eBay’shttps://techbullion.com/buying-from-amazon-ebay-and-walmart-hassle-free-importing-to-pakistan/ stock ended Wednesday’s trading session up 9% after Meta announced that it will permit certain listings to appear on Facebook Marketplace, its well-known platform that links customers for local item pickups and other services.
TakeAway Points:
- eBay’s stock jumped 9% on Wednesday after Meta announced that it will permit certain listings to appear on Facebook Marketplace.
- A test in the US, France, and Germany will precede the rollout.
- eBay’s marketplace business, which has had difficulty competing with e-commerce rivals like Amazon, Walmart, and Temu, may benefit from the cooperation.
- The European Commission, the EU’s executive branch, is being placated by Meta’s action.
Ebay share surges
Shares of eBay closed up 9% on Wednesday as Meta said it will allow some listings to show up on Facebook Marketplace, its popular platform connecting consumers for local item pickups and more.
EBay stock reached its highest level since November 2021.
The rollout will begin with a test in Germany, France and the United States, where buyers will be able to view listings directly on Marketplace and complete the rest of their transactions on eBay, Meta said in a release.
The partnership could provide a boost to eBay’s marketplace business, which has struggled to compete with e-commerce rivals like Amazon, Walmart, Temu and even Facebook’s own marketplace platform that lets users buy and sell items.
EBay has recently embraced niche categories like collectibles and luxury goods to try and keep buyers and sellers returning to its site. CEO Jamie Iannone said in an October interview that shoppers were coming to the site known for its used and refurbished goods as they sought out discounts amid a rocky macroeconomic environment.
Reason for Meta’s decision
Meta’s move is an attempt to appease the European Commission, the executive body of the European Union, after the regulator fined the company 797 million euros ($821 million) in November for tying its Marketplace product to the main Facebook app.
At the time, the commission said Meta’s bundling of Marketplace with Facebook could mean competitors are effectively “foreclosed” given the distribution reach of the platform. Facebook counts more than 3 billion users globally.
The commission also said Meta imposes “unfair trading conditions” on other online classified ads service providers who advertise on its platforms, especially Facebook and Instagram. It added that these conditions allow Meta to use data generated from other advertisers to benefit Marketplace.
Meta appealed the ruling at the time, saying that it “ignores the realities of the thriving European market for online classified listing services.”
“While we disagree with and continue to appeal the European Commission’s decision on Facebook Marketplace, we are working quickly and constructively to build a solution which addresses the points raised,” the company said Wednesday.
Ebay moves to gain visibility
EBay touted its integration with Facebook Marketplace as a way for the e-commerce site to “increase exposure to our sellers’ listings, on and off eBay, as part of our strategy to engage buyers and deepen customer loyalty.”
Facebook in 2023 announced a similar partnership with Amazon that lets users browse and purchase products without leaving the app.
