Ebay Takes On Amazon With Own Fulfilment Network
eBay has thrown down the gauntlet against Amazon, by announcing its own warehouse and shipping fulfilment service will launch in the United States next year – likely affecting its Aussie arm long-term.
The news follows pilot tests of eBay’s fulfilment service in the past year, conducted in select markets including Australia and Germany.
While America is the first market to receive eBay’s full fulfilment service, a spokesperson told VentureBeat it plans to expand other regions once up and running.
eBay’s ‘Managed Delivery’ initiative competes with the renowned Fulfilment By Amazon (FBA) service, which seeks to assist sellers with everything from delivery to after-care returns.
Using Managed Delivery, high-volume eBay sellers can offer faster, cheaper, tracked customer deliveries, access warehouse storage space and more.
Unlike Amazon, eBay is currently not opening its own fulfilment hubs, rather working with local logistics partners.
eBay will also open its fulfilment service up to other online platforms and marketplaces, creating an addition revenue stream for the e-commerce behemoth.
“Managed Delivery will be a competitively priced logistics solution for businesses selling high-volume goods in popular categories like electronics, home and garden, and fashion,” claims eBay President and Chief Executive, Devin Wenig, at launch.
“The implementation of this service will dramatically lessen the shipping burden on sellers, while improving the shopping experience and making unboxing fun for buyers.”
The news comes as Amazon Australia continues to expand its local presence, however, some commentators claim there’s a while to go before it reaches the fast delivery and price competitive status of its American subsidiary.
Further information is available on eBay’s website here.