EBay Pilots New “Click & Collect” program

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EBay (NASDAQ: EBAY) is creating a pilot click-and-collect program that allows U.S. shoppers to buy goods from eBay online and then select a physical retail location where they can be delivered.

The online giant is currently running the click-and-collect model in the U.K. where it said the program is performing well.

“We’re seeing great consumer engagement with our Argos Click and Collect partnership in the U.K.,” said John Donahoe, president and CEO in an earnings call Tuesday.

EBay launched its click-and-collect program in the U.K. in September. EBay customers there can buy from more than 100 sellers and collect their purchases in more than 100 Argos stores across the U.K.

As eBay continues to test new technology, the company is looking at more ways to strengthen mobile initiatives. EBay said it is working with select retailers to test beacon technology to give merchants a direct connection to consumers via their mobile devices when shoppers enter a store. EBay also said it will continue to add more in-store PayPal digital wallet partners, which will allow shoppers to order and pay ahead and skip the line in-store.

The new mobile programs are being launched for good reason. EBay released its quarterly earnings Tuesday, and said mobile continued to be a major contributor to commerce volume. In the first quarter, the company earned $11 billion of mobile commerce volume, up 70 percent from last year, and added 6.5 million new customers via mobile in Q1. EBay also highlighted its mobile partnerships with Samsung and Deutsche Telekom for driving innovation in mobile during the quarter.

Overall, eBay reported a first-quarter loss of $2.3 billion due to a tax charge on foreign earnings. That compares with net income of $677 million last year. Revenue increased 14 percent compared with the same period in 2013, to $4.26 billion.

PayPal was once again eBay’s strongest segment, growing net total payment volume by 27 percent and revenue by 19 percent year-over-year. Revenues on the marketplace side were up 10 percent.

For more:
-See this eBay earnings call transcript

By Jarrett Neil Ridlinghafer 
CTO of the following –
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Chief Technology Analyst, Author & Consultant
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Cloud Consulting International

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