Aug. 19, 2014, 2:09 PM
- With the help of its Braintree unit's Venmo Touch service, PayPal (EBAY +1.1%) has launched One Touch, a mobile payments platform that lets users quickly pay across multiple apps after logging in once. Braintree's recently-launched v.zero SDK has been updated to include One Touch support.
- Though Venmo Touch has seen a measure of success, PayPal's huge reach - it had 152M active accounts at the end of Q2, and is supported by scores of high-profile online merchants - should allow for much wider uptake.
- PayPal has made a long list of moves (I, II) to grow both its mobile e-commerce and offline payments share. The payments giant handled $27B worth of mobile transactions in 2013.
Aug. 15, 2014, 3:23 AM
- eBay (NASDAQ:EBAY), which has been contemplating bitcoin (COIN, OTCQB:BTCS) transactions since last year, may now start to accept the virtual currency at its Braintree payments subsidiary, part of its PayPal unit.
- Braintree processes more than $12B in annual payments, including many online and mobile companies like Uber and Airbnb.
- eBay and PayPal wouldn't initially accept bitcoin, but that could change over time.
Aug. 13, 2014, 10:37 AM
- ChannelAdvisor (ECOM +0.4%) clients saw a hefty 40.4% Y/Y increase in their July Amazon (AMZN +3.1%) same-store sales. That's up from June's 34.4%, and is easily the highest rate seen in the last 12 months. 38.2% of tracked Amazon GMV was fulfilled by Amazon, up from 29.8% a year ago.
- On the other hand, eBay's (EBAY -1.1%) same-store growth fell to 9.7% from June's 12.3% Auctions -8.2%, fixed-price +12.8%, Motors +8%. ChannelAdvisor sees the numbers as a sign eBay "continues to face headwinds" from Google algorithm changes and a May data breach.
- Search ad-driven same-store sales, which are dominated by Google (GOOG +1.3%) AdWords, fell to 7% from June's 20.4%. While average order value (AOV) grew 6% and conversion rates 8%, mobile growth led ad prices (cost per click) to fall 7%.
- Google Shopping/product listing ads (previous) continue to perform well: They saw 40.8% same-store growth, down a bit from June's 47.8%. Conversion rates fell 9.5%, but AOV grew 8.9% ChannelAdvisor thinks mobile is hurting conversion rates, and that Google is "counteracting that by showing higher-priced items."
- Amazon also rallied following ChannelAdvisor's June numbers. Shares tumbled a couple weeks later due to the bottom-line concerns caused by Amazon's Q2 report.
Jul. 31, 2014, 2:31 AM
- PayPal (NASDAQ:EBAY) now plans on bringing its small-business and consumer lending programs outside the U.S.
- PayPal Credit will soon be available in the U.K. and Germany, while PayPal Working Capital, its small-business credit arm, will expand to the U.K. and Australia.
- The online payment company challenges traditional lending, and offers unique products which use alternative methods for approving loans, such as "sales history" with eBay or PayPal. The company also does not charge interest on the loans, but rather charges a flat upfront fee and deducts a percentage of each sale to repay the loan.
Jul. 24, 2014, 3:07 AM
- EBay (NASDAQ:EBAY) is offering a new $3.5B bond sale to fund general operating activities as well as pay down outstanding short-term loans.
- The bond sale comes in the the middle of eBay's consideration of whether to transfer $9B held in cash overseas to the U.S.
- The company took a charge of nearly $3B this past April in anticipation of repatriating the funds to be used for acquisitions or other operating activities.
Jul. 23, 2014, 3:40 AM
- PayPal (NASDAQ:EBAY) has signed up tens of thousands of Nigerian customers after opening its online platform in the country last week.
- In a market often plagued by financial fraud, PayPal is offering online payment alternatives to Nigeria - Africa's largest economy.
- The company announced last month that in intends to enter ten new nations, bringing the total number of countries serviced to 203.
Jul. 16, 2014, 4:45 PM
- EBAY expects Q3 revenue of $4.3B-$4.4B and EPS of $0.65-$0.67, below a consensus of $4.42B and $0.70. It expects 2014 revenue of $18B-$18.3B and EPS of $2.95-$3.00, in-line with a consensus of $18.2B and $2.98.
- $1.7B was spent on buybacks in Q2, nearly even with Q1's $1.8B and allowing EPS to beat estimates in spite of a revenue miss.
- PayPal division revenue +20% Y/Y in Q2 (to $1.74B) vs. +19% in Q1. Total payment volume growth improved to 29% from 27% - eBay payments +13%, non-eBay +35%.
- PayPal active accounts rose by 4M Q/Q to 152M, and a deal was signed with GE to offer a dual-branded credit card. The related loan portfolio will be bought in 2016 for an estimated ~$1B.
- Marketplaces revenue +9% (to $2.17B) vs. +10% in Q1. In spite of Google's algorithm changes and the security breach, GMV growth was steady at 12%. Active buyers rose by 3.8M Q/Q to 149M. Enterprise revenue +3% to $267M.
- eBay's total enabled commerce volume rose 26% to $62B. Mobile made up 20% of the total, with mobile downloads producing 6.6M new customers.
- Opex +14% Y/Y to $2.18B. Cash/investments total $12.4B, and debt $5.3B.
- Q1 results, PR
Jul. 16, 2014, 4:16 PM
Jul. 15, 2014, 5:35 PM
Jul. 15, 2014, 2:37 PM
- Gautam Thaker, the head of eBay's (EBAY -0.5%) advertising and Shopping.com (comparison shopping engine, revamped last year) units, is leaving the company to become the CEO of daily deals vendor LivingSocial.
- The announcement comes a day after news arrived that another exec, Ken Moss, is leaving to become Electronic Arts' CTO. Moss was the head of eBay's Seattle office, in charge of its Marketplace Technology, Science and Data organization.
- PayPal president David Marcus left in June to become Facebook's messaging product chief. Q2 results arrive tomorrow.
Jul. 14, 2014, 12:47 PM
- Citing Google's algorithm changes and May's security breach, Pac Crest's Chad Bartley has downgraded eBay (EBAY -0.5%) to Sector Perform ahead of Wednesday's Q2 report.
- Bartley notes talks with eBay sellers found a majority "reported seeing an incremental slowdown in growth in late-May and June," and that a Q2 Pac Crest survey found "only 50% of eBay users changed their password after the breach, which tells us there could be a lingering effect beyond Q2."
- Plenty of others on the Street have already voiced concerns over the same issues, which have led eBay to underperform the Nasdaq since mid-May.
- eBay jumped on Friday after ChannelAdvisor reported a pickup in client eBay same-store growth in June relative to May. But growth (12.3% Y/Y) was only a fraction of the rate reported for Amazon client same-store sales (34.4%).
Jul. 14, 2014, 9:55 AM| 2 Comments
Jul. 11, 2014, 11:07 AM
- ChannelAdvisor (ECOM +6.9%) clients saw a 34.4% Y/Y June increase in their Amazon (AMZN +4.5%) same-store sales. That growth rate is well above May's 28.1%, and is the highest rate seen in the last 12 months.
- Client eBay (EBAY +2.5%) same-store sales grew 12.3%. That's a little better than May's 11.5%, and suggests the toll taken by a data breach and Google algorithm changes might be abating a bit. Auctions -19%, fixed-price +18.4%, Motors +10.4%.
- A positive for Google (GOOG +0.9%): Search ad-driven same-store sales rose 20.4%, a big improvement from May's 11.5% and the 2nd-highest level seen in the last 12 months. Cost per click (ad prices) rose 5% to $0.48, conversion rates 6% to 2.81%, and average order value (AOV) 7% to $137.02.
- ChannelAdvisor notes AOV has historically "been a good indicator of consumer sentiment," and that the appeal of Google AdWords for marketing costlier items remains strong.
- Meanwhile, Google's product listing ads (PLAs) keep gaining traction as a vehicle for selling cheaper goods. Their same-store sales rose 47.8%, sharply above May's 21.4%. AOV fell 8.7%, but conversion rates rose 10.5%.
- Deutsche has upgraded ChannelAdvisor to Buy. eBay reports on July 16, Google on the 17th, and Amazon on the 24th.
Jul. 3, 2014, 11:18 AM
- eBay (EBAY +0.8%) plans to bring its Click & Collect service (allows buyers to pick up eBay orders at local stores) to 650 stores owned by major U.K. retailer Argos. The company expects 65K eBay sellers will make items available for collection at Argos by year's end, and 80K will do so in 2015.
- The effort expands on a trial (launched last September) featuring 50 eBay sellers and 150 Argos stores. eBay claims the trial "proved successful operationally and incredibly popular with customers."
- Not surprisingly, eBay is taking steps to bring the service to the U.S. Meanwhile, Amazon is trying to gradually expand its delivery locker service amid retailer wariness, and Google has bought delivery locker startup BufferBox.
- eBay/Amazon argue their pickup services can both provide superior convenience (in some instances) and eliminate the risk an item will be stolen after getting left on a doorstep. The Argos expansion comes as eBay backtracks on once-aggressive expansion plans for its Now local/same-day delivery service.
Jun. 24, 2014, 4:04 PM
- eBay (EBAY -1.1%) has hired Craig Hayman, formerly an exec within IBM's Industry Cloud Solutions and WebSphere (middleware) units, to be the head of its enterprise unit (formerly GSI Commerce).
- Chris Saridakis, eBay's last enterprise chief, resigned in January amid weak top-line performance.
- The division, which provides e-commerce software and services to merchants, saw its revenue rise 8% Y/Y in Q1 to $269M. That was a notable turnaround from Q4's 2% drop.
Jun. 17, 2014, 1:57 AM
- PayPal (EBAY) is expanding today into 10 new countries in sub-Saharan Africa, Eastern Europe and Latin America. The expansion brings the total amount of territories PayPal serves to 203.
- Countries include: Belarus, Macedonia, Moldova, Monaco, Montenegro, Nigeria, Cameroon, Ivory Coast, Zimbabwe, and Paraguay.
- Customers that have web access and a bank card authorized for Internet transactions in the new regions will now be able to sign up for accounts.
- The company reported revenue of $1.8B for the first quarter of 2014, and 148M active accounts worldwide.
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