eBay Is Testing A Same-Day Delivery Service, Beating Amazon To The Punch

Jack Abraham Milo eBayMeet eBay’s local-commerce czar, Jack Abraham.

Photo: Twitter profile

eBay has quietly launched a test of eBay Now, a same-day shipping service which delivers goods from local stores to consumers. It’s only available in San Francisco.Rocky Agrawal, a product strategist and keen observer of the local market, first reported eBay’s launch on Twitter, and TechCrunch’s Josh Constine picked up on his report.

A top eBay executive has confirmed that it’s the brainchild of Jack Abraham, an entrepreneur who sold local shopping-search startup Milo.com to eBay in December 2010 for $75 million.

Milo launched as a service that looked into local stores’ inventories to show which goods were available nearby. So the delivery service—perhaps inspired by competing offerings from startups like TaskRabbit and Postmates—was a natural extension.

But the real target here is Amazon.com, which is widely believed to be prepping for same-day delivery—likely in conjunction with some nationwide move to reform sales-tax collection. Currently online merchants don’t have to collect local sales tax unless they have a physical presence, or “nexus,” such as a warehouse in a state.

Abraham, who now heads up local at eBay, has beaten Amazon to the punch with eBay Now. And he is an example of how the e-commerce giant is reinvigorating itself with startup DNA.

NOW WATCH: Tech Insider videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.