EBay ending one-hour delivery program in U.S
“We will continue to pilot scheduled delivery in the UK”, the company wrote in a blog post.
Indeed, an eBay spokeswoman told Cnet that same-day deliveries make more sense for items, like groceries or diapers – but not eBay’s core offerings, such as collectibles, antiques and used items.
eBay is under a lot of pressure to deliver results now that PayPal is no longer contributing to its bottom line.
eBay on Monday also said it will get rid off three less-popular mobile apps – eBay Motors, eBay Fashion and eBay Valet – to drive more attention to its primary app and cut back on customer confusion over which apps they should be using.
“There are multiple players doing local delivery”, he said. Devin Wenig, who became chief executive of eBay when it spun off PayPal Holdings Inc. this month, said in November that the company had seen “mixed results” for the delivery service.
EBay tried to differentiate itself by partnering with large-scale retailers, like Walgreens, Home Depot, and Best Buy, but failed to gain much traction, as its complicated logistics made it hard to scale quickly. The online auctioneer has some fierce competition to contend with, not just from other marketplaces like Amazon, but also from companies like Facebook, Google, and Pinterest that are considering incorporating ecommerce into their platforms. He added that eBay’s current efforts to improve its website could be successful, but likely only have a small impact.
At this time last year, consumers in Chicago, Dallas, New York, and the Bay Area, were able to use the eBay Now app to place orders at nearby stores, such as Macy’s and Target, and receive their packages within an hour or two.
Also being culled: eBay Fashion (closing this week) and eBay Motors (shutting at the end of the year.). Meanwhile, eBay Fashion was No. 537 in the group and eBay Motors was No. 208. “The vast majority of our traffic and engagement and purchases shifted… into the core app already”.