Sellers may not realize that eBay has a division devoted to using its funds to invest in startup companies. Among the latest investments are Cudoni (a UK "luxury resale platform") and Notable Live (which "will bring exclusive player merchandise, non-fungible tokens (NFTs) and experiences to the eBay platform").
eBay tasked its Vice President of Strategy Beatriz Reyero, a former Morgan Stanley investment banker, to head
eBay Ventures, which it describes as follows:
We partner with founders to power ecommerce innovation
Since 1995, eBay has been helping entrepreneurs create economic opportunity on our global marketplace platform. Now, eBay Ventures is bringing this expertise to young and innovative founders, partnering with them to help their models succeed. Our investment and strategic expertise, paired with our global ecommerce knowledge and reach, uniquely position us to support your growth and innovation. We know how to build an enduring business - and we'd love to help your startup succeed, too.
Reyero, along with eBay Ventures "cofounder" and lead Henri Jaanimägi, both come from eBay's Swiss offices with backgrounds in management consulting - Boston Consulting Group and Bain & Co, respectively. (Want more background - see this
job posting for an Operations Associate at eBay Ventures in Bern.)
eBay Ventures states on its homepage, "We invest in disruptive early-stage companies who are revolutionizing the commerce landscape," and it doesn't restrict itself to investing in startups that directly impact the eBay marketplace.
"We're scaling experiences at the forefront of a tech-led reimagination. Any and all startups building the new age of digital innovation are welcome," eBay Ventures states. "We partner with visionary entrepreneurs seeking to create lasting, impactful companies to transform the online economy. If this sounds like you, we'd love to hear from you." Founders can pitch their startups to eBay by filling out a form that includes a field to enter their presentation. (Pitching ideas through a webform seems a bit odd.)
Some readers may remember eBay had a similar division during CEO Meg Whitman's tenure that Alex Kazim headed called eBay New Ventures, which helped build eBay's international classifieds division back when current Etsy CEO Josh Silverman was at eBay. (Kazim is a so called "boomeranger," back at eBay and heading its Global Advertising unit.)
One thing is for sure, eBay has cash to dabble in venture capital investments - it had $4.8 billion at the end of the 3rd quarter (
September 30, 2022). While VC is typically risky, it gives eBay a foot in the door if the startup is successful - and if one of those startups ends up becoming the next big thing, it could result in a sizeable payoff.
If you were responsible for picking and choosing among ecommerce startups, what kind of products and services would you be inclined to greenlight? Or would you the funds differently?
Why Is eBay in the Venture Capital Business?
by: toolguy 
by: The End 
by: Rexford