ClickZ eBay Insights Newsletter - 10.10.2024

PLUS: What fee changes in the UK and Germany mean for sellers

Author

Sophie Bruxner-Randall
October 10, 2024 • Estimated Reading Time: 7 minutes

Ad Week New York 🎤

ADVERTISING INSIGHTS
✨ Fresh Insights from AdWeek 2024

Missed AdWeek 2024 in New York? No worries! Chair of Contentive Lee Arthur attended, capturing fresh insights. Here's a snapshot of what you need to know:

  1. Transition to Profit-Focused Metrics: The shift from traditional ROAS to profit-driven metrics emphasizes the need for DTC marketers to evaluate the true impact of each channel. This aligns with findings from Fospha's latest report, highlighting the importance of optimizing customer acquisition across platforms like Meta, TikTok, and Snapchat.

  2. First-Party Data Utilization: Emphasizing first-party data is crucial for creating personalized advertising experiences. As brands enhance their omnichannel strategies, leveraging this data will be key to delivering consistent messaging across all touchpoints.

  3. Full Funnel Measurement Challenges: Understanding how different channels contribute to conversions is increasingly complex. The insights shared at Adweek emphasize the necessity for sophisticated full funnel measurement tools and strategies.

  4. Platform-Specific Strategies: With unique strengths across platforms, DTC marketers must adapt their approaches accordingly.

Specialty Bites 🍪

eBay's removal of private seller fees in the UK and Germany is a strategic move to boost peer-to-peer sales, especially for luxury watches. This change offers sellers a chance to save around 13% on final sale prices, making it an attractive option for those looking to sell pre-owned timepieces. By eliminating these fees, eBay aims to encourage more listings, enhancing the platform's variety and appeal.

Looking ahead to 2025, eBay plans to introduce a buyer fee in the UK, shifting transaction costs from sellers to buyers. This move is expected to maintain competitive pricing, even with the new fee, as eBay believes the overall cost will still be lower than other platforms. This initiative reflects eBay's commitment to adapting its strategies to remain a leading marketplace.

eBay's Advocacy Day in Rome highlighted the platform's role in empowering Italian small businesses. Entrepreneurs shared success stories with policymakers, emphasizing e-commerce's impact on growth and global reach. A new report revealed eBay's significant contribution to Italy's economy, especially in disadvantaged regions, showcasing its commitment to inclusive economic development.

Webinar Wrap 🎧

This week, we attended Fospha's pre-peak webinar on Acquiring Customers Profitably During Peak Period. Here's what we learned:

  1. Competition is hot – so be prepared

With the ad economy rebounding and cross-channel CPA up 13% YoY, brands need to step up. Dan Sava compared Peak Period to the Olympics—each year, competition gets tougher, and brands need to start preparing early to stay competitive.

  1. Go full-funnel to unlock scaling potential in Paid Social

There is still huge headroom for brands to scale Paid Social, but there’s a knack to creating a sustainable approach. A full-funnel strategy. Henry Linney shared how Seraphine boosted returns by investing more in Paid Social Consideration and Awareness, while Dan Sava highlighted Nike’s method of educating customers early to ensure they’re ready to convert by Black Friday.

  1. Don’t ignore TikTok

The panel highlighted the huge value in TikTok’s seamless consumer experience, from discovery to purchase. Dan Sava added, “Most, if not all, brands should try it.”

🎥 Watch the full webinar here!

More to Discover 🛍️

eBay is not liable for harmful products sold by users, as ruled by a federal judge. The court dismissed a lawsuit claiming eBay violated the Clean Air Act, citing Section 230 protections. eBay continues efforts to prevent prohibited items on its platform, emphasizing its commitment to responsible practices.

eBay has removed seller fees for all categories except vehicles, boosting fashion listings and enhancing customer experience. This change follows similar moves by competitors like Depop. While sellers benefit from no fees, buyers will face a small charge next year. eBay aims to simplify and expand its marketplace.

Performance Platters 🍽️

Social ad spending targets younger audiences with low-cost products, leveraging platforms for direct-response ads and video formats. Media and entertainment use social media for game installs amid reduced TV spending. Retail and CPG dominate social ad spend, driven by competition from Shein, Temu, and D2C players.

Brands face "deal fatigue" as constant sales events pressure budgets and loyalty. To stand out, they innovate with exclusive products, tiered discounts, and added value like loyalty points. Despite challenges, Prime Day remains crucial. Adaptation is key in navigating this evolving retail landscape, ensuring sustained customer engagement and growth.

Retailers are starting holiday promotions earlier due to inflation and a shorter shopping season. With a focus on budget-friendly options and early deals, marketers aim to capture consumer interest. Enhanced in-store experiences and creative delivery strategies are key to building customer loyalty and adapting to economic challenges.

ClickZ is a Contentive publication in the DTC Ecommerce division