eBay 2004 Annual Report Download - page 6
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Please find page 6 of the 2004 eBay annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
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‚ They are information ineÇcient, as buyers and sellers lack a reliable and convenient means of
setting prices.
We make these ineÇcient marketplaces more eÇcient because:
‚ Our global community of users can easily and inexpensively communicate, exchange information
and complete transactions;
‚ Our marketplace includes tens of millions of items creating a wide variety and selection of goods;
‚ We bring buyers and sellers together for much lower fees than traditional intermediaries; and
‚ Our marketplace provides for eÇcient information exchange.
In particular, large markets with broad buyer and seller bases, wide product ranges, and moderate
shipping costs have been successful on our eBay Marketplace. Our marketplace is most eÅective, relative to
available alternatives, at addressing markets of new and scarce goods, end-of-life products and used and
vintage items.
eBay Marketplace Strategy
We intend to achieve our mission of creating the world's online marketplace by improving and expanding
across three main areas: categories, formats, and geographies.
Categories
Category growth both in number and size within the eBay Marketplace is a key element in creating a
faster, easier and safer online trading experience.
As of December 31, 2004, listings on eBay.com were organized under the following major categories:
‚ Antiques ‚ DVDs & Movies ‚ Sports Memorabilia, Cards
‚ Art ‚ Entertainment Memorabilia and FanShop
‚ Books ‚ Everything Else ‚ Stamps
‚ Business & Industrial ‚ Gift CertiÑcates ‚ Tickets
‚ Camera & Photo ‚ Health & Beauty ‚ Toys & Hobbies
‚ Cell Phones ‚ Home & Garden ‚ Travel
‚ Clothing, Shoes & ‚ Jewelry & Watches ‚ Video Games
Accessories ‚ Music ‚ eBay Motors
‚ Coins ‚ Musical Instruments ‚ Boats
‚ Collectibles ‚ Pottery & Glass ‚ Motorcycles
‚ Computers & Networking ‚ Real Estate ‚ Parts & Accessories
‚ Consumer Electronics ‚ Specialty Services ‚ Passenger Vehicles
‚ Crafts ‚ Sporting Goods ‚ Powersports
‚ Dolls & Bears ‚ Other Vehicles
Formats
We are continually seeking to improve and expand the formats in which members of our community can
interact with one another. At the core of our marketplace are our traditional auction format listings, where a
seller will select a minimum price for opening bids, with the option to set a reserve price for the item, which is
the minimum price at which the seller is willing to sell the item. In addition, a seller with appropriate feedback
ratings can also choose to use the Buy-It-Now feature at the time of the listing, which allows sellers to name a
price at which they would be willing to sell the item to any buyer. The Buy-It-Now feature was introduced in
2000 and is now used on a large number of our listings. Another format in which a seller with appropriate
feedback ratings can sell is a ""Dutch Auction'' format, which allows a seller to sell multiple identical items to
the highest bidders. eBay Stores also represents another format through which sellers can oÅer their goods and
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