These strategies will enable the company to overcome threats such as high competition in its industry. Rapid economic growth in emerging markets such as China is an opportunity to the company to expand its operations. Copyright © 2020 - IvyPanda is a trading name of Edustream Technologies LLC, a company registered in Wyoming, USA. In addition, high competition is likely to reduce revenues, which in turn will reduce the company’s profits. A little eBay optimization can go a long way. H�b```c``��������A��b�,�|���GL��4-�;"t�yKZ�,G�g*aWV�]�4�U���qz�Xô� �"�� 2�w�v�C�)�W�ʺO�Mx"?�Je]��D�SO>�v���И*ZPiZzL%2f���4JRgM+�S�Z��և�VB)��l;��،�)���.���E�|��Z�E'�����J�}�Ui�2��N�8��֪�-��kh��$�0��W��W!Y���h$��tc���8�Zze�9��m�۰�.�틭^��c۝�6� � J�� � ����� 0O��k�9����O�b��—���ąY�Ͼ��}IԢ���=Z��s+Þ�L���ćM��O���Mo\�� '2L�4c��|�c}4 ����|����W̔v_WkK2�wx���a�h"6c= With these top 5 tips in action, sellers can enjoy the benefit of increased sales and profit. Third, the company has put in place measures to ensure trust between buyers and sellers. The collaborative approach to strategy formulation enables eBay to provide services that satisfy customers’ needs. You are free to use it for research and reference purposes in order to write your own paper; however, you must. The factors that explain the success of eBay include the following. 0000001200 00000 n The factors that explain the success of eBay include the following. 2019. June 26, 2019. https://ivypanda.com/essays/ebay-strategic-marketing/. 0000000931 00000 n "eBay Strategic Marketing." 0000008363 00000 n Fourth, the company should focus on improving shopping experience on its website. Moreover, the fee structure is expensive to customers who sell products whose values are low. The company should compensate for the reduction by increasing the final value fee. It contains thousands of paper examples on a wide variety of topics, all donated by helpful students. First, the company depends on transaction fees as its main source of revenue. IvyPanda. The database is updated daily, so anyone can easily find a relevant essay example. 26 June. (2019, June 26). Join me live on tips and tricks to gain more traction and views to your eBay store. Improved interactions among buyers and sellers through smartphones increase the trade volume on eBay’s website. Rather, eBay’s product is the website itself. The key to profiting in the new world of eBay lies in some tried and true marketing techniques and some digital age selling savvy. " What’s your deadline? eBay was only able to gain a market share of 3 percent [viii] and finally decided to go out of the Japanese market in 2002. Introducing shipping services will improve consumer trust and reduce sellers’ transaction costs. Buy & sell electronics, cars, clothes, collectibles & more on eBay, the world's online marketplace. This structure discourages the use of the company’s services because sellers pay more to list rather than to sell their products. A firm’s marketing mix (or 4Ps) defines the strategies and tactics used for executing a marketing plan, involving decisions regarding product, place, promotion, and price (4P) variables. With 128 million users, sellers need to optimize their strategies to get the most out of the giant opportunity. Second, the fees for selling various products should be different. In addition, it has invested in technologies that facilitate payment and communication between buyers and sellers at a low cost. Second, eBay has a huge customer base. During the initial years of the establishment of eBay, not a single dime was spent by the company for the purpose of marketing. The resulting improvement in customers’ confidence enables the company to attract and retain new clients. Because eBay is a firm that provides online platform for people to trade with each other, eBay does not sell anything directly to the users of eBay. For full functionality of this site it is necessary to enable JavaScript. eBay Inc.’s generic strategy for competitive advantage focuses on economies of scale for the profitability of the online auction and retail platform business. This will facilitate revenue maximization since the auction price is often higher than the listing price. Unfortunately, your browser is too old to work on this site. ⏰ Let's see if we can help you! Keep yourself safe by staying at your home and let us work on your assignment. This will be followed by analysis of the company’s success and fee structure. Electronics has been at the fore front for Ebay. eBay Inc.’s marketing mix or 4P is an example of how this type of e-commerce business can maximize its online service revenues. �{�)�ַ�)����ʇl5̿F�g��5��J�F�n��%��� �)�o�.��5?l� Search for listings, products and sellers that are already selling large volumes and try your best … �r��~�X ��f�-��!A��,d��g&���,$9R!rἕe)h�Ftr��?u�R|�#�^�u�wZ�C�Ntȱ��ެf��~)r#� LB�g����GI��p�Ȩq8z��@�g���al�o;y��|��䯫\�J��6J�woԈ\Q�k��M#��P�؁���Q5� �U�f��(.ڭl�3Z��$7�s��lH�k�M7��ݜ��D}�� 4. The high insertion fee is a disincentive to sellers with low sales volume because they might not be able to recover the cost of using eBay’s services. EBay Company’s Marketing Managment Case Study Reasons why eBay have succeeded as an online auction market place Kotler and Keller assert that the success of eBay was as result of their capability to create new pricing strategies that enabled the bidders or … As of 2020, there are several marketing strategies like product/service innovation, marketing investment, customer … Ways to gain more shoppers and funnel traffic to your eBay store. In Michael E. Porter’s theory, generic strategies determine competitive advantages in target markets. 296 0 obj << /Linearized 1 /O 299 /H [ 1200 830 ] /L 698795 /E 106169 /N 27 /T 692756 >> endobj xref 296 29 0000000016 00000 n H��Wٖ�H}�Wģ̱�2���P4L7��ez`��,;�d�hq|�D�"�l����FF޸q#"� �7����Rt� ��n�Nv�*�Q���nش�����j ���,��(�`U ��kK�G~�@r�gA��,�,�!��Z���B?�xFv�����X����3�g��Wf�u M3|��i�D����0�s�1�Ж8ڵ�&�F��IB��ytnY���>8}Gg,��#�sэ>ܔ��y���e�U�eߪJj���trc-Iћ�j��U�>̗�ϗ�������X���;hx@�A:�l#�-k��:F+�xlc�D�p�r����� If you continue, we will assume that you agree to our *����-�[8��-�����#�⓸9�bqdֆ�� �GH����Y���%JwWc��F���K>�f;@���eB5A��3Ov��_�޷�#�oǾ�d�,���3| �n�_c���+ ��ɽ�1d^k�:nӹ�lK^�I�֫�fia��/��c�~*�^�>���0��f:�/��\"O{M1�V° ��فy�A���\�ieyn��. 0000002691 00000 n Marketing, New York: McGraw-Hill, 2004. This booming market reminds academics to do further research in this area. Second, eBay should provide online advertising services to sellers. Advertising services will also be a source of income to the company. Order & download for $12. The company can use these technologies to reach more customers, thereby increasing its market share. The fee structure should be improved through the following strategies. 0000008386 00000 n This is IvyPanda's free database of academic paper samples. Third, eBay has succeeded due to its expansion strategy. But as the competitors increases its marketing strategy changed (Gopalkrishnan and Gupta 2000). ebay's latest marketing strategy. Aug 27, 2016 12:58:01 PM "What a great idea" the leader of the weekly marketing meeting said to one of the participants. professional specifically for you? eBay has been successful because of its ability to facilitate effective interactions between buyers and sellers. ��qA�0�#e�["�������'Jn�= =�9�q���Ӻ�s�ϯ�����q�Q�m_y�#��}��M[(Yn�N6�F���߻�?��+ ���V�v?�'|;�N����?�8�ٯ��i����8γ �-���~���.�����$��y4q �# 0000078617 00000 n Top brands, low prices & free shipping on many items. 0000003108 00000 n Print. At the same time, the competitiveness of the market is illustrated by our analysis, since price outcomes are much more homogeneous than eBay sent a survey to shoppers, but it appeared to be more of a marketing-engagement strategy than an actual attempt to gather and compile useful information for eBay decision-makers. Marketing Mix of eBay analyses the brand/company which covers 4Ps (Product, Price, Place, Promotion) and explains the eBay marketing strategy. eBay business strategy can be described as service differentiation with the focus on user experience of both, buyers and sellers. Cookies Policy, This case study on eBay Strategic Marketing was written and submitted by your fellow student. A recession in major markets such as the US and Europe will have a negative impact on the company’s earnings. Need a custom Case Study sample written from scratch by From our experience with selling on eBay, the fundamental difference between regular sellers and pro sellers is marketing. This case study summarizes the strategic approach used by eBay to take advantage of increased consumer adoption of the Internet. 0000002008 00000 n IvyPanda. IvyPanda. Following this model, the company started to show description of product and attractive visualisation, which motivated customers to buy product from EBAY site. It will begin with a SWOT analysis of the company. 0000004002 00000 n This will enable it to serve buyers and sellers who are currently not using its services. First, the company has an effective marketing strategy. Instead, it relied solely on viral, word of mouth marketing. %PDF-1.4 %���� -|e�;�j-&�l��xnyf�d�F�d 4p����En�L�����jnQ����RN�Y��Y��oA��M�F�I�L�{g�2^v��lWpKx��[���j�2>����v*e|�~q��Ϊk<>3�^.�lrN�h����'"~�yw%O���]��4�N����Ȯ��d�9�V �K2�瘥\�� �cg�����s��9��� Ig'�p��ʹ��KF��Q"�>�#n>1q�Aj��5�S. 0000003973 00000 n 0000002460 00000 n The resulting improvement in customer satisfaction and loyalty enables the company to defend its market share. In addition, eBay should provide excellent customer services to improve customer loyalty. Thus, it cannot use its marketing initiatives to increase sales on its website in order to improve its revenue. The marketing mix of Ebay discusses the 4 P's of marketing for one the giants of the E commerce industry. in eBay auctions, and with the outcomes of these auctions. 0000105557 00000 n 0000001049 00000 n 3. For instance, a product worth $30 will cost $2.8 to sell, whereas selling a product worth $60 will cost $3.42. The survey came in the same format as an eBay marketing email. This exposes it to the risk of making losses if competition results into a reduction in transaction fees. ����B�c0ɖ�%���b� SJ��- �@L�X hll��>44d4P�>$+a$��3���Ҡ$�g`Lb�c�����L���x��36063�zi�q��L�5.�&�&����3\M�ͤ�p/ǀ�#��������X�p���f�{�^L��O�c��(��1�����Q���9QfgfLg8�=����Y"+���nj]'�0q2��BI�7�B��4����� eBay is an American multinational e-commerce industry that was formed during the year 1995 and is headquartered in California, United States. The pricing policy is mainly demand driven and customer oriented. 2015). }4��"哉�� ;���M��0�`���IS�c���p�P�*utt�� Lv �E\\��� 0000002030 00000 n As a result, the company will be able to serve more customers. The system should enable buyers to reclaim their money if their goods are not delivered. eBay’s economies of scale are a foundation on which the e-commerce business grows and expands globally. 0000003743 00000 n First, the listing fee should be reduced to encourage more people to sell their products through the company’s website. eBay marketplace: By introducing the fixed-price listing format v/s only auctioning of the products in the year 2012, accounted for over all 66% of the eBay’s GMV and remaining 34% from GMV. View Samples. Grewal And Ebay: Definition Of The Marketing Strategy? 0000045794 00000 n The company has focused on acquiring established and trusted online retailers such as Shopping.com and StubHub. The 7 Essential Steps to Successful eBay Marketing " delivers the optimal mix of proven marketing and business management strategies, and eBay … The company provides a platform that enables individuals and businesses to sell and purchase efficiently. Academia.edu is a platform for academics to share research papers. To begin with, the company is facing increased competition from large and well funded companies such as Google. For instance, the company has adopted mobile phone applications that enable buyers and sellers to access its services through smartphones such as iPhone. "eBay Strategic Marketing." Second, eBay has focused on improving its efficiency in order to reduce transaction costs. Furthermore, it helps the company to avoid high competition in overseas markets. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. E-Business Marketing Strategy of Ebay. A case study focusing on eBay strategy. A SWOT analysis of eBay, not a single dime was spent by the e-business.. On the ceaseless efforts made ebay marketing strategy pdf its competitors if it can not improve its revenue not make online because! 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