Is eBay Set to Reignite Growth by Expanding Into Social Commerce?

eBay EBAY runs one of the world’s largest online marketplaces, connecting millions of buyers and sellers across categories from collectables to refurbished goods. While its scale and trust have long been competitive strengths, the company has faced pressure to modernise as rivals gain traction with mobile-first designs, sustainability messaging and social engagement. For eBay, reinforcing its consumer-to-consumer (C2C) foundation is becoming central to driving user stickiness and long-term transaction growth.

The company’s latest move is the acquisition of Tise, a Norway-based social marketplace. Tise differentiates itself by building resale around community features such as followers, likes, comments and personalised feeds, effectively making shopping feel like a social network. eBay had invested in Tise through eBay Ventures in 2022, and full ownership now allows it to bring these engagement-oriented capabilities more deeply into its platform. By integrating Tise’s design and tools, eBay aims to strengthen its appeal to Gen Z and Millennial shoppers who increasingly view resale as both a sustainable and social experience.

How eBay Stacks Up Against Competitors

Amazon AMZN has been testing resale and recommerce pilots. However, it still focuses more on logistics and scale than social engagement, leaving a gap in community-driven commerce. Simultaneously, Amazon remains a formidable rival due to its reach and infrastructure. Shopify SHOP is building momentum in social commerce with creator-led tools and continues to attract smaller sellers and influencers by blending shopping with content. However, Shopify lacks the resale depth that eBay commands. Etsy ETSY has also carved out a strong position with its community-focused marketplace for handmade, vintage and unique items. However, Etsy remains more niche compared with eBay’s broader C2C reach. By acquiring Tise, eBay gains a differentiator, positioning itself between Amazon’s scale, Shopify’s social push and Etsy’s community-driven niche.

Investment Outlook: Positive

The Tise acquisition underscores eBay’s intent to reignite growth by leaning into C2C and social commerce. The challenge will be integrating Tise without losing the authenticity that makes it appealing. But if executed well, the deal could deepen engagement, boost transaction frequency and restore differentiation in a crowded resale market. By marrying scale with social-first design, eBay positions itself to compete more effectively against Amazon, Shopify and Etsy while re-energising its growth profile.

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This article originally published on Zacks Investment Research (zacks.com).

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