eBay officially announced its fulfillment service will become available to US sellers next year after 10 years of floating the idea and surveying sellers on and off. In January, we reported eBay was inviting US sellers to participate in the pilot program. eBay already offers fulfillment services in Germany and Australia.
Experiencing declining sales, eBay is looking for ways to boost revenue by offering seller services, something Etsy has done to the delight of Wall Street. On Wednesday, eBay officially announced “Managed Delivery,” and eBay surveyed sellers yet again about their interest. eBay explained:
“To help make delivery of your sales easy and fast, eBay is introducing Managed Delivery, an end-to-end fulfillment service that will be available to US sellers in 2020. Managed Delivery will be a competitively-priced, reliable and fast shipping option for businesses. We anticipate sellers with high-volume inventory in popular categories like Electronics, Home & Garden, and Fashion will benefit the most from our new service.”
eBay’s version of a fulfillment service is different than Amazon’s FBA service, which allows sellers to offer free shipping through Amazon Prime – eBay isn’t building fulfillment capability itself.
eBay explained, with Managed Delivery, “our national fulfillment partners will store, pack, and ship your items. You’ll be able to seamlessly manage and track your inventory through Seller Hub and third-party integrations. Managed Delivery will be available for fulfilling orders whether they’re placed on eBay, or other online marketplaces.”
eBay said the partner model, which will be seamless to buyers and sellers, allows it to roll out Managed Delivery faster, leverage partners’ expertise, and keep costs down.
eBay is working on its fulfillment pilot with several partners across the US. “Warehouses will be strategically located across the country, storing inventory closer to buyers, resulting in faster delivery time and lower shipping cost,” it said.
eBay described the benefits for sellers as follows:
- Lower fulfillment costs. With Managed Delivery, you’ll save on fulfillment/delivery costs because eBay will negotiate competitive rates on 1-day 2-day and 3-day delivery options.
- We’ll protect you. Sellers enrolled in Managed Delivery will receive the same protections as Top Rated Sellers for Managed Delivery transactions. In addition, we will remove any negative or neutral feedback or item not received, stockout and item not as described (INAD) defects for the Managed Delivery transactions as long your INAD performance meets eBay’s requirements.
- Simplified and faster shipping. In collaboration with our fulfillment partners, eBay will manage logistics and get your items out the door quickly and on time so you can focus on selling.
Increased visibility. Make your listings stand out—let buyers know you’ll get their purchases to them in 3 days or less.
- Save storage space. Store your merchandise at a Managed Delivery center and save storage space, and costs.
eBay said it was still designing the Managed Delivery service and asked sellers to complete a survey.
Survey questions include:
Do you use a listing tool to create your listings?
Do you sell single or multiple quantity items?
How do you typically fulfill your eBay items?
What would be important to you for a fulfillment service (please rank order) – sellers could select from among the following criteria:
- Competitive pricing
- eBay protections
- International shipping
- Easier returns
- Increased visibility (sic) for my listings
- Faster Shipping
- Multichannel/Fulfilling for other channels
How likely are you to sign up for this eBay service?
Why would you decide to opt into managed delivery with eBay (please rank order)? – sellers could select from among the following criteria:
- Save Time
- Save on Shipping Fees
- Save on Storage Costs
- Be protected by eBay for late shipments
- Attract More Buyers by getting items to them faster
Sellers can learn more about eBay Managed Delivery at eBay.com/manageddelivery
And eBay CEO Devin Wenig had this to say about Managed Delivery:
“A common request we hear from our high-velocity sellers is to help make delivery of high-volume items easy and fast. Managed Delivery will be a competitively-priced logistics solution for businesses selling high-volume goods in popular categories like electronics, home and garden, and fashion. The implementation of this service will dramatically lessen the shipping burden on sellers, while improving the shopping experience and making unboxing fun for buyers.”