ebay vs. Craigslist...Really???

**Dale King** · 11-28-2007 02:06 PM

In case you haven't heard, over the summer, eBay opened a U.S. version of its popular classified ad site Kijiji.com.

Kijiji has previously been available in Canada as well as parts of Europe and Asia, and is a direct competitor to Craigslist, which is not nearly as popular in those countries as it is in the U.S.

According to the Wall Street Journal, Kijiji is available in 220 cities in all 50 U.S. states. Like Craigslist, advertising is free with eBay looking at ways of charging sellers for display ads or premium services at a later date.

Here's something else that's interesting. eBay bought 25% of Craigslist in 2004 and retains that shareholding today. So here's my question: Since ebay has a 25% ownership share in Craigslist, are they competitors or partners?

I say they're partners. Your thoughts?

Dale King

**BusinessAdviser** · 11-28-2007 03:02 PM

It all comes down to their strategies and whether they are both actually serving the same markets (satisfying the same needs of the same consumers).

**usakos** · 11-28-2007 06:08 PM

How're you doing Dale, long time?

Isn't just 15%? i thought it's 15% and not 25%.

In all cases, in the long run, eBay will eventually acquire Craigslist. It's just a matter of time and the buyout price offered. Most companies usually only invest or acquire certain percentages of shareholder ownership when they have intention of later acquiring it.

Same goes with Facebook; Microsoft invested some millions in Facebook just a few months ago, and I bet you within the next few years, MSFT will evetually acquire Facebook, but only if it beats Yahoo or Goggle to it. But then again, Facebook has told Yahoo NO! But if the price is right, nothing is impossible.

**wully00** · 11-28-2007 06:14 PM

I love Craigslist... to me its such the opposite of eBay. I used to be a big eBay guy and now I use Craiglists much more. Plus meeting the people is interesting...

**ChiTown2222** · 11-28-2007 10:28 PM

Originally Posted by wully00

I love Craigslist... to me its such the opposite of eBay. I used to be a big eBay guy and now I use Craiglists much more. Plus meeting the people is interesting...

Just what type of people are you meeting on Craigslist?? jk

They aren't competing... they'll soon merge and form one big conglomerate...

**Dale King** · 11-29-2007 05:01 AM

Originally Posted by usakos

How're you doing Dale, long time?

Isn't just 15%? i thought it's 15% and not 25%.

Hello usakos. Yes, it has been a while. I've been crazy busy! How are you? ebay owns a 25% share of Craigslist...of that I'm sure. Feel free to look it up.

Dale King

**wully00** · 11-29-2007 12:38 PM

Originally Posted by ChiTown2222

Just what type of people are you meeting on Craigslist?? jk

Hahaha OK maybe that came out wrong. Actually of the last 10 or so transactions I've done on CL, 7 or 8 of the people owned or were in the process of starting businesses. Networking at its finest... I've found some good customers that ways. (I sell a lot of printers on CL).

**dfveteran** · 11-29-2007 01:53 PM

Right on Dale, good question as usual. I think anyone who owns 25% of any business is a partner. No matter if its ebay or Joe Shmoe's website business. Twenty five percent is a huge chunk to be a competitor. In my eyes ebay and craiglist are partners with craigslist.

But craigslist is not a partner with ebay on ebay