eBay announced today it is shutting down its third-party eBay Advertising network also known as the eBay Commerce Network, effective May 1, 2019.
In a statement issued to advertisers on the eBay advertising network, the company said:
“Thank you for your partnership with eBay Commerce Network. We’ve been proud to see our platform evolve over the past two decades. We want to continue providing customers with the best possible selling and buying experience. As a result, we are focusing on business that complements our core marketplace and discontinuing eBay Commerce Network effective May 1st, 2019. We are committed to enhancing our advertising portfolio throughout 2019 and hope you consider exploring our advanced core advertising and affiliate marketing opportunities.”
The marketplace also provided a FAQ for advertisers about the shutdown.
Focus On Core Marketplace
Specifically telling is this answer to one of the FAQ questions, “For the health of the core marketplace, eBay is making a concerted effort to shift its reliance from third-party advertising to first-party advertising.”
Earlier this year, activist investor group Elliott Management suggested to eBay management they should refocus on its core marketplace business and even consider spinning off portions of the company.
In February eBay announced it is shutting down Argentinian classifieds site AlaMaula and now the company is doing away with its third-party advertising network.
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This all appears to be part of the strategic initiatives eBay announced last month to “enhance performance”.