Value Added Resource Week In Review 2-26-23

Liz Morton
Liz Morton


Welcome to the Value Added Resource ecommerce news week in review!

eBay News

We kicked off the week with a pre-earnings call lookback at highlights from Q4 2022 and what's been happening so far in Q1 2023.

eBay Q4 2022 Pre-Earnings Countdown & Highlights
eBay is set to announce Q4 2022 earnings February 22nd - look back at highlights from Q4 & what’s happened so far in Q1 2023.

eBay reported Q4 earnings on Wednesday and the news was not good - Revenue was down 4% at $2.5 billion, Gross Merchandise Volume was down 12% at $18.2 billion, and Active Buyers fell for the 7th consecutive quarter, down 9% to 134 Million.

How much longer is the board going to let this go on before CEO Jamie Iannone is forced to either start showing some real progress or be shown the door?

Full commentary 👇

eBay Q4 2022 Earnings Commentary
eBay Q4 2022 Earnings highlights & commentary from Value Added Resource.

One surprising note from the earnings call was CFO Steve Priest revealing a $50M G&A expense in the 4th quarter related to "pending legal matters."

I surmised the "pending legal matter" in question may be the ongoing civil case related to the 2019 cyberstalking and harassment of the publishers of EcommerceBytes.

eBay's 10K form filed with the SEC on Thursday confirmed the company is facing ~$64 Million in probable losses and potential criminal charges as well related to the scandal.

eBay Faces $64M+ Loss, Possible Criminal Action In Cyberstalking Case
eBay 10-K reveals probable losses of ~$64 million+ & possible criminal action related to 2019 cyberstalking scandal.

Before the earnings call, eBay suffered a costly and embarrassing technical blunder as sellers reported being unable to create new Promoted Listings ad campaigns, which are an increasingly important source of revenue growth for the company.

eBay Sellers Can’t Create Promoted Listings Ad Campaigns 2-22-23
eBay sellers can’t create Promoted Listings ad campaigns in embarrassing & costly technical blunder.

eBay Standard Envelope shipping service appears to be impacted by the same design change affecting USPS flat rate options - if you're not seeing Standard Envelope as an option when listing, here's how to fix it!

eBay Standard Envelope Not An Option When Listing
Recent design change in eBay listing form removes eBay Standard Envelope shipping - here’s how to fix it!

eBay is beta testing a new Social Media functionality for Stores, but unfortunately it still doesn't include the discounted Final Value Fee incentive that was promised at eBay Open in 2021.

eBay Social Media Beta For Stores Rolls Out To Select Sellers
eBay testing Social Media beta functionality for stores, currently enabled for Facebook, Instagram, & Pinterest.

A new job posting may indicate eBay is finally going to address long-standing seller trust issues on the platform including protection from bad buyer scams, return policy violations, and virtual theft.

Is eBay Cracking Down On Scams, Return Fraud & Virtual Shoplifting?
eBay hiring for Trust Transformation to protect sellers from bad buyer scams, return violations & virtual theft.

And finally, a major glitch in eBay Stores Quick View is redirecting buyers to different listings or category pages, potentially losing sales.

Should eBay refund sellers' store subscription fees when glitches break the store functionality they are paying for?

eBay Store Quick View Redirects To Wrong Items, Costs Sellers Sales
eBay Stores Quick View link glitch is redirecting buyers & losing sales for sellers.

Other Ecommerce News

Amazon has launched a new OEM Parts Store aimed at beating eBay in the race for the top online car parts buying experience with Amazon Confirmed Fit and dealer installation services.

Amazon Aims To Beat eBay To Finish Line With OEM Parts Store
Amazon launches OEM Parts Store aimed at beating eBay in race for top online car parts shopping experience.

UPDATE: View the full complaint of the class action lawsuit filed against Amazon alleging false advertising & consumer harm due to not meeting Prime delivery promises.

Amazon Slows Prime Delivery, Faces Lawsuit
Buyers & sellers notice slow down in Prime delivery times & now Amazon is facing a lawsuit due to the delays.

The Indie Sellers Guild is calling on Etsy to address counterfeits and infringement on the platform after explosive Citron Research report, but cautions the company needs to consider the impact of enforcement and policy changes on legitimate seller as well.

Indie Sellers Guild Calls On Etsy To Address Counterfeits After Citron Report
Indie Sellers Guild calls on Etsy to address counterfeit concerns, but consider policy impacts on legit sellers too.

Etsy sellers report major problems with listing photos and wonder if testing of a new "Find Similar" feature is to blame.

Etsy Photo Problems - Is “Find Similar” Test To Blame?
Etsy sellers experience photo problems, wonder if “find similar” test is to blame.

Poshmark announced a surprise increase for PoshPost shipping prices, rising from $7.67 to $7.97 effective February 23.

Poshmark Increasing PoshPost Shipping Price February 23
Poshmark increasing cost of PoshShip shipping by $0.30 from $7.67 to $7.97, effective February 23, 2023.

Less than two months after Naver's acquisition of the company was completed, Poshmark is laying off about 2% of its workforce, with most impacted positions being US-based.

Poshmark declined to give an exact number of employees affected, but while it may be a much smaller scale than other recent ecommerce and tech company layoffs, it could signal the new owner is wasting no time in cutting costs and looking for ways to increase revenue.

Poshmark Lays Off ~2% Of Workforce After Naver Buy Out
Poshmark is laying off ~2% of workforce, new owner Naver wasting no time to cut costs & increase revenue.

And finally, ecommerce SaaS provider BigCommerce has announced prices for their monthly and annual plans will be increasing effective June 1, bringing them in line with competitor Shopify's recent increase as well.

BigCommerce Raises Prices Across Plans, Matches Shopify
BigCommerce is raising monthly & annual prices to match Shopify’s recent price increase, effective June 1, 2023.

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Liz Morton is a seasoned ecommerce pro with 17 years of online marketplace sales experience, providing commentary, analysis & news about eBay, Etsy, Amazon, Shopify & more at Value Added Resource!