Top things to know:
- eBay performed better than expected by all measures, with GMV growth of 22 percent compared to last year.
- We increased our active buyers by 5%, which brings us to 183M globally.
- Jamie emphasized that our three new vertical launches — watches, sneakers and certified refurbished — are the start of the new eBay.
Good afternoon!
Wow, what an exciting time to be at eBay. Yesterday, eBay shared our Q3 2020 business results and it was another incredible quarter. Our revenue grew 25% to $2.6 billion, and we added more than $4 billion in volume versus last year - this is more than many of our competitors do annually! But here’s my favorite stat: our active buyer base grew another 5% to 183 million. And these shoppers — both new and existing — are spending more than ever before.
We entered Q3 with high expectations, and there’s no question the pandemic-related shift to online spending has had an impact. But the real optimism and excitement comes from seeing how the recent changes that we’ve made to improve the shopping experience are driving our business.
I’m proud of how much ground we’ve covered, and how we’ve doubled down in some enthusiast categories like Watches, Sneakers and Certified Refurbished. We listened to the needs of both buyers and sellers, and your feedback shaped the course and milestones we’ve set for ourselves. So here’s how we’ve approached some of these opportunities:
In September, Authenticity Guarantee for watches above $2000 went live and since then, we’re already seeing more inventory, more engaged buyers and higher sales prices for our sellers. A few weeks later, we announced Authentication for sneakers, and the response from media, influencers and customers has been incredible. Topping it off, we launched a new destination for Certified Refurbished inventory last week — with inventory that offers incredible value and is available exclusively on eBay.
We’re in the first phase of what’s sure to be a multi-year journey, with a lot of ground to cover ahead of us. But our Q3 announcements are a big step toward realizing this vision of delivering better, bigger vertical experiences (both in capability and policies) for buyers and sellers.
There are so many other factors contributing to our success and positive outlook.
- Managed payments made significant progress because buyers are using the expanded payment choices we’ve offered, while sellers are saving money with a simpler eBay experience.
- Knowing that delivery is a key concern going into the 2020 holidays, we partnered with UPS and FedEx to lower shipping costs and eliminate peak-season surcharges. We’re excited by how both parties showed up to help you, with service in mind, to help scale your business during what will surely be unprecedented holiday shipping volume.
- The new Time Away feature offers additional peace of mind and will hopefully let you enjoy vacation while managing your business.
Back when COVID emerged, and consumers flocked to eBay for essentials and other goods, it would have been easy to ride the wave — to bank on shoppers sticking around once ‘normal’ shopping resumed. But I promised we weren’t going to be complacent or take anything for granted. 2020 was always going to be an opportunity to roll up our sleeves and deliver a better platform — one that turns casual buyers into lifelong shoppers.
We’re really encouraged by this quarter’s progress, while keeping in mind that things remain ‘dynamic’ and there are no straight lines. You’ve let me know that trend information is helpful — what’s selling, what’s in demand — so I’ll keep sharing that type of data. And know with certainty that we won’t let up — we remain focused on driving your business and positioning you for success in the years to come.
It was a great quarter and there is a lot to look forward to as we think about the holidays and planning for next year. We wouldn’t be here without you, and I’m excited to be on this journey together. So, as always, thank you for your support and thank you for selling on eBay.
Jordan
For more on eBay’s Q3 2020 earnings visit https://www.ebayinc.com/company/.
