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Direct marketing strategy of eBay

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case study
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  1. Introduction
  2. Market analysis
    1. Key figures
    2. Major facts
    3. Major trends
    4. Main players
    5. Distribution
    6. Competition
  3. Current status of Tassimo
    1. An Analysis of the characteristics of Tassimo, compared to its competitors
    2. Match between consumer expectations and the characteristics of Tassimo
    3. Matrix Wear
    4. SWOT Analysis
  4. Conclusion

eBay is a computing platform that enables contact between the sellers and buyers (individuals or professionals) via the Internet. At its inception, there was no comparable business model that it could have been modeled on. eBay has become a leader in internet auctions, selling clothing, trinkets, cars, PCs and sometimes even unusual things (most recently an Australian has sold his soul!). This company is currently the most powerful player in the field of online auctions. The number of users continues to grow, and is currently 276 million dollars. In 2006, the company employed 11,000 people. eBay has adjusted to the new world of e-business, stressing on brand development, customer acquisition, technology outsourcing, and strategic alliances. Nevertheless, this online service faces many challenges. It is particularly vulnerable to attacks from hackers, unrest by those who denounce the sale of disputed items, the legal problems of the various countries in which eBay operates, and the challenges of progressing against protectionism institutions and so on.

eBay ("Electronic Bay") was established in 1995 by Pierre Omidyar in the United States as an "Auction Web" as a virtual garage sale. It was not until 1996 that it took on its final name. To compensate, Pierre Omidyar charged a 5% commission on each transaction. Overwhelmed by the success of his small business, it decided to hire and invest in equipment to meet a growing demand. Especially since the heyday of the Internet was in full swing. Its turnover rose by 20% per month in 1997. In 1998, the eBay founder wanted to introduce the stock market to continue its development. The IPO was a success, despite a difficult environment. The share value was multiplied by 25 in six months. It is also developing the website in the world, based on a strong concept: "Think global, act local". Internationalization, which continues to grow. eBay now operates in nearly thirty countries. Based in the heart of Paris, the French subsidiary now employs about fifty people. It was launched in 2001 following the acquisition of an i-site hexagonal bazaar.

In 2002, eBay acquired PayPal, electronic payment platform for 1.5 billion dollars. In the process, eBay offered Skype and other, etc. In 2004, the company employees had a 9000 turnover of 3 billion dollars. It today released its results more sparingly. eBay creates such enthusiasm as the site manages to unite a community around a brand image that conveys fun, friendliness and is responsible. eBay takes care to smooth its speech with a lot of communication.

In addition, the flea market spirit gives the company a friendly and relaxed side. Thus, "they consider that eBay protects the environment by allowing not to take and providing a second life to objects?, is the opinion of psychoanalyst Serge Tisseron, who examined this phenomenon. ?eBay is for them a more equitable distribution. " However, security is not neglected. Over the years, eBay refines its system to limit fraud. Users can rate each other as this is a simple way to know the reliability of a seller or buyer.

Tags: eBay; online auction site; marketing strategy;

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