Record $$$ To Online Auctions
Findings from the Nielsen//NetRatings and Harris Interactive eCommercePulse, collected from a May 2001 online survey of 35,000 Web users, found that auction spending in May 2001 spiked 149% to $556 million from $223 million in May 2000. Auction revenue accounted for more than 10% of total eCommerce spending in May 2001, rising from 8% the previous year.
"Auctions have grown from a niche clientele of collectors to become a mainstream vehicle for online purchases," said Sean Kaldor, VP of eCommerce at NetRatings.
More than 6.2 million surfers made online purchases at auction sites in May 2001, jumping 22% from 5.1 million in May 2000, positioning auctions as the third largest eCommerce category in number of purchasers behind books and apparel.
Total eCommerce spending for May 2001 increased 104% to nearly $5.4 billion, as compared to $2.6 billion the previous year.
eBay led the online auction category in May, accounting for 64.3% of total auction revenue. uBid followed with 14.7% while Egghead.com and Yahoo! Auctions each took 4.0 and 2.4%, respectively. Rounding out the list, Amazon.com accounted for 2% of overall auction revenues.
"eBay has done an excellent job converting a very high percentage of their shoppers into buyers and keeping customers extremely satisfied at the same time," said Kaldor. "This has enabled them to dominate the online auction category with four times more revenue than their next closest competitor."