eBay Inc (EBAY): Why This Tech Company Charges so Many Fees Like a Bank

It seems as if everyone already knows this about banks. But few people know this about eBay and PayPal. The company might want to better educate people that they are a beacon of stability in the scary world of online transactions. Why not use PayPal? You’re much more secure.

Enter Amazon.com, Inc. (NASDAQ:AMZN)

It would be smart for eBay to consider this. They are drawing the ire of their community of sellers who increasingly realize that it’s probably better to sell goods on Amazon.com, Inc. (NASDAQ:AMZN) rather than eBay. In fact, Amazon offers more avenues to sell with their growing reach that includes tablets and advertising. Plus, Amazon is working on providing increased logistical support, expanding their in-house storage, and shipping capabilities.

Amazon doesn’t charge a fee at every turn. And there’s nothing stopping them from selling items at auction – or quite possibly in some other innovative way. When comparing Amazon.com, Inc. (NASDAQ:AMZN) to eBay Inc (NASDAQ:EBAY) or even to Bank of America, most people like Amazon. Customer sentiment is important while doing business, and it is also important when considering which stocks to buy.

That’s important. Of course, you get customers to like you by not charging a number of fees. eBay is apparently still learning that.

The article Why This Tech Company Charges so Many Fees Like a Bank originally appeared on Fool.com and is written by Daniel Cawrey.

Daniel Cawrey has no position in any stocks mentioned. Follow Daniel on Twitter @danielcawrey.The Motley Fool recommends Amazon.com and eBay. The Motley Fool owns shares of Amazon.com, Bank of America, and eBay. Daniel is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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