EBay Enterprise
{{Short description|Multinational e-commerce corporation}}
{{lowercase}}
{{Infobox company
| name = eBay Enterprise, Inc.
| type = Division
| founded = {{Start date and age|1995}}
| founder = Michael Rubin
| defunct = {{End date|2016}}
| fate = Dissolved
| hq_location_city = King of Prussia, Pennsylvania
| hq_location_country = United States
| area_served =
| key_people =
| industry = {{ublist | e-Commerce | Marketing services }}
| products =
| services =
| revenue =
| revenue_year =
| operating_income =
| net_income =
| num_employees =
| parent = eBay (2011–2015)
| divisions =
| subsid =
| website = {{url|https://www.ebayenterprise.com}}
| footnotes =
| logo = Ebay enterprise.png
| former_name = Global Sports (1995–2002)
GSI Commerce (2002–2013)
| location =
| locations =
| successors = {{ublist | Pepperjam | Radial Inc. }}
}}
eBay Enterprise, Inc. (formerly GSI Commerce, Inc.) was a multinational e-commerce corporation that specialized in creating, developing and running online shopping sites for brick and mortar brands and retailers. The company also provided a variety of marketing, consumer engagement, customer care, payment processing, fulfillment, fraud detection, and technology integration services.
eBay Enterprise had over 500 clients and operated 26 offices in North America, Europe, and Asia. It provided services for companies such as Zales, iRobot, Timberland, Ace Hardware, Sports Authority, Dick's Sporting Goods, and RadioShack.{{cite web | website= Business Insider | first=Pascal-Emmanuel|last=Gobry|title=Meet GSI Commerce, The Biggest E-Commerce Empire You've Never Heard Of| url=http://www.businessinsider.com/gsi-commerce-2011-2 | date=2011-02-14 | access-date=2016-05-11}}
History
=Founding and growth=
Founded by Michael Rubin in 1995 as Global Sports Incorporated, the company focused on selling sporting goods and supplies.{{cite web|date=July 6, 2006 |title=America's Youngest CEOs |url=https://www.forbes.com/2006/07/06/leadership-management-ceo-cz_ph_0706americasyoungestceos.html |first=Patricia |last=Huang |work=Forbes |access-date=2010-03-14}} In 1999, it branched out into clothing and a variety of other categories and changed its name to GSI Commerce in 2002.{{cite web|year=2009 |title=Our History |url=http://www.gsicommerce.com/about/our_history.php |publisher=GSI Commerce |access-date=2010-03-14}} Toys "R" Us, one of GSI's largest e-commerce partners, chose GSI after suing Amazon.com for breach of its exclusivity contract.{{cite news|date=March 3, 2006 |title=Toys 'R' Us Wins Right to End Amazon Partnership |url=http://www.ecommercetimes.com/story/49188.html |first=Keith |last=Regan |work=E-commerce Times |access-date=2010-03-14}} In October 2000, GSI acquired Fogdog.com, an online sporting goods store.{{cite web|last=Sandoval |first=Greg |title=Web site developer buys sports site Fogdog |url=http://www.cnet.com/news/web-site-developer-buys-sports-site-fogdog/ |publisher=CNET |date=October 24, 2000 |access-date=2015-07-26}} In August 2007, GSI acquired Accretive Commerce, a company with a similar business model, for $97.5 million.{{cite news|url=https://www.nytimes.com/2007/08/27/technology/27ecom.html|title=Late to Web Retailing? There's Still Money There|last=Tedeschi|first=Bob|date=August 27, 2007|work=The New York Times|location=New York|access-date=2010-03-14}} In 2008, it was announced that Innotrac, a similar e-commerce company with fulfillment centers located throughout the United States, would be acquired, however, the deal was canceled in January 2009.{{cite news|date=January 29, 2009 |title=Innotrac merger with GSI Commerce canceled |url=http://www.bizjournals.com/philadelphia/stories/2009/01/26/daily45.html |work=Philadelphia Business Journal |access-date=2010-03-14}} The company acquired e-Dialog in 2008; as well as Retail Convergence, operators of Rue La La and Smartbargains.com, in 2009.
In September 2008, GSI and Timberland reached a settlement of up to $7,000,000 with a class of cell phone subscribers who alleged that they received unsolicited SMS text messages advertising for Timberland.Weinstein v. Airit2me, Inc. et al., No. 06-C-0484 (N.D. Ill. 2008) Both Timberland and GSI denied any wrongful conduct and stated that a completely separate and independent company was responsible for securing the consents of the class members to receive the text messages.{{cite news|date=September 15, 2008 |title=GSI Commerce, Timberland in tentative settlement in text message case |url=http://www.bizjournals.com/philadelphia/stories/2008/09/15/daily4.html |work=Philadelphia Business Journal |access-date=2010-03-14}} The settlement was significant as it was the first nationwide settlement for unsolicited text messages under the Telephone Consumer Protection Act.{{cite news|date=September 23, 2008 |title=Timberland laces up $7M text spam settlement |url=http://www.bizjournals.com/boston/blog/mass-high-tech/2008/09/timberland-laces-up-7m-text-spam-settlement.html|work=Mass High Tech|access-date=2016-04-22}}
On November 9, 2009, the company re-branded its marketing-services division, GSI Interactive, as True Action.{{cite news| website=AdAge| date=November 9, 2009| title=How a Back-end E-tail Operation Looks to Grow Into a Digital Shop| url=https://adage.com/article/digital/digital-advertising-agencies-true-action-launches-gsi/140348/|access-date=2019-02-26| first=Kunur| last=Patel}}
On March 21, 2010, the company and its former CEO, Michael Rubin, were featured on the CBS television series Undercover Boss.{{cite web|website=IMDb|title="Undercover Boss" GSI Commerce (TV Episode 2010)|url=https://www.imdb.com/title/tt1620388/|access-date=2016-07-03}}
On April 21, 2010, e-Dialog, a GSI Commerce Marketing Services division, announced the acquisition of M3 Mobile Marketing, a Philadelphia-based company which offers a full-service mobile marketing model.{{cite news| website=DMNews| date=April 21, 2010| title=E-Dialog acquires mobile firm M3 | first=Kevin |last=McKeefery |url=https://www.dmnews.com/channel-marketing/mobile/news/13061636/edialog-acquires-mobile-firm-m3 |access-date=2019-02-26}}
On May 3, 2010, e-Dialog announced the acquisition of MBS, a database marketing solutions provider, from World Marketing Inc.{{cite news|website=Business Wire| date=May 3, 2010| title=e-Dialog Acquires Database Marketing Solutions Provider MBS| url=https://www.businesswire.com/news/home/20100503005699/en/e-Dialog-Acquires-Database-Marketing-Solutions-Provider-MBS|access-date=2019-02-26}}
In 2010, the company announced the launch of ShopRunner
=eBay ownership=
On March 28, 2011, it was announced that eBay Inc. would acquire GSI for $2.4 billion. The deal was closed on June 20, 2011.{{cite web|last=Rao |first=Leena |title=eBay Closes $2.4 Billion Acquisition of GSI Commerce |publisher=TechCrunch|url=https://techcrunch.com/2011/06/20/ebay-closes-2-4-billion-acquisition-of-gsi-commerce/|date=June 20, 2011 |access-date=2015-07-25}}
On June 20, 2013, the company announced that it would be retiring the GSI Commerce name in favor of eBay Enterprise.{{cite web| last=Protalinski |first=Emil |title=Two years after the acquisition, eBay rebrands GSI Commerce as eBay Enterprise |publisher=The Next Web |url=https://thenextweb.com/insider/2013/06/20/two-years-after-the-acquisition-ebay-rebrands-gsi-commerce-as-ebay-enterprise/ |date=June 20, 2013 |access-date=2015-07-30}}
Magento, Inc. became a part of eBay Enterprise on November 21, 2013.{{cite web|title=Expanding Opportunities for Magento Merchants, Partners and Developers|publisher=Magento|url=https://magento.com/blog/magento-news/expanding-opportunities-magento-merchants-partners-and-developers|date=November 21, 2013|access-date=2016-04-22}} eBay Inc. had purchased Magento on June 6, 2011, prior to completing the acquisition of GSI Commerce.{{cite web|url=http://www.pcworld.com/article/229503/article.html|last=Perez|first=Juan Carlos|publisher=PC World|title=EBay Buys Magento to Boost Its E-commerce Developer Tools|date=June 6, 2011|access-date=2016-04-22}}
=Sale and dissolution=
On July 16, 2015, the Permira-led consortium of buyers including Sterling Partners, Longview Asset Management, Innotrac, Inc., and companies owned by Permira funds began the process to buy the company.{{Cite web|last1=Krishna Kumar |first1=Devika|last2=Goliya |first2=Kshitiz |title=EBay sells enterprise unit ahead of PayPal split |url=https://www.reuters.com/article/us-ebay-divestiture-idUSKCN0PQ1B620150716|publisher=Reuters |date=July 16, 2015 |access-date=2015-07-25}}
On November 2, 2015, the sale was finalized for $925 million and eBay Enterprise became an independent company.{{Cite web|title = EBay Finalizes Sale Of Enterprise Unit As Magento Relaunches As An Independent Company|url = https://www.forbes.com/sites/ryanmac/2015/11/02/magento-commerce-ebay-enterprise-50-billion/|website = Forbes|access-date = 2015-11-02}} The company was split into 4 parts: enterprise operations and technology services, Magento Commerce Technologies, Marketing Solutions, and customer relationship management (CRM).{{cite web|publisher=AltAssets|url=https://www.altassets.net/private-equity-news/by-news-type/deal-news/permira-nabs-chunk-of-ebay-enterprise-in-925m-buyout.html|title=Permira nabs chunk of Ebay Enterprise in $925m buyout|date=2015-11-03|access-date=2016-04-22}} The CRM business was acquired by Zeta Interactive.{{cite news|last=DiStefano|first=Joseph N.|newspaper=The Philadelphia Inquirer|title=eBay's ex-GSI Commerce split 4 ways|url = http://www.philly.com/philly/blogs/inq-phillydeals/eBays-ex-GSI-split-into-4-firms-.html|date=2015-11-04|access-date=2016-04-22}}
The photography, video and copywriting services division of eBay Enterprise was sold to Industrial Color Brands on March 28, 2016, for an undisclosed amount.{{cite web|website=Internet Retailer|first=Allison|last=Enright|title=eBay Enterprise sells its photo and video production studio division|url=https://www.internetretailer.com/2016/03/28/ebay-enterprise-sells-its-photo-and-video-production-studios|date=2016-03-28|access-date=2016-05-09}}
eBay Enterprise Marketing Solutions rebranded as Pepperjam on April 7, 2016.{{cite news|last=Allabaugh|first=Denise|title=Pepperjam name revived|newspaper=The Scranton Times-Tribune|url=http://thetimes-tribune.com/news/business/pepperjam-name-revived-1.2027852|date=2016-04-07|access-date=2016-04-22}}
On April 19, 2016, the enterprise services division of eBay Enterprise merged with Innotrac and officially became Radial, Inc.{{Cite web|last=Guy|first=Sandra|url=https://www.internetretailer.com/2016/04/18/ebay-enterprise-division-rebrands-phases-out-platforming|title=An eBay Enterprise division rebrands and directs some big retailer clients to Demandware|website=Internet Retailer|date=2016-04-19|access-date=2016-04-22}}
List of acquisitions
- FogDog (2000)
- Accretive Commerce (2007)
- e-Dialog (2008){{cite web |last=Katz |first=Julie M. |publisher=Forrester Research |title=Independent ESP e-Dialog Makes Out Well In Acquisition Deal |url=http://blogs.forrester.com/julie_m_katz/08-01-24-independent_esp_e_dialog_makes_out_well_acquisition_deal |date=January 24, 2008 |access-date=2015-07-26 |archive-url=https://web.archive.org/web/20150910092641/http://blogs.forrester.com/julie_m_katz/08-01-24-independent_esp_e_dialog_makes_out_well_acquisition_deal |archive-date=September 10, 2015 |url-status=dead }}
- Silverlign (2009){{cite web |last=Evans |first=Katie |publisher=Internet Retailer |url=https://www.internetretailer.com/2009/04/07/gsi-acquires-web-design-and-marketing-agency-silverlign |title=GSI acquires web design and marketing agency Silverlign |date=April 7, 2009 |access-date=2015-07-29}}
- Pepperjam Network (2009){{cite news|last=Allabaugh |first=Denise |title=Job losses, takeovers and growth mark 2009 in Luzerne County |url=http://thetimes-tribune.com/news/business/job-losses-takeovers-and-growth-mark-2009-in-luzerne-county-1.510906 |newspaper=The Times-Tribune |location=Scranton |date=December 27, 2009 |access-date=2015-07-26}}
- Retail Convergence (2009){{cite news|url=https://www.nytimes.com/2009/10/28/technology/start-ups/28shop.html|title=Operator of 'Private' Web Sales Is Acquired|last=Stone|first=Brad|date=October 27, 2009|newspaper=The New York Times|location=New York|access-date=2015-07-26}}
- VendorNet (2010){{cite web | publisher=Business Wire|title= GSI Commerce Acquires VendorNet |url=https://www.businesswire.com/news/home/20100511005689/en/GSI-Commerce-Acquires-VendorNet | date=May 11, 2010 |access-date=2019-02-26}}
- FetchBack (2010){{cite web | last=Schonfeld |first=Erick | publisher=TechCrunch |title=FetchBack Fetches $40 Million From GSI Commerce |url=https://techcrunch.com/2010/06/01/fetchback-40-million-gsi-commerce/ |date=June 1, 2010 |access-date=2015-07-26 }}
- ClearSaleing (2011){{cite web |last=Martinez |first=Juan |title=GSI Commerce acquires ClearSaleing |url=http://www.dmnews.com/multichannel-marketing/gsi-commerce-acquires-clearsaleing/article/193991/ |publisher=Direct Marketing News |date=January 10, 2011 |access-date=2015-07-26 |archive-date=2015-07-30 |archive-url=https://web.archive.org/web/20150730223346/http://www.dmnews.com/multichannel-marketing/gsi-commerce-acquires-clearsaleing/article/193991/ |url-status=dead }}
- Fanatics (2011){{cite news |last=Bauerlein |first=David |date=February 12, 2011 |title=Jacksonville-based Football Fanatics scores with $277 million sale |url=http://jacksonville.com/sports/football/2011-02-12/story/jacksonville-based-football-fanatics-scores-277-million-sale |newspaper=Florida Times-Union |location=Jacksonville |access-date=2015-07-26 }}
List of divestitures
- Fanatics (2012){{cite web |last=Carlson |first=Nicholas |title=Instead Of Retiring After Selling His Company For $2 Billion, This Guy Went Ahead And Created A New ~$2 Billion Business |url=http://www.businessinsider.com/instead-of-retiring-after-selling-his-startup-for-2-billion-this-guy-went-ahead-and-created-a-new-2-billion-business-2012-8|publisher=Business Insider | date=August 1, 2012 |access-date=2015-07-29}}
- Retail Convergence (2012)