01/18/2021 | Press release | Distributed by Public on 01/18/2021 20:03
As part of modernizing its marketplace and creating a more streamlined experience for customers, eBay is expanding its management of payments for sellers in Greater China. Starting in April 2021, the company will offer buyers more flexibility and choice in payment methods and give sellers an easier way to manage their businesses.
eBay began managing payments on its platform in the U.S. for a select group of sellers in September 2018, followed by Germany, the U.K., Australia and Canada. The company also recently announced it will expand its management of payments to France, Italy and Spain in Q1 2021, and will continue expanding globally throughout the year.
'We are creating a modern managed marketplace. Taking control of the payments process on our platform is a key component of our strategy to enhance the eBay experience by breaking down barriers and removing complexities for our customers,' said Alyssa Cutright, Vice President of Global Payments at eBay. 'Sellers in Greater China place a high value on a convenient and seamless selling experience on eBay's sites across the globe, and they typically manage multiple accounts and need streamlined operations. The offering will drive significant efficiencies and benefits for our customers, including helping our buyers pay the way they want. We will transition all sellers in the coming months and have designed our processes with our sellers in mind so they can easily and quickly take advantage of this important change.'
eBay's management of payments reached a significant milestone at the end of July 2020 with the expiration of its Operating Agreement with PayPal. Now, eBay is able to scale its management of payments globally, offering buyers more choice and flexibility in payment options and simplifying business operations for sellers. During Q3 2020, eBay managed payments for over 20 percent of on-platform volume, with over 340,000 active sellers enrolled in the program worldwide. The company continues to be on track to roll out managed payments globally, transitioning a majority of sellers on its marketplace into the experience in 2021. Managed payments is expected to deliver $2 billion in revenue and $500 million in operating income by 2022.
More information about the introduction of the new payments experience on eBay in Greater China can be found here.
Learn more at ebayinc.com/payments.
*In China mainland, Apple Pay is available on the web in Safari only on compatible iPhone and iPad models using iOS 11.2 or later.
This announcement contains forward-looking statements relating to, among other things, the future events and future performance of the company and reflect, among other things, eBay's expectation regarding the anticipated benefits of the company's initiative to intermediate payments on its Marketplace platform.
Forward-looking statements involve risks and uncertainties which may cause actual results to differ materially from the statements made. Factors that could cause or contribute to such differences include, but are not limited to: changes in political, business and economic conditions, any regional or general economic downturn or crisis and any conditions that affect ecommerce growth or cross-border trade; the timing and possible outcome of this initiative; and the possibility that it may take the company longer than expected to fully realize any anticipated benefits of the initiative, and those benefits may ultimately be smaller than anticipated or may not be realized at all.
More information about factors that could affect the company's operating results is included under the captions 'Risk Factors' and 'Management's Discussion and Analysis of Financial Condition and Results of Operations' in the company's most recent Annual Report on Form 10-K and subsequent quarterly reports on Form 10-Q, copies of which may be obtained by visiting the company's Investor Relations website at https://investors.ebayinc.com or the SEC's website at www.sec.gov. All information in this release is as of January 18, 2021. Undue reliance should not be placed on the forward-looking statements in this press release, which are based on information available to the company on the date hereof. The company assumes no obligation to update such statements.