eBay will invest 30 million euro into a new distribution center in Germany. It should open early next year and will become eBay's first in Europe. It hopes to compete with Amazon this way.
Logistics through eBay
The reason why it wants its own distribution center focused on the German market, is that people who sell a lot through eBay can outsource their logistics and fulfilment to eBay. That means it will take care of all shipping and that should mean it will become cheaper. The seller can focus on its product range and marketing.
It is also a move away from eBay's usual approach, which is to be an online trade platform while the seller has to take care of everything else.
The company hopes it can put Amazon Germany under pressure this way. Amazon Germany is by far the largest seller in the German online market, while eBay is number two, even though it is way behind Amazon.
The new distribution center will open in Halle and employ 200 to 300 people.