eBay / Microsoft Live Cashback is back!?

Several readers noticed that it appears that the Microsoft Live cashback program is back.  This program was introduced in June of last year and then ramped up significantly during the holiday sales season. Since about December 18th, it's been dormant.  Last year the program started around 10% and then at it's peak ramped as high as 30%.  This caused a veritable feeding frenzy in Q4 with buyers going crazy for the program and we saw material usage of the program in the period from Black Friday through December 18th.

I checked and today it appears like they definitely have turned the program back on at the 8% level. 

Here's a screen shot from today - 2/27/09 that shows a Nintendo wii ad with the 8% offer from eBay (paypal and other restrictions apply as before):

What does this mean for you?

This has several implications:

• Implication for sellers: If you had some Live instructions in your listings you took out, you should re-add those.  At ChannelAdvisor we created a template with detailed instructions that you are free to leverage in your listings.  The template is here.
• Implication for buyers: Time to get re-educated on the various rules and ways the system works.  Personally when buying, I like to 
• Implication for Wall St:  I've talked to many analysts that follow eBay that were concerned that there would be a y/y situation created by the boost eBay enjoyed from the cashback relationship.  Since it looks like the program is back, even if it is at a lower level, that could be viewed as a net positive.  

While 8% isn't as good as 20-30%, in this environment everything helps so personally as a buyer, I know I'll take a look at using the program where it makes sense.

SeekingAlpha disclosure - I am long google and amazon

Comments

[Ike]

I see the 8% cashback banner when searching on live.com, but when I click on it to go to eBay, the cashback banner doesn't show up there as it did before. Also, when I click 'Buy it now' and look for the cashback amount, it's not there. So...it may just be some sort of glitch in the live.com system showing cashback for wii, as that's the only item I've seen the 8% show up on.

[Zrom]

I recieved an email from ebay today saying I am elegible for microsoft live cashback so this should confirm that indeed the cashback program is back!