eBay Inc. (EBAY - Free Report) is a well-established player in the e-commerce space and has been introducing several measures to fuel business growth by enriching its Marketplaces with genuine products.
eBay recently expanded its eBay Authenticate platform into the high-end watch category. This will offer consumers thousands of high-end watches, verified by professional authenticators.
Though the service now offers approximately 7,000 luxury watches for purchase, the number is soon expected to grow to nearly 10,000 in the coming weeks.
In addition, eBay is expanding this Authentication Programon a global basis. Recently, it expanded this service to several European markets, including the United Kingdom and Germany.
Launched last year in the luxury handbags category, ebay’s Authenticate program includes watches and handbags from high-end brands marked with an "Authenticity Verified" label.
The latest move of the company will strengthen its client base on a global basis and build more trust among the buyers of eBay’s products. Moreover, expansion of its Authentication Program to high-end watches will aid the Marketplace business.
Notably, its shares have gained 2.32% in the past 12 months compared with the industry’s growth of 45.8%.
eBay’s Other Anti-Counterfeit Measures
In a bid to gain trust among buyers and expand the Marketplace business, the company has already been using a number of anti-counterfeit measures.
These include detection tools, enforcement mechanisms, relationships with brands and retailers, and law enforcement, among other anti-counterfeit measures. In addition, its Verified Rights Owner program launched back in 1998 allows buyers to report the possible counterfeit goods.
We believe these endeavors will help the company to crack down on fakes and reduce the risk of counterfeit products in Marketplace business.
eBay is one of the world's largest online trading communities with a powerful marketplace for the sale of goods and services by individuals, as well as small businesses. The company enables trade on a local, national and international basis, with local sites in numerous markets in the United States and country-specific sites in the United Kingdom, Canada, Germany, Austria, France, Italy, Japan, Korea and Australia.
It is making all efforts to improve the Marketplace business. eBay is currently re-platforming itself by building product catalogs on structured data, enhancing mobile platform, rolling out new browse-inspired shopping journeys and strengthening its brand.
Also, the company accelerated its partnership deals to enhance its Marketplace. In addition, it is anticipated to benefit from added selection of luxury brands. However, intensifying competition in the e-Commerce space as well as foreign exchange headwinds remain major concerns.
Zacks Rank and Stocks to Consider
eBay currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the same industry include Infineon Technologies AG (IFNNY - Free Report) , ON Semiconductor Corporation (ON - Free Report) and Rambus Inc. (RMBS - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Long-term earnings growth for Infineon Technologies, ON Semiconductor and Rambus is currently projected to be 7.5%, 13.2% and 10%, respectively.
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