Home Featured Article eBay’s authenticity guarantee gains traction as luxury watch sales accelerate in Q1

eBay’s authenticity guarantee gains traction as luxury watch sales accelerate in Q1

by Alex Douglas

eBay has been eager to make noise about its authenticity programme over the previous few months, and so it ought to.

In guaranteeing authentication for watches bought on its platform for $2000 and extra, the promoting of watches on eBay appears to be rising and rising.

In Q1, eBay noticed important development in its core classes, with luxurious watches one of many key elements of this success.

The class noticed acceleration of 38% in Q1, versus development of 16% in This fall of 2020.

For the group as a complete, a income of $3bn was up 42% on an as-reported foundation and up 38% on an FX-Impartial foundation.

A gross merchandise quantity of $27.5bn was up 29% on an as-reported foundation, up 24% on an FX-Impartial foundation.

Efficiency within the first three months of the yr meant shareholders noticed a return of $414m, together with $292 million of share repurchases and $122 million paid in money dividends.

Commenting, Jamie Iannone, CEO at eBay, stated: “We delivered one other robust quarter for the corporate and a very good begin to the yr for our consumers and sellers. We generated super quantity and earnings, with income development the very best it has been since 2005.”

“Final July, I laid out our imaginative and prescient for a Tech-led re-imagination of eBay and our outcomes show this long-term technique is working. Whereas we’ve got extra work to do, we’re assured we’re on a path of continued development within the years forward.”

The talked about tech-led re-imagination factors in direction of initiatives just like the authenticity assure in addition to web optimization efforts in core classes.

The group predicts the web optimization efforts significantly added roughly one level of energetic purchaser development in Q1.

Commenting on and forward of WatchPro’s Particular Report on belief and authentication earlier this yr, Tirath Kamdar, GM of Luxurious at eBay, stated: “Citing latest improvements like eBay Authenticity Assure and providers like Escrow, it would communicate to the gravity of belief, the duty of authentication, and the motivation that transparency gives luxurious resellers as they search to develop their clientele base.

“It should present how manufacturers like Patek, Piguet and Rolex have gained elevated prominence (with out a lack of status) amongst a brand new technology of collectors through elevated on-line availability. And why, with Gens Y and Z anticipated to characterize greater than half of luxurious shoppers by 2021, the necessity to legitimize on-line luxurious transactions has by no means been larger.”

Including: “And since our inaugural report emphasizes the significance of offering an accountable, respected and moral ecommerce platform to take care of the very best diploma of belief between consumers, sellers and types – it have to be famous that every report is researched and written by WatchPro.”

The corporate additionally launched its first Recommerce Report which revealed that, based on eBay’s newest survey of its sellers, 87% of U.S. respondents say that they’ve bought pre-owned items in 2020, and nearly three-quarters of sellers surveyed started promoting pre-owned items final yr for supplemental earnings.

You’ll be able to learn the WatchPro and eBay report here:

The put up eBay’s authenticity guarantee gains traction as luxury watch sales accelerate in Q1 appeared first on WatchPro.


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