For pretty much any e-commerce web design company setting up a new shop, the inclusion of PayPal is now considered highly important. PayPal was formed in March 2000 and has since achieved hug commercial success, largely attributed to its co-operation with eBay, which bought the firm in 2002. The UK alone is responsible for 20 million accounts. The reason for this substantial growth is largely down to it being the first to get there. By offering skeptical Internet users the opportunity to refrain from entering their credit card details on every site they wish to purchase from, they had provided a simple and safe payment system for anyone to use – and this resulted in a internationally-known, reliable brand.

However PayPal hasn’t been without it’s critics. There’s no doubting people’s disappointment with the charges made to the users when transactions are made, meaning sellers are not receiving the full amount for their sales. Users of PayPal are also the victims of unprecedented levels of phishing which have already cost unknowing users huge amounts of money. PayPal’s support system has also been largely criticized as their customer helpline is often very unresponsive, not to mention the unpredicatble freezing of accounts with no prior warning.

PayPal still seems like the most secure payment method available and I would urge all e-commerce sites to have it as an option alongside standard credit card transactions.

A recent article about eBAy increasing advertising budget raises the question about how much advertising should be considered with ecommerce web design? On the one hand it can be a good source of revenue – as is most web advertising of recent times. On some of the biggest ecommerce sites, companies pay thousands for recognition on a homepage. However the big danger is that it can distract users from the main content of the site as the two parts ight for the user’s attention.

On sites like eBay this can be particularly harmful as sellers who pay high prices for premium listings expect to be given premium treatment – not to be just another link on the page. In a typical e-commerce situation, you may find that users convert to other website where advertising isn’t so obtrusive. It really is a fine balance – making sure the main content isn’t compromised, whicle ensuring advertisers are happy with their position on the screen for their cash.

On a loosel-related note, I have also noticed of late the increased advertising on YouTube, which has involved the display of eBay listings next to a video. Is this prehaps the beginning of a new way of web 2.0 ecommerce advertising? I certainly prefer to see potentially useful listings aggregated into a page rather than just static advertisements. If YouTube is going to advertise, this seems like a good route to take.