Preview

Ebay's marketing strategy

Satisfactory Essays
Open Document
Open Document
716 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Ebay's marketing strategy
http://www.strategicmanagementinsight.com/swot-analyses/ebay-swot-analysis.html

eBay is an international online marketplace with a global customer base of 233 million. It is a multibillion business operating in 37 countries. There are millions of items listed on eBay across thousands of categories, including antiques, toys, books, computers, sports and electronics, amongst many others.

eBay SWOT analysis 2013

Strenghts
1. World’s largest internet marketplace
2. Business model (no strong direct competition)
3. Economies of scale
4. Localization
5. Payment system
6. Brand reputation

Weaknesses
1. High fees
2. No further growth strategy

Opportunities
1. Growing number of mobile shoppers
2. Become a retailer
3. Increase services and product portfolio through acquisition
4. Open more online stores in other countries

Threats
1. Online security : PayPal stores online shoppers’ personal information, such as bank account details, which is a target for online thefts. The more online customers PayPal has, the more attractive as a target for identity thefts it becomes.
2. Regional low cost online retailers : Regional low cost online retailers could outrival eBay on faster and cheaper shipping, more localized product offering and better knowledge about home market.
3. Increasing competition from Amazon : Amazon’s online presence has significantly increased and now Amazon’s marketplace is just behind eBay’s.
4. Exchange rates : eBay receives a part of its income from foreign operations. The profits that are sent back to US have to be converted into dollars and may be affected by the exchange rates, especially when the dollar is appreciating against other currencies.

Sources :
1. eBay (2013). Company overview. Available at: http://pages.ebay.co.uk/aboutebay/thecompany/companyoverview.html
2.
3. eBay (2013). Investors. Available at: http://investor.ebay.com/annuals.cfm
4. Interbrand (2013). Best Global Brands in 2012.

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Case Study EBAY

    • 460 Words
    • 2 Pages

    eBay is one of the world's largest online marketplaces, and allows users to buy and sell in nearly every country on earth; PayPal enables individuals and businesses to securely, easily and quickly send and receive digital payments; and eBay Enterprise enables omni-channel commerce, multichannel retailing and digital marketing for global enterprises in the U.S. and internationally.…

    • 460 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Engaging in innovations of e-commerce is the best way to differentiate with the competitors. The remaining advantages of brick-and-mortar have been systematically eroded. On the other hand, e-commerce has been increasingly popular, “through technical and business innovations that include embedded video on their sites, highly credible customer reviews and peer advice, free or subsidized overnight shipping, easy returns and extended warranties, and phone or on-page video chat for customer support”(2). If Best Buy can try to create a cheaper alternative, offering customers a faster, more convenient, and less-expensive online shopping atmosphere, perhaps Best Buy can have a dramatically increase of its online stores revenue.…

    • 606 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    EBay Inc. is an American multinational corporation and e-commerce company, providing consumer-to-consumer and business-to-business sales services via the internet. EBay is an online auction and shopping website in which people and businesses buy and sell a broad variety of goods and series worldwide. In addition to its auction-style sales, the website has since expanded to include ‘Buy-It-Now’ shopping.…

    • 3494 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    ECO 111 Module 4 DB

    • 413 Words
    • 2 Pages

    Although eBay is very close to a perfectly competitive market, eBay is also known to host many auctions specifically for very rare items- in these types of transaction, usually; no competition would exist - but rather a monopoly. With continued advancements in technology, eBay can continue to propel itself more and more into the “perfect” competitive marketplace.…

    • 413 Words
    • 2 Pages
    Good Essays
  • Better Essays

    6. "Amazon Vs. EBay: A Shopper 's Perspective." Minyanville. N.p., n.d. Web. 19 Nov. 2012. <http://www.minyanville.com/sectors/consumer/articles/amazon-amzn-ebay-walmart-retail-retail/4/5/2012/id/40257>.…

    • 1173 Words
    • 5 Pages
    Better Essays
  • Good Essays

    Ebay Facts and Figures

    • 390 Words
    • 2 Pages

    On any given day, there are millions of items listed on eBay across thousands of diverse categories, including antiques, toys, books, computers, sports, photography and electronics, amongst many others.…

    • 390 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    Ebay is considered a multi billion dollar business. ebay .com is an online auction selling a variety of goods for both businesses and the general public, the website itself is free to use for buyers however sellers are charged fees for listing items not only this but the website has now expanded to buy it now.…

    • 1528 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Ebay Case Study

    • 2747 Words
    • 8 Pages

    With exceeding 3.7 billion, more than a half of the world’s population, and Internet usage in the region rapidly growth at 406 percent, Asia became an attractive and lucrative marketplace for eBay to expand their business. Since 1995, eBay enjoyed strong revenue growth and was a dominant player in online auction industry. With previous experience of extending their business in Europe, North America, Latin America and failure in China and Japan, eBay was once again struggling to compete in the Asian market.…

    • 2747 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    eBay pioneered online person-to-person trading by developing a web-based community in which buyers and sellers are brought together in an efficient and entertaining auction format to buy and sell personal items such as antiques, coins, collectibles, memorabilia, stamps, and toys.…

    • 21713 Words
    • 88 Pages
    Good Essays
  • Good Essays

    Ebay

    • 1442 Words
    • 6 Pages

    eBay is an online marketplace where both individuals and businesses can buy and sell goods and services to people around the world.…

    • 1442 Words
    • 6 Pages
    Good Essays
  • Powerful Essays

    Ebay vs Amazon

    • 2137 Words
    • 9 Pages

    EBay and Amazon both operate in the used goods and collectibles market however, they operate in completely different ways. EBay and Amazon currently operate in an oligopolistic market, meaning that the e-commerce market shows some, if not all of the characteristics of an oligopoly market. In 1995 Pierre Omidyar stated the aim of eBay was to ‘give the market power back to the consumers, rather than large corporations.’ (R.Salehnejad, 2012) This caused eBay’s decentralized approach to emerge. The high barriers to entry and exit, large sunk costs and a few large dominant firms operating the market, has made it challenging for any potential competition. Therefore, this has meant that eBay and Amazon do in fact hold large market power as consumers have little in the way of substitutes that can compare to the large consumer base that they offer.…

    • 2137 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    Sellers are competing with each other in their neighborhood and city; the internet increases competition with sellers as they are also competing statewide, nationally, and internationally. These strategies increase sale possibilities happening faster than expected. Allow these examples to contour up more…

    • 418 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Ebay History

    • 3450 Words
    • 14 Pages

    Millions of buyers and sellers have made eBay Inc. the world's largest and most popular Internet site for individuals and businesses to exchange goods. By 1999 eBay had 5.6 million registered users and listed over 3.1 million items for sale; by 2004 there were an estimated 65 million registered users from 150 countries, 971 million items for sale, and gross merchandise sales hit $15billion. eBay owns local sites in 19 countries, has stakes in another eight foreign nations, and provides users with its own online pay service, PayPal Inc. As eBay's revenues continue to grow, the sky seems the limit despite competition from Yahoo!, Amazon.com, and an ever increasing number of imitators.…

    • 3450 Words
    • 14 Pages
    Good Essays
  • Good Essays

    Five Force of Ebay

    • 532 Words
    • 3 Pages

    The degree of rivalry among established companies within eBay抯 industry is very high. This high degree of rivalry is very common in discount retail industry due to the high concentration on being the price leader. EBay抯 competition is very broad and varies with each of its different products. eBay competes closely with many well know broad-based companies such as traditional department and general merchandise stores, as well as a large variety of online retailers. Due to this complex competitive industry, eBay must concentrate on many competitive factors such as: ability to attract buyers, volume of transactions and selection of goods, customer service, system reliability, brand recognition, and many others to keep their edge.…

    • 532 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    n kn

    • 224 Words
    • 2 Pages

    3. Are the solutions eBay is seeking to implement good solutions? Why or why not? Are there any other solutions that eBay should consider…

    • 224 Words
    • 2 Pages
    Satisfactory Essays