When I was driving for delivery today, a shocking news came through the radio and nearly got my hit into an electricity pole.

Paypal is going to be the only acceptable payment method on eBay from June 08, unless it's a pick up services.

As a merchant with CBA, the CC rate I got charged on a standard consumer credit card is around 1.5%, compares to paypal's 2.5%, that's probably nothing.

In the past, the sellers can always end up a big saving if he/she only accept bank deposit or money order, but now it is all going to be changed.

Poor Australia Post's projected revenue for the next couple of years.... sigh

So, the question comes down to: How does seller survive with the over the roof paypal charges as well as customer's dispute pending funds?

There are a few strategies here.

1. Being honest to your customer, and conduct a genuine business. By doing this, you'll always have your customers on your side.

2. If possible, arrange pick up services. As a direct importer, I'm always a big 'no-no' on dealing with retail customers, as there will be a large amount of time serving them but having little or no return. Therefore, it is recommended at least one day out of a week, if you could arrange pick up services for your local customers, meet and greet, you'll never know how many more customers you've already have on your book.

3. Find alternative sales channel or promote your listings via search engines. Well, this is a fairly costly exercise, but unless you are selling something so unique, you'd probably end up spend more than what you'll expect.

4. Set up a casual shopfront to generate additional revenue. A typical Westfield Site cost between $1000-$4000 per week, a local shopping centre could be slightly cheaper, but again, costly exercise.

In a nutshell, customer services and trustworthy business owner are always the key, but by planning ahead for this unwelcoming change is the only way to survive on eBay in the long run.

Guys, please vote for me if you think this article is a quality one, cheers!