Research Question: Is eBay, fueled by its mobile transactions, gaining market share from Amazon?
Companies: Amazon (AMZN) & eBay (EBAY)
Initial research by Blueshift indicates both Amazon and eBay implementing new initiatives to make their platforms more appealing to sellers/buyers, with eBay possibility taking market share from Amazon thanks to an increase in its mobile transactions.
- eBay is forecasting that 10 billion worth of transactions will occur through mobile phones in 2012, doubling last year’s figure, with mobile shoppers spending roughly three to four times more on eBay than people who shop exclusively on the Web. Evidence of eBay’s growing mobile presence can be seen in its recent mobile automobile sales, with one industry specialist tweeting out during the week of September 3, “600 autos sold last week on EBAY MOBILE…that is an insane statistic…mobile has arrived and EBAY one of best plays w/15% sales on phone.”
- In an attempt to be more like Amazon, eBay recently enhanced its selling platform and introduced a feature that allows sellers to post one listing for products that are available in different colors, sizes, and quantities. However since introducing this new feature, called “Variations” or “Multivariate Listings”, eBay has encountered some glitches that still need to be worked out.
- Amazon is in the midst of implementing a new strategy for “Amazon Lockers” in major metro cities, which would allow Amazon to securely drop off packages for customers who aren’t home during the day that can’t be left on a porch or doorstep. With currently over 50 Amazon locker locations across four major cities with plans for expansion, and new distribution centers, it is rumored that Amazon might very soon offer same day delivery, which would make the company more appealing to sellers and buyers deciding between Amazon and a competitor such as eBay.
To gain insight into the competition between eBay and Amazon marketplaces, Blueshift will gather data from sources in the following silos: eBay sellers and buyers, Amazon sellers and buyers (including FBA sellers), marketplace developers/competitors, and industry specialists.