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Seasonality
The following table sets forth, for the periods presented, our total net revenues and the sequential quarterly movements of these net
revenues:
We expect transaction activity patterns on our websites to mirror general consumer buying patterns. Our Enterprise segment is highly
seasonal. The fourth calendar quarter typically accounts for a disproportionate amount of Enterprise's total annual revenue because consumers
increase their purchases and businesses increase their advertising to consumers during the fourth quarter holiday season. We expect these trends
to continue.
Marketplaces Net Transaction Revenues
Marketplaces net transaction revenues increased $717 million , or 12% , in 2013 compared to 2012 , consistent with the increase in GMV
excluding vehicles of 13% in 2013 compared to 2012 . The increase in net transaction revenues and GMV excluding vehicles was due to
continued growth in active users, mobile and the continued improvements in the customer experience. In addition, seller discounts and buyer
loyalty programs had a negative impact on revenue growth.
Marketplaces net transaction revenues increased $647 million, or 12%, in 2012 compared to 2011, consistent with the increase in GMV
excluding vehicles of 12% in 2012 compared to 2011. The increases in net transaction revenue and GMV excluding vehicles were due primarily
to strong growth across all regions, partially offset by the negative impact of approximately $118 million in foreign currency movements relative
to the U.S. dollar.
Marketplaces net transaction revenues earned internationally totaled $3.8 billion , $3.4 billion and $3.1 billion in 2013 , 2012 and 2011 ,
respectively, representing 55% , 56% and 56% of total Marketplaces net transaction revenues in the respective periods. The decrease in
international net transaction revenues as a percentage of total net transaction revenues during 2013 was due primarily to stronger growth in U.S.
GMV relative to international GMV.
Payments Net Transaction Revenues
Payments net transaction revenues increased $950 million , or 18% , during 2013 compared to 2012 , due primarily to net TPV growth of
24% offset by a lower take rate and the impact of foreign currency movements and hedging. The increase in net TPV was due primarily to
growth in consumer and merchant adoption and use of PayPal both on and off eBay, while the lower take rate was due primarily to a shift to
larger merchants who pay lower rates. Our Merchant Services net TPV increased 29% during 2013 compared to 2012 and represented 70% of
PayPal's net TPV in 2013 , compared with 67% in 2012 . On eBay net TPV increased 14% during 2013 compared to 2012 , and represented
30%
of PayPal's net TPV in 2013 .
66
Quarter Ended
March 31
June 30
September 30
December 31
(In millions, except percentage changes)
2011
(1)
Net revenues
$
2,546
$
2,760
$
2,966
$
3,380
Percent change from prior quarter
2
%
8
%
7
%
14
%
2012
Net revenues
$
3,277
$
3,398
$
3,404
$
3,992
Percent change from prior quarter
(3
)%
4
%
—
%
17
%
2013
Net revenues
$
3,748
$
3,877
$
3,892
$
4,530
Percent change from prior quarter
(6
)%
3
%
—
%
16
%
(1)
Net revenues attributable to the Enterprise segment are reflected beginning from June 17, 2011 (the date the acquisition of GSI was
completed).