As all know, a new business for eBay called X.commerce has emerged in recent months. This is an excerpt of an article from Los Angeles Times.
The website for the division, X.com, revives a name from the early days of PayPal, when it merged a competing online payments business called X.com started by Elon Musk.
X.commerce is trying to persuade outside developers to create applications, or apps, for merchants looking to sell more online.
The apps can be designed to work on EBay’s marketplaces. They may also include payment capabilities from PayPal and work with websites built on Magento, an open-source e-commerce company that EBay bought in June.
The more useful apps that developers build through X.commerce, the more likely merchants are to use EBay’s marketplaces, PayPal’s payment technology or GSI’s e-commerce services.
“The idea is to indirectly monetize EBay’s main assets PayPal, GSI and Marketplaces,” said Matthew Mengerink, the EBay veteran who runs the new division. “X.commerce is in a unique position. I don’t have to drive revenue, I have to drive traffic.”
EBay has about 725,000 developers registered with its various developer programs, and there are roughly 4,600 Magento apps active on X.com, up from 3,800 at the start of the year, according to Mengerink.
Mengerink said he will measure X.commerce‘s success partly on how much money developers make selling apps.
“If developers are making the money, you can’t shake the platform,” he added. “We believe we can create the largest ecosystem.”
Smaller merchants will not have to hire lots of in-house developers if a wide variety of e-commerce apps are available to buy and plug into their online stores, Mengerink explained.