Online marketplace eBay Inc. saw further growth on its new, post-PayPal managed-payments platform in the second quarter despite a decline in gross merchandise volume.
San Jose, Calif.-based eBay on Wednesday said the platform accounted for more than $270 million in GMV in the June-ending quarter, up 24% from the first quarter. The platform has now processed $636 million since its launch in 2018’s third quarter, and it accounted for 3.8% of second-quarter U.S. GMV, according to eBay data. Some 6,000 eBay sellers are using the platform, up 40% from 4,300 in the first quarter.
Under the new payments system, eBay demoted former subsidiary PayPal Holdings Inc. from its role as overall processor to just another payment choice on its marketplace. Taking PayPal’s place is Netherlands-based Adyen N.V., which links eBay sellers to a number of payments services.
“We continue to see accelerated adoption of managed payments in the U.S.,” eBay president and chief executive Devin N. Wenig said in a conference call with analysts, according to a Thomson Reuters StreetEvents transcript. “Sellers on eBay managed payments are seeing good conversion and their buyers are able to pay using credit cards, Apple Pay, Google Pay and PayPal. Most sellers are saving on payment fees and they’ve simplified their experience with eBay by managing their business in one place.”
Active eBay buyers grew 4% year-over-year to 182 million in the June quarter, but total GMV, including eBay’s Stubhub ticket marketplace, declined 4% to $22.6 billion. Despite that, second-quarter revenues grew 1.8% from a year earlier to $2.69 billion. Net income, however, fell 37% to $402 million.