sale and they ask that sale to happen very quickly after the users hits the site. There are ton of hypocricy in what ePN says in one joint versus what they say in another and I could write a small book on just that flaw in their system. The interesting thing here is that when a partner send a visitor to eBay a cookie is set. This cookie lasts for 7 times. A users who comes back on day 4 and buys something is therefore considered to not prove to be engaged and the affiliate is penalized to buy that action.
The very nature of eBay compels users to shop around. Consider your own eBay shopping patterns. Experienced publishers come to eBay looking to purchase one thing and then look all over to buy other things and very often buy something totally unrelated to anything. It is a giant Yard Sale and that is what bloggers do, right? Well, if one can be an affiliate and your users a following that natural tendency to shop you will become penalized by ePN.
So How Is I Extorted?
On October 28, 2008, Steve Hartman sent me an email since IP address 216.113.175.152, informing me that the only way that I would be allowed to stay in the ePN network was to do the following:
* Shut down test account
This test account were setup so that I could participation then root out a scammer that is still stuffing cookies. Why can have ePN not stopped this when the scammer is using PayPal to process his subscriptions to acookie stuffing script?
* Full disclosure of all accounts on ePN - both yours and your associates
Steve Hartman wants me to give him the names and accounts of my friends, why? So that he can retaliate against them because I am speaking out about his inability to function as a partner network director. That will Seldom happen!
* Full disclosure of all accounts on ePN boards
* Full disclosure of all accounts on other boards
It has been proven that eBay hates disconcerting publicity. So now they ask my forum accounts so that they can hire tools to publish “warm fuzzies” in the same forums. Read: eBay censors forums
* Full disclosure of any history seeing other partner networks
OK, so now Steve Hartman wants me to tell him what other partner program I am using? Why? So that he can try to get me “terminated” form those. Again, not gonna happen!
* Improve features of affiliate users
Since this is the last thing on his list I will assume that it is the least important.
It seems that Steve Hartman is additional info interested in my forum activity and my friends than from the features of the hits going to the ePN system.
Hartman went on to write, “Also, to make sure that I’m being clear, if there are any additional info disconcerting publicity incidents, threats of disconcerting publicity, etc., or we’re not getting full disclosure on the above, then this is not the positive relationship we’re working to have understanding our affiliates and we’ll terminate the relationship.” This means that if I say anything bad about eBay or ePN that they will terminate my account. Are i kidding me? So I am supposed to sit idly by and locate something gone awry and say nothing? Right, sure, youbetcha…
Then there was this little jewel, “One last point in light of regards to communication, in order to make our overall network scalable, we need to manage the relationship in light of you as we do understanding other affiliates of your size so I’ll ask that you not contact anyone directly within my team.” Ok Steve, let me understand this. You don’t want “affiliates of my size” to contact the ePN staff? What size works very well a partner have to prove to be before they are allowed to contact the ePN staff? If a smaller affiliate can have a problem they are supposed to do what? Quietly deal understanding it in their own way and in their own space?
Why did I write this?
Basically, I wrote all of this to say, “STAY AWAY from eBay and specific details specifically, stay away form ePN!” Am I upset? Yes, but not for the reasons that i might think. I am not upset that the “relationship” in consideration of ePN did not work out. I am upset that hundreds if not thousands of honest affiliates working earnestly to send visits to eBay have been caught in this internet of insanity that can have been created.
To: Steve Hartman
I know that you will read this and I choose to let i know that I will rarely stop posting disconcerting homeowner complaints about i and about your flawed metrics and about the comedy of errors that i call a business. I had the opportunity to build a nice relationship in consideration of me and you chose to try and get me to rat out my associates in some thinly veiled offer of possibly remaining in a wrecked system. My trust and integrity are worth far detailed information than that. I have created 6000 variations of this reply and they will become posted 24/7 to the very same network that produced the non-engaged, low-quality users that i abhor so much. If my experience causes one person to think twice about buying from an eBay Seller or about joining ePN then I feel that I have done my job, but I think my words will seem to be much specific details far-reaching than that.
Steve, if you would like to publish a public apology to me and the rest of the affiliates that i have screwed thinking about your idiotic metrics i can do so on from the very forum that begat this fiasco.