eBay Traffic Plummeting (EBAY)

eBay’s (EBAY) core business continues to fall apart.  Some of the decline is likely the result of the declining economy. The rest of it is likely the result of the trends that have been clobbering eBay for the past two years: competition, overpricing, and the deterioration of eBay’s value proposition.  eBay’s efforts to turn around this business do not appear to be working.

Check out the year-over-year decline in U.S. unique users to eBay.com, per Nielsen data below (year-over-year declines in lower right corner).  Note the acceleration in declines since the summer.


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