Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Thu Feb 14 2019 12:45:25

A Top eBay Exec Departs as Company Reorganizes

By: Ina Steiner

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The head of eBay Marketplaces in the US, Scott Cutler, is leaving as eBay undergoes a major restructuring of its organization. Cutler most recently headed Marketplaces for the Americas and previously headed StubHub. eBay plans on replacing him. 

The reorganization seems to be a defensive move in light of the pressure being applied by activist investor Elliott Management, which has criticized eBay's leadership and performance.

According to eBay's announcement today:

"eBay is bringing the company's geographic regions together under one global leadership team that will be led by Jay Lee, Senior Vice President, General Manager, Markets. The markets included in the new structure will be the Americas, APAC, UK, Central and Southern Europe, as well as Cross-Border Trade."

Lee will be based at eBay headquarters in San Jose, California.

In its announcement, eBay didn't say if other executives would see the chopping block and what the news meant for country managers, such as Rob Hattrell Vice President of eBay UK. However, EcommerceBytes learned that Hattrell still heads UK.

Jooman Park, Senior Vice President of APAC, no longer appears on eBay's leadership chart, but Park will remain in that position. 

It is clear from the announcement that eBay is keeping its Chief Technology Officer Steve Fisher.

TechCrunch reported today that it understood eBay would be laying off "a percentage of its global workforce" - possibly 400 workers.

However, an eBay spokesperson said, "As a result of this Marketplace evolution, along with other actions to deliver on our goals, teams across the company are adapting to ensure maximum focus on eBay's global priorities. We are both adding and removing positions as appropriate."

We asked if there would be any changes impacting eBay sellers, such as a reduction in customer service support or other areas - the changes announced today should not have any negative impact to customers.

In its announcement, eBay wrote, "To ensure each market remains responsive to the needs of their customers, local teams will focus on inventory and merchandising, advertising, marketing, seller and brand acquisition, buyer acquisition and retention, shipping and fulfillment, and payments activation."

eBay cited the following key benefits of the changes:

- Strategic alignment of global priorities (buyer growth, conversion, payments, advertising) across the company's largest markets;

- Faster decision making and execution;

- Streamlined resource allocation with a greater impact on global priorities; 

- Improved and simplified collaboration with the Core Product and Technology (CPT) organization, led by CTO Steve Fisher.

You can read eBay's rather cryptic announcement on this page.

Update 2/15/19: Silicon Valley Business Journal reports eBay will be laying off 135 workers in California alone, citing state filings. In one location, eBay is laying off 15 director-level employees, more than 40 managers, and several software engineers, architects, data scientists and legal counsels, according to the publication.

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by: Chicago48 This user has validated their user name.

Sat Feb 16 21:23:33 2019

400 laid off last year; 400 this year.  That is a major layoff.  That's about 800 people, that's a bunch.  I wonder if EB is going to revamp it's website and streamline the site?  If you don't have technicians working, you run into malfunctioning website.

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by: Chicago48 This user has validated their user name.

Sat Feb 16 21:27:33 2019

I wish I could get out of my starter store contract before May.  I feel a tsunami coming to EB.

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by: sasikat9 This user has validated their user name.

Sun Feb 17 09:01:47 2019

No changes in customer support. What support. Customer support consists of some seat warmer answering the phone and then proceeding with the written dribbles on que cards. Heck most of them don't even know what day it is.

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This user has validated their user name. by: toolguy

Sun Feb 17 10:49:47 2019

@pace306

"Cut ALL the overseas CS agents, bring them in house, hire nice normal American workers and you will get farther along."

eBay can do this but they'll have to start charging 15% FVF to cover the costs.

Are you willy to pay more for eBay services?

I'M NOT

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This user has validated their user name. by: RKTOYS

Sun Feb 17 10:53:38 2019

@Grady
You hit the nail on the head here.  As management stuffs the IT department with H1Bs, it puts more and more on everybody else.  DevOps has to work harder to keep everything running.  The help desk sees its call and ticket workload explode.  Management runs around screaming that outages and tickets are skyrocketing but doesn't have the wherewithal or integrity to consider it might be their fault.

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by: Grady This user has validated their user name.

Sun Feb 17 11:43:29 2019

Middle and upper management is increasingly packed with new hire H1Bs now. These new H1B's are brand new and are literally making very critical decisions. The few veteran quality people still on board are busy training these clueless newbies, and they know they are basically training their own replacements. It is far worse than most people can imagine. There will be another round of layoffs in summer, and by then what little actual talent and trouble shooters they have will be gone.

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by: pace306 This user has validated their user name.

Sun Feb 17 12:59:10 2019

Tool

1) not if they dismiss 1/2 the useless BOD

2) not if the boot DW

3) places like Poshmark take more then that btw

But in life you get what you pay for.

Personally- if I would get an American cs agent and win all my cases - I’d pay more.

I can’t win with overseas script readers

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by: Snapped This user has validated their user name.

Sun Feb 17 13:38:11 2019

Conflicts ensue.  Robots created to reduce conflicts requiring labor.   Conflicts resolved by programmed judgement are unjust.  Requirement for labor to justly resolve robotically unjust conflicts increases beyond pre-R2D2 levels.

Relegate it all to a lip service priority, monitize any quality core that's survived, and double down on the autonomatons that are better suited to cheap-by-piece mass production 'support'.  

People aren't assets in this equation, they're problems.  That's why it's so hard to put them in boxes that can possibly endure.  Especially when they are set upon the top of the pile.

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by: Grady This user has validated their user name.

Sun Feb 17 16:01:48 2019

I have to conclude that the vast majority of the decisions at the top are made to enhance the profitable results of insider trades. It's just too obvious. When there is nothing left of Ebay, they will do the same thing at GM or Home Depot. They are making insane amounts of money and the timing is everything.

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This user has validated their user name. by: CanBrit

Sun Feb 17 17:38:42 2019

@pace306
"Sales on eBay ATM are non existent or abysmal - lets see how they cook Q1's books!"

Very true words. I couldn't quite figure out what happened with Q4, but I know someone should be in jail for it. The desecration and damnation of Ebay has increased tenfold since 2016. I came back to eBay that year. Jeepers what a mistake.

I'm on a monthly contract for the store now so I can heave ho in an instant. Part of my reticence is my regular customers, many who have become friends. I'm building a new brand on another site but as always, it takes time to get noticed, watched, favored, successful. I refuse to sell my soul to that devil Wenig though. Manage Payments??? Kiss my bleep. I figure the BOD's makeup have to be made up of some incredibly thick headed people who make too much money and should be turfed.
I like the push from Elliot, but as long as Wenig is in charge, there is no hope for eBay at all.

Now, the tech's, I'm sure many of the excellent and deservedly high paid ones, are gone. Pink slipped so the boys can have their champagne and discreet ladies in the limo. When I think of that platform, it makes my skin turn white and hair grey. I wouldn't want to support that mess in a million years and not for the same amount of dollars. I loved working in the industry, but I learned after a while, when you saw a mess coming....you exited before the slip. It's a great career that can become an awful one at the wrong company.

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by: pace306 This user has validated their user name.

Sun Feb 17 19:06:33 2019

Can :)

ANYONE else in the industry would have been ashamed to pull "eBay numbers" when they reported Q4 - but they werent - they were PROUD.

All the eBay lawyers with their WS connections, enable the fiasco (the emperors new clothes syndrome) to continue unabated.

eBay owns nothing except the computers they bought and the real estate they work in - no items, no trucks, no warehouses (that they will openly admit to), and yet WS treats them like Amazon or Walmart.

Like em or hate em - they all have insane logistics nightmares to go through - just to operate - eBay sits back and does NOTHING, but yet they get a free pass (financially).

Can "you" (anyone) explain why eBay stock is ever worth more then $5 a share? What value to stock holders is being returned? (they JUST started to pay a dividend - and a VERY SMALL ONE at that). So wheres the value?????

If Amazon went belly up tomorrow - you could sell the goods, warehouses, planes and trucks to get money (against creditors) - what would you sell in eBays case? The snacks in the candy machines in San Jose?

NOT ONE of the top eBay BOD have any experience in the business they run - why would you invest is such a company?

Yey Cutler is gone ... ."but so what". The infection runs MUCH deeper then one guy. Its starts at the top and goes down.

Q1 will be a hoot - can you go lower then %1 ? I guess you could go %0 and claim that the good times are JUST AROUND THE CORNER ..... (again) and hope someone believes you.

Truthfully - none of this concerns me "directly" - just that they comapny is run by a bunch of lieing thieving SOBs - which in turn ruins the platform for me (and people like me aka the people here).

Poor shoddy performance means I make less/no sales and thats not a place I want to be at.

eBay was at the NY Toy Fair - everyone give them a hurrah, except that even though it was on the main floor - NO ONE bothered them (except me).

The refused to talk Cutler, Seller Protection, better CS or anything else. Just "sell our old toys on eBay", period.

My wife and I just laughed .... dopes. The booth cost them 'round 20K and they got nothing out of it. Now they are gonna have to have a few more liar buyers steal from me to make up for it ......cr@p!

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by: Ichabod This user has validated their user name.

Mon Feb 18 00:44:06 2019

It's like college football, if you have a losing season, fire the offensive coordinator and a couple of assistant coaches you live to lose another season. Next season, when you end up with a 3 and 9 season, you fire the defensive coordinator and the kicking coach and the next season...........................
Go Wenig!! Yay Team!!

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by: BargainzBabylon This user has validated their user name.

Mon Feb 18 01:11:26 2019

Over 30,000 people work at "EB" (that's eBay in the real world). 800 isn't that much - doom is not right around the corner. The site will continue to lurch along in its usual somnolent fashion.

But I do think they're just shuffling the deck.  

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by: Chicago48 This user has validated their user name.

Mon Feb 18 01:13:49 2019

I wouldn't cry for the techs being laid off ...that job is highly desired.  And they won't have a problem finding work elsewhere in the US.

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by: Paul W This user has validated their user name.

Mon Feb 18 02:32:20 2019

No argument here that eBay has many problems that need fixing.  But having an anchor store I get excellent CS from agents in Utah, so no complaint there.  And there are buyers if you are selling stuff people want.  I sold 936 items in the last 60 days, many to international customers.  For me a dry spell is 4 hours without a sale.  So I'm hoping eBay can keep the ship upright and make some progress on their glitchy site.

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by: Fahrenheit451 This user has validated their user name.

Mon Feb 18 05:51:54 2019

No, sorry, not going there. I tried it again for a few weeks and no sales. So I pulled my 50+ listings without paying more than $3 and went over to Bonanza. At least I would not have to list for 35 cents a pop, nor 20 cents in the case of Etsy. Besides, everyone knows this is a stagnant economy which won't really pick up until a certain POTUS gets impeached. Everyone is holding their breath waiting for the inevitable, so they are not spending their money. It's snowing on the East Coast, and it's cold and blowing snow on the West Coast. The middle is freezing in the coldest winter on record, and you expect anyone to be shopping? Forget it.

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by: wellspring This user has validated their user name.

Mon Feb 18 08:53:36 2019

@pace306
“Like the Maze post, sellers are given just enough cheese to convince themselves that what they are doing is a GOOD/SMART thing. And, like alot of gamblers - they go home pockets empty, stomachs full from the free buffet, and vow to come back again ASAP.”
Have you heard the one, “A mouse walked into a casino....?”

Thanks for referencing my post. Since writing it, I’ve been diligently working on diversifying my venues for my inventory.

After reading this lay-off post today and readers comments, I think it couldn’t hurt to have a backup venue for ALL listings. Can you imagine if a planted ebay glitch by a disgruntled ex-employee wiped out our listings completely?

And, as others have said, “since when does ebay have inventory to manage or merchandise? ” I wish the gov would jump on that one.

Oh, how I wish ALL small sellers could boycott ebay on April 1st by putting our stores on vacation, to send a message as to the impact we do make on eBay.  

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by: eastwestphoto This user has validated their user name.

Mon Feb 18 11:10:07 2019

Get rid of all returns and Feedback, easiest way to help Sellers sell more, so eBay makes more MONEY!  

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This user has validated their user name. by: Bidonmine

Mon Feb 18 14:43:29 2019

A major change for Sellers is coming... and, it will not be a good change!

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by: mcposty This user has validated their user name.

Mon Feb 18 16:38:44 2019

ebay is nothing but a chinese importer now.


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