Classified information websites Craigslist and eBay are the originators and pioneers of e-commerce, creating today’s online transaction framework. Back then, after the C2C model was pushed back by Taobao, eBay made a comeback in the field of cross-border e-commerce, targeting China’s cross-border e-commerce retail export business and taking the lead in helping Chinese sellers establish an online sales channel directly facing foreign end consumers. In 2010, AliExpress was born, and it targeted the eBay pie. These past episodes are worth recalling.
At first, there was not much overlap between the two parties. eBay mainly catered to mature overseas markets in Europe and the United States, while AliExpress started and became popular in new economies such as Russia and Brazil. It can be said that they are living in peace. As a leader in global commerce, eBay helps consumers around the world purchase the products they love and need anytime, anywhere, and as they please. Therefore, the products on the eBay platform are diverse and of many types.
Bay’s financial report shows that GMV in 2015 was approximately US$82 billion, of which 59% of transactions were completed in countries other than the United States, and cross-border transactions accounted for more than 20%, with SKUs exceeding US$800 million and the number of sellers exceeding 2,500 million, with $162 million in annual active users. It can be said that any product that consumers need and like can be found on eBay. Strong global trade demand is the fundamental reason for eBay’s second great development. The proportion of cross-border trade on eBay once exceeded 20%.
As a 2C e-commerce platform, eBay’s platform service commissions and advertising are its main revenue sources. Nearly half of its profits come from PayPal and more than half of its profits come from itself. Recently, due to the weakening of the shopping experience and the slowdown in growth, the limelight has been completely overshadowed by Amazon. The areas where eBay is truly strong and profitable are the United States, Germany, the United Kingdom, Australia, Canada, France and other European and American countries.
In the eyes of Chinese sellers, these countries are buyers; in fact, these areas contribute many sellers and are an important source of profits for eBay. Among the Top 1,000 sellers in 2015, China ranked first, and 1/3 of the 15 most popular categories were exported to Europe and the United States. There are both lower-cost products and high-value-added products on the eBay platform. Product sales trends are mainly affected by market trends and buyer demands. However, in general, the characteristics and cost-effectiveness of the products have attracted more attention from consumers.
In terms of coverage, eBay is still the world’s largest e-commerce platform, and it also performs well in Russia, Brazil, Israel, Spain, Norway, Argentina, Italy, Greece, Sweden and other countries.
Mature markets in Europe and the United States are characterized by strong per capita purchasing power, widespread online shopping concepts, mature consumption habits, and complete logistics and other supporting facilities. Consumers have relatively high requirements for product quality and buyer experience. In addition to sellers In addition to choosing cost-effective products, you must also provide services that are comparable to “retail standards.”
Emerging markets have huge development potential, but language, culture, logistics customs, market norms, laws and regulations are very different from mature markets. The time and labor costs that sellers pay for a single transaction are relatively high. Before entering the market, sellers need to familiarize themselves with the market conditions and start selling from product categories they are familiar with.
In addition, the total B2B merchandise sales on eBay reach US$4 billion annually, with more than 7 million product SKUs. eBay has also launched many convenience measures for sellers, such as Seller Hub seller marketing tool services; comprehensive logistics project GSP global shipping plan: sellers only need to send the products to the UK distribution center, eBay is responsible for subsequent fulfillment; global cooperation with Wanyitong Winit Overseas warehouse services.