The online auction and shopping website eBay has launched the first brand shops in Germany. Eleven companies including Speedo, Blaupunkt, Olympus, Triumph, Kunert and Bellybutton etc. will offer their products in the new goods section. Stephan Zoll, CEO of the eBay Advertising Group and responsible for sales, says that this platform is particularly suitable for products from the last season or surplus production. The brand shops can sell their goods for a fixed price or via auction. Furthermore all products can be found via the eBay search tool and the shops will also be promoted with online advertising.

The shops are currently focussing on the segments fashion and lifestyle. For the future it is planned to integrate further categories such as furniture. The participating shops are not worried that the eBay engagement may harm the brand image. According to Stephan Oehl, board of marketing and sales management at Kunert, the company is using this possibility to sell their last season products via a controlled distribution channel.

PROS:

Cheap outlet prices

No risk of buying fake products

Further distribution channel

CONS:

Last season’s fashion and products