EBay sees growing risks to business in coming year

[UpInArms]

Source: Reuters

SAN FRANCISCO (Reuters) - Online auction leader eBay Inc warned in an annual report on Friday that it faces difficulty getting former customers to return, adding to the normal challenge of attracting new users to its sites.

In its annual shareholder filing with the U.S. Securities and Exchange Commission, eBay cited a variety of new threats to its business that reflect "changing customers demands."

EBay acknowledged that its main auction business faces slowing growth in each of its top three markets.

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The San Jose, California-based company also acknowledged that significant changes made in January in fees and policies on its marketplaces have been controversial with many sellers.

"If these changes cause sellers to move their business away from our sites or otherwise fail to improve gross merchandise volume or the number of successful listings, our operating results and profitability will be harmed," eBay said.

Read more: http://www.reuters.com/article/technologyNews/idUSN2923696420080301?sp=true