Retail giants Amazon.com, Inc. (NASDAQ:AMZN) and eBay Inc. (NASDAQ:EBAY) are battling it out fiercely on who is the better in offering one of the best and reliable delivery service. Both companies claim that their delivery systems are the best in the industry but complaints coming from customers and sellers, according to e-commerce bytes indicate that their services might not be as reliable as purported.
Sellers have reportedly aired concerns as to the way eBay Inc. (NASDAQ:EBAY) is displaying the delivery times of their listings. It is alleged that most of the time purchased items don’t reach end consumers after purchase as purported by listings on the website. With increased logistics as well as high traffic jams on the roads, it is becoming extremely difficult for the giant online stores to ensure prompt delivery of goods.
Amazon.com, Inc. (NASDAQ:AMZN) has already started displaying dates that show delivery after Christmas for items that were supposed to be delivered in time for the big event. The move has angered sellers as it has only gone to reduce the frenzy behind shopping, which was expected to define this holiday season.
Amazon.com, Inc. (NASDAQ:AMZN) and eBay Inc. (NASDAQ:EBAY) may have resorted to this kind of approach this year having received immense uproar last year on goods that did not get delivered on time as specified. Amazon was forced to pay for some of the goods that did not arrive on time incurring expenses it had not planned for. The approach is somehow justified on the fact that there is no way that a delivery system can ever operate to make customers 100% happy all the time.
Amazon.com, Inc. (NASDAQ:AMZN) has already launched its one-hour delivery service as it looks to tap into the frenzy that comes with the holiday shopping frenzy. The system is aimed at fending off competition being offered by local stores that have continued to gain market share in the e-commerce space.
Stock of eBay Inc. (NASDAQ:EBAY) had been in strong uptrend and has rallied from $46 odd levels till $57.5. Moving ahead the stock has made double top and looks like the correction is on the cards. The stock has immediate support at $55.5, $53 on the downside whereas the resistance is pegged at $58.5, $60 on the upside.
Sell eBay Inc. (NASDAQ:EBAY) below $57 for target of $56.4, $55.5 with stop-loss of $57.3
With over 20 years’ experience in the heart of the investment industry, Ben Myers has become one of the most respected commentators in the financial world. Having worked for global institutions such as HSBC and Bank of Ireland, Ben ran his own successful investment company in the UK before becoming chief analyst at ECMarkets and now YesOption. Ben remains a keen forex and binary options trader and is a regular featured analyst for a number of online news portals including bbc.com, investing.com, and was responsible for YesOption winning the Best Technical Analysis Award 2014 from DailyForex.com.