SlideShare a Scribd company logo
It is an auction website where everyone has
equal access to a single global marketplace.
Was found by Pierre Omidayar in 1995
Introduction to eBay
Growth Of eBay
It started with a broken laser pointer which was
sold for $14.83.
.
Jeffery Skoll,
first President
(1996)
First Third Party
Deal (1996)
Hosted
2,000,000
auctions (1997)
Received $6.7
million
funding(1997)
Meg Whitman
hired as
president(1998)
eBay went
Public(1998)
Purchased
iBazar(2002)
Bought
Paypal
(2002)
Acquired
StubHub in
2007
Bought
Skype (2009)
Success of eBay
It is based on model “connecting individuals
who will not be connected otherwise”.
Perceived value pricing: The customer’s value
perception is estimated on the image of the
product.
Voice of customer program: created an
opportunity for customers to have voice in
making decisions for the company, which made
customers feel like they are owners.
Fee Structure of
eBay
Fee Structure of eBay
It doesn’t buy or sell anything. It just creates a
platform for exchange.
It charges an insertion fee and a final value fee
based on transaction happening
It was adopted to deter low price objects and
low volume sales happening and to encourage
high volume sales.
Future Of eBay
Should encourage personal selling by developing
a mobile application. I.e.. Personal
communication between buyer and seller.
Should invest and develop in developing
countries like Africa.
Summary
Disclaimer!
Created by Sarath Chandra, BITS Pilani, during a
marketing internship by Prof. Sameer Mathur,
IIM Lucknow

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eBay Case Study