EBay to launch new microsite Monday

April 3, 2010 at 12:00a.m.

Associated Press

NEW YORK

EBay Inc. may be the biggest online clothing seller, but it’s still known for selling other people’s castoffs. Now it wants shoppers to think of it when looking for trendy duds like hipster jeans and red ballerina flats.

EBay will launch a new fashion microsite Monday. It’s the latest in a series of changes that will sometimes have it acting more like an outlet mall or “private sale” Web site.

EBay is working with major fashion brands and retailers such as Hugo Boss and Lord & Taylor to act as sellers. The new microsite, fashion.ebay.com, will bring together several new ways of selling.

The company began testing “flash” sales — short-term sales of a small selection of merchandise — late last year. It launched “Fashion Vault” earlier this week, putting it directly in competition with private sales players like Gilt.com and Ruelala.com, which sell trendy clothing and accessories at deep discounts.

EBay also is creating an online outlet mall that so far has enlisted Lord & Taylor; Brooks Brothers and shoe brand Aldo will be added later this spring. Meanwhile, eBay, which sold $7.1 billion worth of clothing last year and has 10 million buyers just looking for fashion, also hopes to add more exclusive fashions after successful deals with designers Narciso Rodriguez and Norma Kamali.

The new selling formats, along with gallery-style photographs and a better search engine that will make it easier to browse, eventually will be rolled out in other categories including home and garden, technology and media as eBay tries to perk up sales.

“We’re really transforming the experience,” said Lorrie Norrington, president of eBay Marketplaces, which also includes such e-commerce sites as Shopping.com and Kijiji and accounted for 61 percent of the company’s revenue of $8.7 billion last year. “We’re playing to our strengths” in clothing, she said.

The fashion strategy will put it more in direct competition with Amazon.com and traditional retailers like Macy’s and Target.

Some analysts are skeptical that eBay can remake its image.

“EBay has a reputation for selling used goods,” said Forrester Research analyst Sucharita Mulpuru. She noted eBay’s new endeavor will be successful only if it has “great access to a phenomenal supply of merchandise that is priced well, and the site looks significantly better.”