eBay Battles Competition With World Of Good Purchase

7 Mar

Shoppers on eBay are voracious purchasers of antique, retro, and vintage items, but they also fawn after independent and uniquely crafted products.  Now, eBay believes it has found a way to deliver products that offer all of these qualities.

The wildly popular online retail brand has purchased the wholesale division of World of Good, a venture that connects artisans from developing communities with mainstream retail markets. eBay plans to feature World Of Good’s products on its site, bringing together a classic example of supply meeting demand.

Since its debut in 1995, eBay has been the king of Internet garage sales, allowing users to sell or buy anything from an antique stapler to a grilled cheese sandwich that looks like the Virgin Mary. With the addition of World of Good, eBay is embracing a “do good” big-company grassroots direction.

But make no mistake, eBay’s decision to bring on World of Good is a strategic move designed to edge mom and pop Internet stores out of business.

Take Etsy.com for instance. The social commerce website, started in 2005, focuses on individually produced art, clothes, and other trinkets thousands of users create and buy everyday.

If you were to ask Etsy executives from the onset if they ever thought Etsy could give eBay a run for its money, they’d probably laugh. However, in 2008, eBay users began to grow tired of the brand’s hiked fees, and turned to Etsy to conduct their business. And buyers followed. Etsy now boasts more than $10 million in sales per month, and poses a serious threat to eBay.

The purchase of World of Good is certainly a savvy counter to Etsy’s competition, as the organization has an inherent social, altruistic, and artful appeal. It could be just what eBay needs to knock Etsy and similar sites out of the modern eGarage ring.

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