Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Wed Aug 3 2022 16:22:23

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

By: Ina Steiner

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eBay CEO Jamie Iannone said his strategy is working and called the second quarter performance strong despite a drop in both sales (GMV) and revenue Some data eBay highlighted in its Q2-2022 press release included the following:

- Revenue of $2.4 billion, down 9% on an as-reported basis and down 6% on an FX-Neutral basis

- Gross Merchandise Volume (GMV) of $18.5 billion, down 18% on an as-reported basis and down 14% on an FX-Neutral basis

- eBay's first party advertising products, primarily driven by Promoted Listings, delivered $232 million of revenue in the second quarter, up 2% on an as-reported basis and up 6% on an FX-Neutral basis

- The company's total advertising offerings generated approximately $275 million in revenue in the second quarter, representing roughly 1.5% of GMV

- Returned over $1.4 billion to shareholders, including approximately $1.3 billion of share repurchases and $121 million paid in cash dividends

eBay also disclosed that the number of active buyers fell to 138 million. That number includes 3 million active buyers on its Turkish marketplace GittiGidiyor, which eBay is closing, which would bring the number to 135 million. 

You can find the full press release on the eBay corporate blog.

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

by: notfunanymore This user has validated their user name.

Thu Aug 4 13:15:50 2022

They touted, (as if they had anything to do with it) GMV rise during the pandemic Who bought into that nonsense?  It was obvious that they, along with every other online retailer's revenue would rise... NO ONE WAS SHOPPING IN STORES! Now that the world has re-opened, their sales are down... So what was / is the strategy? Only in the "venue's" universe is the strategy working...

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

by: Toledo Maude This user has validated their user name.

Thu Aug 4 15:33:10 2022

Not eBay's CEO's (what's his name?) fault that everything is down.  Two years ago, the FED's were giving out money left and right to buy merchandise on eBay!



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

by: ShortSeller This user has validated their user name.

Thu Aug 4 17:07:58 2022

Sheer and utter incompetence in action.

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

by: ebayout This user has validated their user name.

Thu Aug 4 18:33:41 2022

eBay is like some snooty Lamborghini dealership that refuses to sell Certified Pre-Owned Jags, Ferraris, and other exotics...and even used Lamborghini.
They make NO sense. Just leaving money on the table...

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

by: I Must be Crazy This user has validated their user name.

Thu Aug 4 20:03:08 2022

Jamie Ionnone is in over his head.  

If they could keep the site functioning more than 66 percent of the time, they might actually realize some gains. I don't consider these results good at all. In fact they are quite bad. They just are "less bad" than what everyone expected; so that makes them good? Kind of backwards of you ask me.

The only numbers that are up are the first party ad fees. That sounds like the same strategy in place for over a decade; charge sellers more for the same (or worse) results.

As I have said before, EVERY SITE wants the product that Iannone's strategy is reaching toward. It offers the highest return for the least amount of effort. What did jump out at me when reviewing their financials, is the reduction in assets from $26.6b to $19.6b in the last 6 months. If I am reading that correctly, that is over 20 percent of the value of the company that is gone. Keep that up and there won't be anything left.

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

by: pace306 This user has validated their user name.

Thu Aug 4 20:09:19 2022

The question IS, WAS, and always will be - how long can you hate your sellers, steal from them, hurt them, abuse them - when THEY provide the goods YOU make money on - and still survive?

A long time since eBay has BILLIONS hidden everywhere - but (again) when your stock keeps dropping - MAYBE its time to REthink the plan.

As demonstrated by the corrupt Wall Street people - it doesnt seem to matter however - and THAT (in and of itself) should tell you ALOT.

Mercari and Posh are MORE then happy to pick up eBays slack - but they dnt (yet) have the right mindset or infrastructure to do so. Will they up their game? THIS year Christmas will tell you all you need to know.

Simple listing forms, no free catalog building, no forced UPC codes, cheaper shipping and a 3 day wait period for payments - hard to beat it!

Of course they still have back @$$ward feedback systems and you cant reach a human being for CS ....

eBay "really is for DUMMIES" - they just keep hiring them and letting them run amok!

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

This user has validated their user name. by: Bill

Fri Aug 5 00:14:08 2022

As I have been doing for a long time now I buy puts on eBay before the quarter numbers come out because the Wall Street goons push up the price before the quarter and then buy puts to unload their positions after the news comes out.
I have been making a lot of many every quarter and more then I had been making on eBay in the last few years.

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

by: plcombs This user has validated their user name.

Fri Aug 5 06:49:29 2022

Not a surprise, eBay's annual revenue hasn't risen meaningfully since 2015. Despite selling everything that isn't nailed down, and raising costs to use the site, nothing has really improved.

Users/users are declining at a steady pace, and sellers have declined by a bit more than 20% since 2014.

Not sure how the CEO thinks are going along just fine..?

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

This user has validated their user name. by: The End

Fri Aug 5 12:03:54 2022

My Face is Killing me  :o)
"eBay CEO: Strategy Working as Sales, Revenue Drop in Q2".....

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

by: fathertymme This user has validated their user name.

Fri Aug 5 16:16:46 2022

In today's ebay world Bad is Good and Down is Up, Dark is Light. It kinda sounds like our society at large. Sure glad I left them a long time ago

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

by: BatmanOfOz This user has validated their user name.

Fri Aug 5 17:53:46 2022

After 20+ years, I have Removed All of my listings from ebay. So...I now have Zero Buyers. By this idiot's logic, I guess I should be Thrilled!
ere-way in-ay the oney-may!
^^X^^

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

This user has validated their user name. by: The End

Fri Aug 5 20:29:41 2022

Ya   :o)
There's the old joke :
How do you open a small business ?
Open a BIG one then wait......

Ebay is the Wiley Coyote of this kind of thing.....


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

by: Snapped This user has validated their user name.

Sat Aug 6 02:59:19 2022

Thing is, it’s not Jamie’s plan.  He lifted it from one of JD’s “thinking days”.  A personal ice-cream gluttony fueled retreat where dazzlingly colorful sketches would emerge roadmapping eBay’s path into Wall Street legend. Who needs Power Point when you can splurge on the BIG box of Crayola’s (sharpener included!) on the company’s dime?

Page 1 - “Let go of our successful past”.   Well, that ‘strategy’ certainly seems to have worked.  But that’s not ‘your’ new sport coat, your emporor-ness, though no denying, it fits.  All the invisible one’s do.j

Incidentally charging more for reduction in service isn’t ‘growth’, it’s inflation.  And that’s not a strategy, it’s what results when those fail.

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

This user has validated their user name. by: Bill

Sat Aug 6 23:36:52 2022

Snapped,

Amen!

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