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Ian Puzdrowski

on 25 March 2015

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Transcript of eBay

design by Dóri Sirály for Prezi
Core Values:
E bay's core values are to provide customer service, embrace and drive change, create fun, be different, be adventurous, be open minded, pursue growth and learning, build open and honest relationships , have a positive team, family spirit and to do more and stress less.
Company Description
eBay uses both value-based and cost-based pricing, because it depends on the goals of the individual buyers and sellers. In addition, the large variety of items require different strategies.
Pricing Strategies

eBay's main strategy to separate themselves from their competition is differentiation. Because of the innovative style the company uses (buy-and-sell bidding process) they offer a service that others cannot.

eBay also utilizes the low cost strategy and customer intimacy to a certain extent. People get the impression of low cost because they have the chance to bid the amount they want on an item. They offer intimacy by having easy return policies, "claims court," and a rating system for both buyers and sellers
Dominate Strategy
How Ebay uses e-commerce
Ebay uses e-commerce with its ability to allow people to sell goods to buyers through the Intenet.

Competitive advantage of Ebay's e-commerce
Ebay is a company with no inetory costs that allows people to bid and purchase items without leaving there homes.

Impact of E-commerce and Social Media
Business Definition:
To provide a global online marketplace where practically anyone can trade anything, enabling economic opportunity all over the world.
Strategic Direction:
To become a market for mobile shopping, expect to grow to $300 billion in the next two years becoming the leader in the global commerce industry
Located out of San Jose, California, eBay is a multinational, publicly traded company that sells items put up by individual sellers. The sellers pay a small fee to sell on the platform making them sellers as well. Through the website consumers can bid on and buy the items. In the commerce and retail business eBay is taking steps to become a technology and mobile leader. With the use of the internet eBay can reach customers all across the globe.
Industry Structure Analysis
Strategic Infrastructure:
E Bay's core competencies are massive growth, constant change trustworthiness and intolerance for latency in all processes
They have Paypal, commerce divisions and they are a leader in the mobile/ tech industry
Rivalry among existing firms - craigslist, amazon, overstock
Potential entrants - bonanza, strictly National platforms
Suppliers - suppliers are the customers; no inventory
Intermediaries and buyers - can bid and get "steal" on item
Substitutes - other online sources, resale stores, in-stores products
Creating Satisfaction and Loyalty
Improving Customer Satisfaction and Loyalty
Ebay creates the opportunity to get great products with flexible pricing through bidding.
Ebay protects customers from things such as fraud and material misrepresentation.
The 2013 Customer satisfaction score for Ebay is 82, according to www.statista.com
Major Target Market Segments
Target Market Segment
They could set up a rewards program for both heavy users of eBay and for the up-and-coming user. An example would be to offer people their first few listings free of charge, saving them from some unwanted fees.
Another interesting idea is if they set a protection plan for good customers in case they have to deal with angry/bad buyers/sellers.
Target Market Segment:
Innovative, entrepreneurs
People looking to make a profit
Target Market Segment
Middle Class

Segmentation Variables
Younger people and families
Average people in their normal lives with children needing everyday types of items.
Recommended Segments

People who love technology
Younger men and women
Reaching out to younger people or younger families through the use of buyers and sellers with technology.
Target Market Segment
Attributes used by buyers in the segment to understand brands:
(Middle cost technologically savvy)
Social Favorite
Easy to navigate
broad range of items
price options
Google Merchant

Dimension 2:
Major competing brands
Dimension 1:
Google Merchant
The Fundamental Way to Position the Product:
Positioning by price or quality. EBay, with the option to bid on items, gives consumers the opportunity to get a quality item for a great price. This also gives the seller, who is also the customer to eBay, the opportunity to make profit when bids go higher than the asking price.
Robert Gibson
Ben Sofferin
Megan Harris
Mengyue Xu
Ian Puzdrowski
Organizational Benefits From Brand Equity
Brand Strategy
eBay is a very well-known company.
It has a differentiated platform from other companies with its individuals buying and selling to each other.
They get loyal buyers and sellers through how they handle their buying and selling.

Integrated Marketing Communication Objectives
The actual name eBay is very well known across the world. However, since the products are put up by individual sellers there is no real product branding. The customer sees the brand as strong and differentiated from other companies due to the bidding and selling options
Create demand for products
eBay creates the marketplace for customers to come and buy, they also create demand for the sellers by offering an opportunity to make profit.
Brand Awareness
Integrated Marketing Communication Campaign
With over 100 million users eBay is a very well known company.
In 2005 eBay topped the list for "top brand on the net" according to BBC News
eBay has been a strong brand with a recognizable logo and high consumer awareness
Through the years, eBay has had many campaigns to help establish their name.
One of their past major campaigns was the "It" campaign which said "whatever it is, you can get it on eBay."
Their newest campaign is the Shop the World Campaign.
Perceived Quality
eBay offers the opportunity to get quality products for an affordable price through the bidding platform.
This platform presents a unique opportunity for sellers and customers alike!

Build Relationships and Loyalty
eBay focuses on the wants and needs of customers and creating loyal customers through good service and high quality
Brand Associations
Provide Information
eBay informs customers of price, ratings, location, condition and item description
The brand is typically associated with the opportunity to sell items and make a decent profit back
As said in the last slide eBay is also associated with great consumer opportunity.
Brand Name Piracy
eBay has had some piracy problems in the past with counterfeit DVDs that were sold
Now eBay has policies set up to catch sellers who pirate materials.
Joint Marketing Strategy/Brand Strategy
Currently eBay works with PayPal. However, they are splitting in the next year, so eBay should look to find a new partner that allows mobile sales easier.
eBay should also work with other online companies that sell on eBay to promote their name while promoting their sellers.
Value Propositions
Product Leadership: There are many different products with high perceived value.
Customer Intimacy: eBay focuses on what customers want and satisfy their needs.
Operational Excellence: There are high quality products at a low price through bidding services.
Personal Selling
Personal selling is an element that eBay does not utilize like most organizations do
eBay's main form of sales is missionary sales because none of the sales are actually eBay doing the selling; eBay works as a facilitator to the sales
The only form of direct sales within eBay is that from the seller to the buyer; eBay aids the seller in the process, but the direct selling is done by the customers
The only type of "salespeople" used within eBay are inside sales support; people can help with the purchasing or selling of items if needed
Roles and Responsibilities of Salespeople
There are no "salespeople" in eBay necessarily. There are advertising teams that create and perform the marketing plan; there are also facilitators that help customers in setting up their sales. All buy-and-sell activity on eBay is done via the customer
That said, there is no "contact" that we could find for eBay. With an eBay account, though, we sent a message to Customer Service hoping for a response. Not surprisingly, yet disappointingly, there was no answer.
eBay is a very price sensitive organization. Based on the fact that items are bid on and can go for a wide range of prices. Therefore there is a ton of fluctuation in pricing
There is a ton of differentiation and price competition both within eBay itself and among it's competitors. The style eBay offers (bidding) automatically makes for a variation in prices. Factor in that quality of items and of the seller effect the price and we have different prices across the board. Also, there are plenty of other sites that offer similar services
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