eBay sees mobile growth, but in-store transactions harder to crack

eBay sees mobile growth, but in-store transactions harder to crack

17 JUL 2014

eBay enabled $12 billion in transactions via mobile devices in the second quarter – a 68 per cent increase over last year.

The mobile figure represents nearly 20 per cent of total commerce volume, which stood at $62 billion.

The online giant also revealed that mobile downloads of its app have reached 260 million and it has attracted 6.6 million new mobile customers in the quarter.

Overall the company posted a 13 per cent growth in quarterly revenue to $4.37 billion. Net income (expressed on a GAAP basis) grew by six per cent to $676 million.

Challenges in the quarter included having to ask all eBay users to reset their password following security concerns, and the unexpected departure of David Marcus, the CEO of its PayPal unit, for Facebook.

In addition, the company acknowledged the challenge of establishing PayPal for in-store – as opposed to online – payments.

eBay CEO John Donahoe admitted mobile payments at the point-of-sale was progressing slower than other parts of the business.

During a conference call with analysts, Donahoe expressed faith in point-of-sale payments but said PayPal was “using more of a test and learn approach” by working with a small number of retailers.


Richard Handford

Richard is the editor of Mobile World Live’s money channel and a contributor to the daily news service. He is an experienced technology and business journalist who previously worked as a freelancer for many publications over the last decade including...

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