eBay Expands Same-Day Delivery Service

Discussion
Oct 24, 2013

Some people still refer to eBay as an online auction site, but it’s clear the company has grown way past its original model over the years. The company’s most recent announcements — including a revamped website experience that has a social media feel to it and the expansion of its same-day delivery capabilities — attest to that.

On the delivery front, eBay announced that it now offers same-day delivery in Chicago and plans to roll out the service in Dallas in the coming weeks. The company has been offering same-day delivery in New York and San Francisco as part of its eBay Now service for about a year. By the end of 2014, eBay expects to offer same-day service in 25 cities in the U.S. and beyond.

The company will get a boost in expanding same-day delivery after announcing an agreement to acquire Shutl, a company that uses a network of local couriers to deliver online purchases.

As a marketplace, eBay is looking to offer services that will help sellers compete more effectively in the marketplace. Many of those sellers operate brick and mortar stores.

"Today, approximately 75 percent of what people buy is local, found within 15 miles from their home," said Devin Wenig, president of eBay Marketplaces. "Traditional retail isn’t going away. But it is transforming and that creates enormous opportunity within the $10 trillion total commerce market."

In the merger between the brick and click worlds, eBay said it will soon add major partners that offer online ordering and in-store pickup. Best Buy and Toys "R" Us currently offer this option through eBay.

Scheduled deliveries are also in the works for eBay Now. The company said that it will soon release delivery schedules that enable customers to order the products and choose the time and place for delivery.

What is your reaction to the latest same-day delivery announcements from eBay? Are we on the verge of fairly widespread acceptance and use of same-day delivery services?

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13 Comments on "eBay Expands Same-Day Delivery Service"


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Max Goldberg
Guest
8 years 6 months ago

Bravo eBay! The company is demonstrating that it belongs in competition with other big players, both online and offline. The online retail world is dividing into two camps, those companies who offer same day service and those who don’t. It will now be up to consumers to determine the cost and speed of delivery.

With a number of e-tailers offering same day service, price comparison shopping is taken to a whole new level.

Let’s see if other brick n’ click retailers start to feature their products via eBay. If so, Amazon could see some stiff competition.

Todd Sherman
Guest
Todd Sherman
8 years 6 months ago

Same-day delivery looks to be the next big thing in digital retail with Amazon, Google and eBay being the major players and it requires a smooth blending of online with traditional, brick & mortar retailing. Great move for eBay to pick up Shutl. It’s likely we’ll see more acquisitions to help make this a reality.

Chris Petersen, PhD
Guest
8 years 6 months ago

eBay rarely gets mentioned in the same breath as Amazon or other major e-commerce players. Yet, it is one of the largest commerce sites on the planet with something very unique … high traffic and repeat traffic from their auction side of the business.

I agree with Max Goldberg. Bravo if eBay can pull off same day delivery which will help them remain competitive in major metros. But from the data I’ve seen, consumers value free shipping more than same day delivery.

Consumers highly value choice. As eBay continues to bring brands like Best Buy and Toys “R” Us under their tent, they will have increased brand selection at competitive prices that pose a threat to Amazon.

Bill Davis
Guest
8 years 6 months ago

Interesting move by eBay and one that should benefit them as they look to increase their competitiveness against Amazon as well as work with more traditional retailers. As long as the costs are reasonable for a majority of people and eBay/others can make it work financially, then flexible same-day delivery should become more commonplace.

Ed Gilstrap
Guest
Ed Gilstrap
8 years 6 months ago

Same day makes sense, if they can get the cost side right. Personally, I don’t mind waiting – until I order something online – and then it drives me crazy. Maybe I’m the only one…but I bet I’m not.

Karen S. Herman
Guest
8 years 6 months ago

I like the way that eBay Now is evolving and working to assist brick and mortar stores and local retailers and hope they reach their goal of expanding same-day service in 25 cities in the U.S. by next year. A successful delivery experience is key for small businesses.

I’ve been following the entry of ambient commerce in the marketplace and this is a good example of its use. Another competitor expected to be offering same-day delivery service is Google Shopping Express. It will be interesting to see how these services become even more tailored to suit consumers’ needs. Because, after all, what doesn’t Google and eBay not already know about us?

Gordon Arnold
Guest
8 years 6 months ago

E-commerce is over populated with very clumsy and very slow software that only serves to aggravate the consumer and stall market growth. Our colleagues at eBay are a shinning exception to these issues. In fact the site is easier and faster than ever. Consumers need to be aware that they are in fact dealing with third party suppliers at all times. But there are ways to prevent letdown and fraud that have been seamlessly incorporated within the eBay payment processes.

The company should see excellent results with this same day delivery push if they get the right support from the right participating suppliers. In fact, the opportunity(s) for things to go wrong with little or no control from eBay is a huge risk for the company. For that reason I remain skeptical, but wish them well in their efforts.

Ed Rosenbaum
Guest
8 years 6 months ago

It is becoming apparent the “big boys” think same day service is important or they would not all be jumping into the same pool.

Craig Sundstrom
Guest
8 years 6 months ago

I’ll be keeping my cheerleading in check: as an option, sure, but I’m unconvinced – at best – that same-day delivery will ever be important for online. As for eBay more generally, there are things they do very well, and there are things that they don’t do well at all; the challenge, of course, will be to retain the latter, but improve the former…and it WILL be a challenge, since they’ll be moving from the narrow and eclectic field of second-hand bargain shopping to conventional retail, i.e. from a position where they’re dominant to one where they’re just one of many.

Kai Clarke
Guest
8 years 6 months ago

This is a solution that does not have a mass problem to support it. Most consumers are willing to wait when they order things online. Add to this the increased cost of same day delivery, and the premium cost, and the vast majority of consumers (especially those who are price conscious – i.e. the eBay consumer) will simply say “No thank you” to this option.

Shep Hyken
Guest
8 years 6 months ago

I think that eBay is recognizing how their customers buy on their site. The “auctions” have become store fronts. I don’t know about widespread acceptance of same-day delivery. I think it is more about taking advantage of same-day delivery. If this is able to fit in their model, then eBay will be keeping up with others in the marketplace.

Arie Shpanya
Guest
8 years 6 months ago

One of the biggest reasons people shop online is convenience and same-day delivery definitely ups that factor. Instant gratification at its best. Some of the biggest names in the industry have been experimenting with this, but it’s too early to say how widespread it could become. Seems like it’s a nice to have option rather than a must have. Although if it does catch on, smaller scale retailers won’t be able to keep up at due to the obvious logistical constraints.

Jannie Cahill
Guest
Jannie Cahill
8 years 6 months ago

Price and convenience are both key drivers for consumers, with the lines between online and offline commerce increasingly blurring.

Same-day delivery is seen as a key growth area for retail, fulfilling the two aspects of eCommerce that delivery has been unable to offer to date: speed and convenience. Indeed, Amazon has recently reported that AmazonFresh customers were adding non-grocery purchases to their orders because of the same-day service.

The expansion of eBay Now enables traditional retailers to compete more effectively against the likes of Amazon. However alongside convenience, price is also critical. To be competitive in an increasingly competitive marketplace, traditional retailers need to respond quickly to their online competitors’ price changes and ensure their pricing beats or at least meets their online counterparts.

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