eBay 2015 Annual Report Download - page 53

Download and view the complete annual report

Please find page 53 of the 2015 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.

Page out of 136

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136

Net transaction revenues increased $427 million, or 7%, while GMV increased 8% in 2014 compared to
2013. Net transaction revenue represented 79% of total net revenues in both 2014 and 2013. The GMV increase
of 8% was driven primarily by an increase in Marketplace GMV, and to a lesser extent, an increase in StubHub
GMV. The total transaction take rate was lower in 2014 compared to 2013 due to a decrease in our Marketplace
transaction take rate and our StubHub transaction take rate.
Marketplace net transaction revenues increased $451 million, or 8%, and Marketplace GMV increased 9%
in 2014 compared to 2013. The GMV increase of 9% was driven primarily by an increase in volume on our
Marketplace platforms internationally and to a lesser extent, the U.S. Our Marketplace net transaction revenue
growth decelerated in the second half of 2014 caused by a reduction in traffic from lower organic traffic, such as
Google’s search engine algorithm changes and the cyberattack that occurred in the second quarter of 2014. The
Marketplace transaction take rate was lower in 2014 compared to 2013 due primarily to an increase in our buyer
and seller incentives, which are accounted for as a reduction of revenue.
StubHub net transaction revenues decreased $24 million, or 4%, while StubHub GMV increased 2% in 2014
compared to 2013. The decrease in StubHub net transaction revenues was driven primarily by a decrease in
StubHub transaction take rate, offset by an increase in StubHub GMV. The StubHub transaction take rate was
lower in 2014 compared to 2013 due to pricing changes on the StubHub platforms. The StubHub GMV increase
was driven primarily by an increase in volume of ticket sales related to Sports and Theater.
Net transaction revenues earned internationally totaled $3.8 billion, $4.0 billion and $3.7 billion in 2015, 2014
and 2013, respectively, representing 55%, 57% and 56% of total net transaction revenues in the respective periods.
Net transaction revenues earned internationally as a percentage of total net transaction revenue decreased in 2015
compared to 2014, primarily due to a negative impact from foreign currency movements relative to the U.S. dollar.
Net transaction revenues earned internationally as a percentage of total net transaction revenue increased in 2014
compared to 2013, primarily due to a greater increase in revenues earned internationally.
Marketing Services and Other Revenues
Marketing services and other revenues decreased $46 million, or 3%, in 2015 compared to 2014, and
represented 21% of total net revenues in both periods. The decrease was driven primarily by a negative impact
from foreign currency movements relative to the U.S. dollar. FX-Neutral marketing services and other revenues
increased 8% in 2015 compared to 2014. The FX-Neutral marketing services and other revenues increase was
driven by increased FX-Neutral Classifieds revenue, and to a lesser extent, increased FX-Neutral revenue in our
Marketplace marketing services.
Marketplace marketing services and other revenues decreased $25 million, or 2%, in 2015 compared to
2014. The decrease was driven primarily by a negative impact from foreign currency movements relative to the
U.S. dollar. FX-Neutral Marketplace marketing services and other revenues increased by 4% in 2015 compared
to 2014. The increase in FX-Neutral Marketplace marketing services and other revenues was primarily driven by
increased fees earned for referral services offset by decreased revenue in local currencies from advertising
display on our Marketplace international platforms. The increase in fees earned for referral services consist
primarily of fees for customers acquired and incentives for the usage of PayPal products on certain Marketplace
platforms, which were not included in marketing services and other revenues prior to the Distribution.
Classifieds marketing services and other revenues decreased $13 million, or 2%, in 2015 compared to 2014.
The decrease was driven primarily by a negative impact from foreign currency movements relative to the U.S.
dollar. FX-Neutral Classifieds marketing services and other revenues increased by 15% in 2015 compared to
2014. The increase in FX-Neutral Classifieds marketing services and other revenues was driven primarily by
increased revenue from our Classifieds platforms in our developed markets of Germany, Canada and the UK.
41