Sunday, March 29, 2009

While Some Run Away From eBay, Mercent Moves Closer.

Over the last couple of years many 3rd Party Software vendors have diversified off of eBay to other marketplaces. As eBay has slowed down, many of them have begun searching for growth elsewhere. 

Now, kind of like Salmon swimming up-stream, 3rd Party software vendor Mercent has actually expanded onto eBay. 

Mercent began in 2004 by integrating large retailers onto the Amazon platform and now they are doing the same with eBay; through eBay's Large Merchant Services. In November of 2008, Mercent launched SmartBargains on eBay and last week they announced the launch of online retailer Altrec.com.
"Mercent™, a leading provider of online marketing technology and services for retail merchants, today announced that the company is an approved member of the eBay Certified Provider Program. The program qualifies companies with expertise and experience in growing eBay seller businesses, and provides sellers with the tools to locate them.  Mercent also announced the launch of a new eBay storefront for online retailer Altrec.com, integrated with eBay’s Large Merchant Services using Mercent Retail™, the company’s hosted online marketing software." 
"By partnering with Mercent, the extension of Altrec.com’s e-commerce presence onto eBay was predictable and efficient, and we’ve seen immediate results,” said Kevin Bauer, VP of Business and Product Development for Altrec.com.  “Our product pricing, inventory, and merchandising offers are all automatically updated on eBay, resulting in a high-performance eBay presence.”

Mercent provides enterprise retailers like Altrec.com the ability to optimize listings across eBay, and efficiently process high order and payment volumes through eBay and PayPal. Mercent is the first eBay integrator to leverage eBay's new Large Merchant Services, designed to increase profitable, high-volume product sales for large sellers on eBay." 
Mercent seems to be bucking a trend here, but it looks like they see an opportunity to introduce their clients to a completely new market and customer base, after-all everyone is looking to grow incremental sales. Look for Mercent to launch more large retailers on eBay in the future.


Just my 15%

11 comments:

Anonymous said...

omg- Altrec.com's prices are outrageous! I won't be one of their customers that's for sure!

Ridiculously priced and not fitting for ebay customers

Anonymous said...

I am so excited...

2010 or Bust said...

....and (break out the tin hats) Mercent reps at least one company that is owned by Bain Capital, where JD and Meg worked.

Henrietta said...

Kind of interesting

Anonymous said...

boring

ms.pat said...

Sounds like window dressing to me. Just like JD's appointment to Intel's BOD - more window dressing. Trying to make failure looks successful! I don't think they're fooling too many large businesses.

Anonymous said...

At 10x magnification JD's nosehairs look more ragged than the earnings chart. He really oughta have that PR pic photoshopped. It looks like an oncoming streetsweeper

Henrietta said...

Looking at the bottom line with a report the average eBay sale is under $30 (I know, the average will include a bunch of 99c and the corresponding high value items) I am curious to know what % Mercent takes. Is it a subscription plus % model? Straight subscription?

Randy Smythe said...

Henrietta,

I'm not 100% sure what they charge but that type of service is usually 2% of GMV. The retailers have been able to negotiate lower eBay rates so that 2% isn't as tough to swallow.

ebuyerfb said...

So it took Altrec about 5 months from test listings to real listings. They seem to be off to a good start (better than others who have partnered with Mercent).

Randy Smythe said...

eBuyerfb,

I think the first Mercent client SmartBargains had to go through all the problems. Altrec gets the benefit of SmartBargains issues.