Ebay's Marketing Communication Mix

Ebay incorporates advertising in all of its' functions.  Since Ebay is an online company, their logo is found on various other webpages throughout the internet world.  Ebay uses advertising through television as well, by promoting offering different seminars for beginner, intermediate or advanced sellers whom use the website to either buy or sell items.  Ebay also finds its' brand name in several different magazines such as Wired Magazine, even local newspapers have ads that promote the use of Ebay and its' services.

Ebay's public relations are displayed through the announcement link posted on their website.  Ebay posts daily and monthly updates regarding changes throughout the company, they also provide information regarding changes in the procedures and features of the website.  The company also utilizes discussion boards for users to be able to comment and express any positive feedback or post any comments they may have.

The services are relatively easy to use though the website, therefore personal selling is not a direct function of the company.

Ebay promotes its' services in many different ways.  Discounts, free postings and rebates are offered through the website, for just using the services.  The more you sell on the website the more benefits you receive, the same goes for those who purchase on the website.  Ebay constantly sends emails to users regarding different specials and features they have on the website.  Posting items is relatively cheap, which initially will catch the eye of a consumer looking to sell the item.  Ebay understands that their consumers and target markets are generally somewhat familiar with using computers, therefore it's just a matter of positioning the proper pricing for their services to the right people.  While posting items is relatively cheap, the additional ad-ons that you can use are generally what makes a listing more expensive, this allows Ebay to remain competitive while still offering good pricing.

Ebay utilizes direct marketing tools such as flyer's, infomercials and radio ads even.  Ebay is already an established name and therefore their use of these marketing tools is just to emphasize any new information or deals they may have to offer.  Again like personal selling, direct marketing would more or less be related to third party companies attempting to sell their services of how to use the website, but not directly related to Ebay.

Price and Distribution

Since Ebay does not carry actual "goods", the company positions its services in many different ways. For example, Sellers receive discounts in selling fees if they post a certain amount of items on the website. Buyers also receive discounts for purchasing certain items at certain times i.e. holidays, bulk items. Ebay positions its services at a competitive price and since the website is well known, most online buyers or sellers will resort to utilizing the site.

To post an item on the site, initially the Seller will be charged a listing fee, along with other fees involved with the initial post. During creating the ad on the website, Ebay offers many services and additional features that can increase the odds of selling their items, for a price of course. After the item has been posted and once it has been sold, there is a final selling fee that is incurred and automatically withdrawn from the final selling price. Ebay offers certain discounts to Sellers whom sell frequently on the site, such as no fee listings or no fee picture additions, increasing the loyalty of the Sellers and also increasing the flow of goods on the site.

When purchasing items, Buyers generally are looking for a specific items. Again, along the same lines of a Seller, Buyers are offered 10%, 25% and even 50% discounts off of certain listings. Although these discount are occasional, although Ebay is the third party who monitors the transactions, when these discounts are offered, the purchase is made for the final amount bid for the item and the discount is applied through Ebay, so technically Ebay is the one paying for the difference of the discount for the Buyer to the Seller. This again gains customer loyalty and a positive view of the company overall.


Since Ebay's product is a service, they generally position themselves in the distribution chain as the "middle man" and allow for an even flow of goods from Buyers to Sellers. Ebay offers such a wide variety of services to any type of Buyer or Seller, the demand for the service is always there and the demand for the variety of items is unparralelled. Ebay allows for a Seller's item(s) to reach an unlimited amount of markets, which increases selling potential. Since Ebay is already an established name, when listing items on the website, Seller's barely have to do any of their own personal marketing. The site allows any user, at any level to be able to sell almost anything through the site, making the distribution levels limitless.