eBay’s answer to Amazon Prime during the holiday season in particular is a program called Fast ‘N Free. eBay’s top two executives told a Wall Street analyst this week that it would launch in the second half of 2016 a “Fast and Free” initiative where it promotes items with free shipping and 3-day delivery.
eBay CEO Devin Wenig and CFO (Chief Financial Officer) Scott Schenkel told Mark May of Citi that they believe 3-day shipping is the threshold for acceptable delivery – and they also told him that 67% of eBay packages shipped during the holiday season having been delivered in 3 days or less.
eBay does have a shipping-membership program in Germany called eBay Plus. Wenig and Schenkel told May they were “pretty happy” with results there, ending the quarter with just under 100,000 subscribers and now being above that. “From a behavior standpoint, customers have been spending more and returns have been in line with what eBay had modeled initially.”
(Note that eBay has given no indication the program would expand outside of Germany, as far as EcommerceBytes knows.)
What else did eBay share in these discussions?
- Amazon’s expanded private label offerings have recently made conversations with major brands about bringing them onto eBay much easier.
- Ten percent of eBay listings now have product pages thanks to its Structured Data initiative, resulting in improved SEO ranking, higher conversion, and lower bounce rates.
- Twenty-five percent of eBay’s business remains C2C (consumer-to-consumer), and these listings account for the majority of the 40% that have not gone through the mandated data restructuring. eBay has been testing lower take-rates and promotions on C2C.
- eBay has done more couponing in the last two quarters than it ever has.
- eBay undid some of the changes to its mobile app such as making My eBay easier to find. “While the new mobile app launched just last week, ratings and reviews for the app are already improving,” May said.
You can read more about the Fast N Free program on the EcommerceBytes Blog where you can weigh in on what eBay executives had to say to Wall Street.
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