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[Chaffey, Dave] Digital business and E-commerce 2nd book

Proposition

The eBay marketplace is well known for its core service 

which enables sellers to list items for sale on an auction 

or  fixed‑  price basis, giving buyers the opportunity to bid 

for and purchase items of interest.

Software tools are provided, particularly for frequent 

traders, including Turbo Lister, Seller’s Assistant, Selling 

Manager and Selling Manager Pro, which help auto‑

mate the selling process, plus the Shipping Calculator, 

Reporting tools, etc. Today, over 60% of listings are 

facilitated by software, showing the value of automating 

posting for frequent trading.

According to the SEC filing, eBay summarises the 

core messages to define its proposition as follows:

For buyers:

● 

Trust



● 

Value


● 

Selection

● 

Convenience



In 2007, eBay introduced Neighborhoods (http:// 

neighborhoods.ebay.com), where groups can discuss 

brands and products with which they have a high 

involvement.

For sellers:

● 

Access to broad global markets



● 

Efficient marketing and distribution

● 

Opportunity to increase sales



In January 2008, eBay announced significant changes 

to its marketplaces business in three major areas: fee 

structure, seller incentives and standards, and feed‑

back. These changes have been controversial with 

some sellers, but are aimed at improving the quality of 

experience. Detailed Seller Ratings (DSRs) enable sell‑

ers to be reviewed in four areas: (1) item as described, 

(2) communication, (3) delivery time and (4) postage 

and packaging charges. This is part of a move to help 

increase conversion rate by increasing positive shop‑

ping experiences, for example by including more accu‑

rate descriptions with better pictures and avoiding 

excessive shipping charges. Power sellers with positive 

DSRs will be featured more favourably in the search 

results pages and will gain additional discounts.


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