Whether you are a shopper in Peoria, Illinois or Paris, France, Shopping.com wants you to compare before you buy. The subsidiary of online auction giant eBay operates a leading comparison shopping website where users can check prices on millions of retail items and read consumer product reviews from sister site Epinions.com. The site aggregates product and pricing information from thousands of online merchants and redirects interested buyers to the merchant's website to make their purchase. It features products from domestic and foreign merchants, and is searchable by thousands of attributes. The company operates as part of eBay's Marketplaces segment, which also includes the main eBay site.
Shopping.com is a component of eBay's strategy that positions the online auctioneer at "the forefront of shopping innovation". Revenue comes from retailers who pay a fee for each shopper that is directed to their online stores by Shopping.com. The company also earns money from advertising. These revenues are classified as part of eBay Marketplaces' marketing services revenues, which generated about $920 million in 2010, or about 10% of eBay's total revenue. The economy has been showing signs of a recovery, and Marketplaces' marketing services revenues increased by about 8% compared to 2009.
Shopping.com is also helping with eBay's efforts to lead the e-commerce market on a global scale. In addition to its US site, Shopping.com also operates online comparison shopping websites in Australia, France, Germany, and the UK. Shopping.com has international operations in Australia, France, Germany, Ireland, and the UK. It also has research and development facilities in Israel.
Former eBay executive Andre Haddad was appointed CEO of Shopping.com in 2008. Haddad joined eBay after it acquired iBazar, a European auction marketplace that Haddad co-founded. iBazar was acquired by eBay in 2001 for $140 million.
Shopping was founded in 1997 as DealTime. It had prepared to go public in 2000; however, it pulled back the offer as the Internet boom started to crumble. The company acquired Epinions for $30 million in 2003 and relaunched itself as Shopping.com. It finally completed its IPO in 2004, raising nearly $120 million. In 2005 eBay acquired Shopping.com for some $685 million. eBay incorporated its sellers' listings into Shopping.com's price comparison system in order to drive more traffic to auctions posted on its website.
▲ Show Less▼ Show Full Description