eBay/PayPal boom in mobile sales

Each month, eBay sells three or four Ferraris… by smartphone. A striking example of the growing importance of mobile shopping. The site expects a 4 billion dollar turnover from mobile purchases – almost 3 billion euro – for this year. 

Huge boom for mobile channels eBay and PayPal

The eBay app generated a mobile turnover of 1.38 billion euro in 2010, 175% more than the year before – with a similar evolution expected for 2011. To achieve this progress again, eBay plans to develop elaborate apps for every existing mobile platform, including – of course – Android and iPad. 

PayPal, a popular online payment system and eBay’s daughter company, also counts on a mobile future. With 8% of their 100 million users already using their smartphone to pay, PayPal expects its turnover to boom to 3 billion dollar (2 billion euro) this year. 

“Consumers expect a seamless experience”

Chairman John Donahoe explains the changing retail world the company is adapting to: “Technology-driven innovation is changing how consumers shop and pay. And these changes are blending online and offline into a new global commerce landscape. In this new retail world, consumers expect a seamless experience across multiple channels, whether it’s a physical store, a mobile phone, a laptop or any Internet-connected device. In this new world, physical stores will become just another point of access and location alone is no longer a sufficient competitive advantage.”

The most expensive item purchased through the eBay iPhone app was not a Ferrari… but a second hand Mercedes SLR McLaren at $240,000 (€166,500).