Is this for real?

[kshapero]

25% Cashback on Anything* Bought at eBay (http://www.mymoneyblog.com/archives/2008/08/25-cashback-on-anything-bought-at-ebay.html)
Posted: 15 Aug 2008 06:32 AM CDT
An extension of the new Live.com Search Engine cashback system (http://www.mymoneyblog.com/archives/2008/08/microsoft-live-cashback-promotion-70-off-magazines-and-more.html) mentioned previously, it has been discussed ad nauseam here (http://www.fatwallet.com/forums/topic_view.php?catid=18&threadid=838081&start=8620), here (http://forums.slickdeals.net/showthread.php?t=892970&page=70), and here (http://www.bargainshare.com/index.php?showtopic=124848&hl=ebay&st=120). At first glance, I thought it would be a short-lived misprint/typo kind of deal, so I didn’t bother. It did disappear, but now it is back, so I guess Live.com is consciously choosing to continue with this promotion (for now).
In short, the cashback system is currently offering 25% off any item purchased on eBay, provided it is bought using the “Buy It Now” feature and using PayPal for payment. There is a limit to $200 in cashback per purchase, with a maximum of 6 purchases. Fine print is here (http://pages.ebay.com/cashbackoffer/terms.html). A quick and dirty walkthrough:
1. First read up on the general idea of Live.com cashback (http://www.mymoneyblog.com/archives/2008/08/microsoft-live-cashback-promotion-70-off-magazines-and-more.html).
2. Click on this link (http://search.live.com/results.aspx?q=nintendo%20wii&form=QBRE), this link (http://search.live.com/results.aspx?q=eee+pc&go=&form=QBLH), or this link (http://search.live.com/results.aspx?q=ps3&form=QBRE). Look for the following:
You’ll need to wait 60 days to withdraw the cashback. If interested, sign up for an account. http://www.mymoneyblog.com/images/0808/ebay1.gif
3. Click on the circled link, which will send you to eBay. Find an item that you want with the Buy It Now option and that accepts PayPal. Click on “Buy It Now”. You should see this icon on the next screen:
http://www.mymoneyblog.com/images/0808/ebay2.gif
4. Check out and pay with PayPal. You should get an e-mail or message from eBay with confirmation afterwards.
Clever people have been buying highly liquid items like gold, silver, and popular gift cards at 25% off. However, supply and demand has driven many prices up, making it harder to find profitable opportunities. Isn’t economics neat?
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[Matthew Allen]

I haven't been able to benefit from this as I'm not in the US but I have read more than once of people using it and receiving the cashback. Google "Microsoft Cashback", there are lots of articles about the launch of the scheme.

Matthew

[Ray Nalley]

It's for real. Just don't spend your grocery money because it does take two months to get the cash back.

[ClaremontPhoto]

Do spend the grocery money; and eat with friends for the next few weeks!

[pesphoto]

If you look at the comments in this blog post one dude says he has made 10 grand from this deal by having multiple ebay id's.
25% Cashback on Anything* Bought at eBay (http://www.mymoneyblog.com/archives/2008/08/25-cashback-on-anything-bought-at-ebay.html)

[photomoof]

it is sort of real, just means the seller has decided to offer a discount on buy it now.

Obviously it is not on "anything" you buy on ebay, but only items that come from participating sellers, and it is only on Buy it Now.

A seller can just adjust the BIN price to cover the discount.

This has been covered elsewhere. No one has made anything, they might have "saved" 10,000 in their mind.

[kshapero]

I just bought something on eBay and got a 15% discount from Live search. The seller told me he received the full purchase price that I sent. Now the discount shows up in my Live search cash balance. This is a Microsoft deal so I think it worked. But who paid me the discount? It certainly wasn't the seller.

[majid]

It is real and has nothing to do with eBay. Online stores commonly pay a small commission to search engines, publishers, affiliates and others who help bring leads when the lead turns into a successful purchase. Microsoft is offering to split this commission with you, the end-user.

This model is not new - Ebates.com has been doing this for quite a while. It's like credit cars with cash back - they are not being philanthropic, they just give you back a little (0.5%)from the excessive interchange fees they wring from merchants (3-4%).

In this case, eBay itself is paying Microsoft an affiliate commission (from its auction fees, as a cost of doing business), and Microsoft is kicking you back a little of it.

[photomoof]

I just bought something on eBay and got a 15% discount from Live search. The seller told me he received the full purchase price that I sent. Now the discount shows up in my Live search cash balance. This is a Microsoft deal so I think it worked. But who paid me the discount? It certainly wasn't the seller.

I think the seller is confused about what will ultimately appear in his paypal account. When the money goes to you, it will exit his.

Microsoft is not paying this, the cost would be unbearable, even for them.