PART 6 COMPREHENSIVE CASE 453 TABLE 2 A Closer Look at eBay Marketplaces and PayPal eBay Marketplaces Number of Merchandise Listings on eBay (Bil) Listings-to-Sales 2007 2008 2009 2010 2011 2012 2.34 42.0 3.06 3.26 31.0 33.0 2013 2014 2015 2016 2017 2018 4.23 4.51 4.81 5.14 35.0 35.0 35.0 35.0 Conversion Rate for Merchandise on eBay(%) Average Selling Price of Merchandise on eBay ($) 60.4 69.9 72.0 74.2 76.4 8.07 7.91 7.75 7.59 8.03 62.2 8.23 63.5 65.5 105 3.45 3.55 eBay Transaction Take 7.88 Rate (%) PayPal Average Payment Size on 68.0 PayPal ($) Number of Accounts on 44.3 PayPal (Mil) PayPal Payment Take 3.78 Rate (%) 70.6 72.0 73.4 74.9 182 205 231 261 3.18 3.11 3.05 2.99 TABLE 1 A Financial Summary for eBay 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Total Revenues (Bil $) 7.29 7.99 8.15 9.15 10.82 12.66 14.26 15.92 17.59 19.46 21.47 23.71 eBay Marketplaces 4.68 4.71 4.46 4.80 5.51 6.48 7.05 7.67 8.34 8.99 9.68 10.40 PayPal 1.84 2.32 2.64 3.26 3.87 4.51 5.35 6.20 7.05 8.02 9.12 10.40 Marketing & Advertising 0.77 0.96 1.05 1.09 1.44 1.67 1.86 2.05 2.25 2.45 2.67 Revenues by Business (% of total company) eBay Marketplaces --64.2 59.0 54.7 52.4 50.9 51.2 49.5 48.2 47.3 46.2 45.1 PayPal 25.2 29.0 32.4 35.6 35.7 35.6 37.5 39.0 40.01 41.2 42.5 Marketing & Advertising 10.6 12.0 12.9 12.0 13.3 13.2 13.0 12.9 12.7 12.6 12.4 Total Expenses (Bil $) 4.99 7.27 6.80 7.99 9.35 10.83 12.08 13.361 14.69 16.08 17.73 19.80 eBay Marketplaces 2.97 4.05 3.43 3.92 4.51 5.16 5.56 6.00 6.49 6.96 7.48 PayPal 1.54 2.44 2.60 3.18 3.68 4.32 5.03 5.73 6.42 7.19 8.15 Marketing & Advertising 0.48 0.78 0.77 0.89 1.16 1.35 1.49 1.63 1.78 1.93 2.10 Expenses by Business (% of total company) eBay Marketplaces 59.5 55.7 50.4 49.1 48.2 47.6 46.0 44.9 44.2 43.3 42.2 PayPal 30.9 33.6 38.2 39.8 39.4 39.9 41.6 42.9 43.7 44.7 46.0 Marketing & Advertising 9.6 10.7 11.3 11.1 12.4 12.5 12.3 12.2 12.1 12.0 11.8 Gross Profits (Bil $) 2.86 2.45 1.98 2.68 2.74 3.28 3.70 4.16 4.66 5.18 5.68 eBay Marketplaces 2.07 1.68 1.38 1.68 1.64 2.06 2.25 2.44 2.66 2.86 3.08 PayPal 0.44 0.38 0.24 0.62 0.64 0.71 0.89 1.10 1.32 1.58 1.79 Marketing & Advertising 0.35 0.39 0.36 0.38 0.46 0.51 0.56 0.62 0.68 0.74 0.81 Gross Profits by Business (% of total company) eBay Marketplaces (% of total) 72.3 68.6 69.7 62.5 59.9 63.0 60.7 58.7 57.1 55.2 54.2 PayPal (% of total) 15.4 15.7 12.1 23.2 23.5 21.6 24.1 26.3 28.3 30.4 31.5 Marketing & Advertising (% of 12.3 15.8 18.2 14.3 16.6 15.5 15.3 15.0 14.7 14.3 14.3 total) Gross Profits (% of total 39.2 30.7 24.3 29.3 25.3 25.9 25.9 26.1 26.5 26.6 26.5 revenues by segment) eBay Marketplaces 44.2 35.7 30.9 35.0 29.8. 31.8 31.9 31.8 31.9 31.8 31.8 PayPal. 23.9 16.4 9.1 19.0 16.5 15.7 16.6 17.7 18.7 19.7 19.6 Marketing Advertising 45.5 40.6 34.3 34.9 31.9 30.5 30.1 30.2 30.2 30.2 30.3 Gross profits Total revenues - Direct expenses Note: There are some rounding errors this table.