eBay CEO: Strategy Working as Sales, Revenue Drop in Q2

by: OnlyPollyPocket

So if his strategy is working, then his PLAN was to reduce revenue, reduce GMV, reduce the number of buyers, etc.

Way to go, Jamie!  Heck of a plan!

by: RL15

jamie lives in bizarro world where reductions of revenue, GMV, and buyers are good.

good strategy

by: pace306

Everything is DOWN - but his plan is WORKING !!!

Revenue of $2.4 billion, down 9%
Gross Merchandise Volume (GMV) of $18.5 billion, down 18%
The number of active buyers fell to 135 million

In what universe does this make sense ????? How does Jaime still have a job?

They are loosing sellers, sales, buyers, marketshare .... whats left?

Maybe the dummies should read THE DUMMIES guide to eBay - maybe it will help.

(Public Service Announcement - the Womens bathroom on the 3rd floor near the break room is out of toilet paper - some one please WAKE UP GRIFF. thank you)

by: iheartjacksparrow

How can the Second Quarter performance be "strong" when all the numbers are going downward? Is Wall Street buying this?

by: UB

Our Ebay sales have sucked for several months as well as a few others we know including a friend that has sold for over 20 years and said this is the worse he has seen it ever.

by: The End

AAaalll Righty then    :o)

by: comments

I actually believe his strategy is working as well.

Tank the company as much as possible and get ousted ASAP to he can pull the golden ripcord on his golden parachute.

I wonder why no one realizes that the people that they hire to run this company bring absolutely no value to the table.....?

Princeton, Stanford, MIT, and Columbia can't crank out a student that understands that the sellers bring in the money and they need to be partnered with? High standards are a must but incentives over aggression will always grow the company faster.

Raising fees erodes the ebayconomy. No one has ever made this company more profitable by raising the fees or putting buyers and sellers at war.

by: Bonhoeffer

eBay continues to flounder for simple reasons. For example, shipping labels and the ability to send coupons have both been down for weeks.  But who cares at eBay? At least the Vault is up and running.

by: cfrphoto

Warning to those standing on top of the train. Low bridge ahead!

by: postbuster

So the failure is intentional... at the expense of other peoples businesses.

This strategy that has cost how many sellers LOADS of money and Losses of inventory from someone who We did not appoint in CEO.

Nor did the business owners get to speak up, let alone, get informed of this strategy to make the decision to leave before taking on Huge Losses before this ''Strategy'' affected them.

Admission to Sabotage for sellers success so they can manipulate others growth.  The Executives did not take any losses because THEY DON''T OWN ANY MERCH on the site.
All of the hardship was now imposed on the sellers WITHOUT WARNING!
I'm pretty sure that this has broken some kind of law or trust rule for the corrupt to pocket more benefits.  

by: Snapped

eBayzarro world logic.

by: Rexford

There are a lot of folks in this country, particular those in leadership positions, both in business and in politics, who are saying the exact opposite of what is reality.  Sadly they are getting away with it.

Follow the lies at your own peril.  Truth matters.

by: The End

The American People need an Independent Government Sanctioned Auction / Sales entity barring interference from "Other Interests".
NO CEOs.
NO Cancers (fees) on OUR earnings.
SANCTIONED means a Safe Place to do business WITHOUT buttinskis.
NOT BEHOLDEN TO or affiliated with WALL STREET in any way.
Make It Happen.  

by: pace306

And yet ... the people who brought you Credit Default Swaps and other insanities SWEAR the stock is undervalued ...

"As eBay Inc's (NASDAQ:EBAY) revenue had declined by 5.9% YoY in Q1 2022, we determined the outlook of the internet retail industry based on retail sales and e-commerce as a share of total retail sales. Moreover, we compared eBay with the top 10 largest e-commerce companies in terms of its market share, sales growth, analyst revenue consensus beat and stock price change.

----> Moreover, eBay's revenue declined by 5.9% YoY and 5% QoQ as the company's transaction volume declined by 17% but its take rate increased by 30 basis points to 12.1% as it migrated towards its Managed payments platform. <-----

In english - since they steal more from sellers and have m ore cash to reward stock owners - nothing else matters since they return more money. Good Grief - does that mean Robin Hood was that eras Warren Buffet ???

Want to know WHY you shouldnt trust Wall Street ??????

"To be sure, active buyers once again declined, falling to 138M from 156M in the prior year. Active buyers have declined sequentially in each of the past 4 quarters. Additionally, gross margins contracted by 570 basis points on a GAAP basis in the second quarter.

Shares rose 2.12% shortly after the results crossed newswires."

Hi, Id like to buy 10K shares in Studebaker please!

by: terry55

Is ebay and Dejoy working together to destroy small sellers??

by: Stone Cutter

*** New strategy is about “new”, not “used”.***

I saw an interview with the ebay CEO. He said that although Collectibles are a large part of their business, they feel they need to include newer categories.

It’s the new apparel market that is now making money for eBay. Particularly in sneakers...CEO said their promotion of shoes is now making money for eBay. Ebay plans to add categories for apparel and create other categories such as auto parts. Auto parts in the U.S. is a huge business as the average vehicle on the road is now at 12 years old.

Even on Etsy, the whole Vintage category is now gone because there is no real money in it anymore. Youthful buyers want newer innovative designs and the youthful buyer is where the money is.

Ebay is outdated and they know it. Ebay is trying to change that but it will take time.  

by: Stone Cutter

“The American People need an Independent Government Sanctioned Auction...”

As a taxpayer I say BAD IDEA.

How is that suppose to work? Governments are who keep businesses legit. Any government who creates a business for their citizens would be a ‘conflict of interest’.

by: The End

“The American People need an Independent Government Sanctioned Auction...”
As a Tax Payer and Entrepreneur I say IT's a GOOD IDEA !
MAKE IT HAPPEN ! ! !  

by: Weirdbooks

Well, some of the strategy is working.  eBay wanted fewer buyers, fewer items, and less traffic.  But they wanted equal or greater revenue by concentrating on high-ticket items and ''valuable'' buyers.

Heck, most businesses want that.  Fewer transactions for more money usually results in lower pre-sale overhead (storage, labor) and less demand for post-sale customer service.   Unfortunately, it seems that people buying $10k watches and jewelry prefer to buy them from a reputable B&M seller instead of eBay.  

Add to that the fact there are a LOT more people looking for a $20 bestselling book or a $50 vintage video game than there are looking for a $5k Bulova.

That said, for us Q2 2022 on eBay was up about 8% from Q2 2021, and that includes the fact we were on vacation for a week in June this year.  If we hadn't taken time off it looks like 2022 would be up 15% versus 2021.   So not all sellers are seeing the impact of the eBay changes equally.

by: iheartjacksparrow

Stone Cutter writes: "Auto parts in the U.S. is a huge business...."

The only advertising I ever hear for eBay is on the radio pushing their auto parts. At least once a day I hear a commercial where eBay states they have a billion (or some other large number) of auto parts for sale at great prices. Maybe eBay sees this as their future.