EC rockzz: The success example of e-commerce

eBay is one of the success example of e-commerce. It is also a well-known website for everyone. eBay was founded in Pierre Omidyar's San Jose living room back in September 1995. It was from the start meant to be a marketplace for the sale of goods and services for individuals. For the last 13 years, eBay has built a strong vision that it is a company in the business of connecting people, not selling them things.

By using the World Wide Web, eBay has built an online person-to-person trading community on Internet to provide a space for auction. Buyers and sellers are brought together in a manner where sellers are permitted to list items for sale and the buyers are allowed to bid on the items which they are interested on. eBay has been setting the category for each type of auction by topics. All eBay users can browse through listed items in a fully automated way. They are having both streamlined and globalised traditional person-to-person trading. Their facilities are easy for the buyers to explore and enable the sellers list an item for sale immediately within minutes of registering. The binding contract of the auction is between the winning bidder and the seller only.

eBay offers several types of auctions such as below:
1. Auction-style listings allow the seller to offer one or more items for sale for a specified number of days. The seller can establish a reserve price.
2. Fixed Price format allows the seller to offer one or more items for sale at a Buy It Now Price. Buyers who agree to pay that price win the auction immediately without submitting a bid.
3. Dutch Auction allow the seller to offer two or more identical items in the same auction. Bidders can bid for any number from one item up to the total number offered.
In other words, eBay successfully generated its revenue though transaction fees by using online auction business model.

One of the reasons of the success of eBay is really enjoy the experience of the shopping bazaar. The buyers are enjoying the hunt and the competition of the bidding process. They enjoy looking around for merchandise. Everybody likes to get a bargain, and everybody, in some way, shape, or form, likes to haggle a little bit over the price. eBay has setup a user-friendly platform that allows users to make transactions. Other than that, eBay might be the first example where a commerce site has actually been built around a society where people exchanging information and also goods, services and merchandise.

Moreover, eBay have many strategic partnerships, chief among them is America Online. eBay have created a series of co-branded sites through the AOL properties, and they have a number of arrangements with sites that go back several years as an exchange to encourage people to come into eBay site. It makes eBay become a successful online company.

eBay went public on September 21, 1998, and both Omidyar and Skoll became instant billionaires. Subsequently, the company purchased PayPal on October 14, 2002. The domain eBay.com attracted at least 902 million visitors annually by 2008 according to a Compete.com study. This was thrice the numbers of walmart.com. eBay is an success e-commerce business. In year 2007, eBay had earned $7,672.3 million in total revenue.