While it started as an auction site, 80% of its offerings have now a fixed price.
On Tuesday with eBay publishing a new stream of data, the number of million euro businesses selling on its platform have grown to 1,095 from 731 in Germany last year since 2013.
“Millionaire” online businesses selling on eBay have jumped by 50% in key international markets, including Britain and Germany, in the last four years. This is despite currency swings that have acted as headwinds and have slowed growth outside the United States.
These two big European markets were collectively responsible for nearly 30% of eBay’s total net revenue of nearly $9 billion in 2016. This is despite their currency declines against the USD.
Two prime examples are England-based MusicMagpie.co.uk, which buys used CDs, DVDs and electronics from consumers for resale on eBay across 140 countries and MaxGear, a cycling accessory sellers which has yearly revenues of $4.51 million (3.5 million pound).
Twenty Two years ago when eBay was founded as an auction site for consumers to trade their second-hand goods; the bulk, 80%, of its sales now revolve around fixed-price items, said the company in its first quarter report.
Commercial sellers tap the platform to sell to five major European markets, France, Germany, Italy, Spain and Britain. As per Phuong Nguyen, eBay’s senior Director of seller growth, commercial sellers export an item to 20 different countries, which highlights the international focus of many small and medium-sized export businesses which thrive on the platform.
In Europe, the third largest country for millionaire businesses is Italy, where million euro-plus businesses rose by 55% to 93 % in the four years ending in 2016.
In the U.S., eBay sales grew by 6.7% to $3.87 billion in 2016, making up 43% of its total revenues.
The rest of Europe and other international markets gained 9% in USD terms for the remaining 27% of the company’s revenue.
Its other international markets include South Korea, Australia and China.
The company is expected to report its second-quarter results on July 20, wherein it is expected to report a 3.6% growth in net revenue projected to touch $2.31 billion, as per Thomson Reuters data.