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eBay makes over $800k revenue per employee, 3x more than Amazon

eBay makes over $800k revenue per employee, 3x more than Amazon
Justinas
Baltrusaitis
7 months ago
2 mins read

The data analysis compiled by the customer service software HelpCenter app shows, that among the three e-commerce rivals – Amazon (NASDAQ: AMZN), Alibaba, and eBay – the latter is the most efficiently productive.

The research shared with Finbold.com reveals that with $811,024 revenue per employee, eBay’s workforce efficiency exceeds its competitors nearly 3 times, leaving Amazon with $297,381 and Alibaba with $285,540 revenue per employee behind. 

The results were calculated based on official data from the selected e-commerce companies. Amazon earned a staggering $386 billion last year with an army of 1.298,000 employees, followed by Alibaba’s $71.98 billion generated by 252,084 workers and eBay’s $10.30 billion (12,700 employees).

Does better employee engagement lead to higher work efficiency?

Managing existing human resources, onboarding high numbers of new employees, and keeping them all engaged have not been easy for e-commerce giants as well, and that might have affected each company’s revenue per employee as a result. 

Although Amazon managed to bring its revenue to its all-time highs, it’s also the most popular e-commerce platform that likely had to face the biggest challenges once the demand for online shopping increased. Therefore, the U.S. retail giant had to expand its team significantly and now employs over 1 million people for the first time ever.

Similarly, Alibaba Group welcomed 150,126 people to join their team in 2020, resulting in a nearly 60% increase from 2019. On the contrary, eBay lost 600 people in 2020 (4.51% decline compared to 2019), yet the company still managed to keep its revenue per employee nearly 3 times higher than its competitors. 

Onboarding new people and managing thousands or, in Amazon’s case, over million of people brings various organizational challenges, hence, can impact employee engagement which is vital not only for controlling costs but can also lead to up to 18% higher growth in revenue per employee.

Although all three companies have officially presented plenty of steps to support and protect their workers, some were criticized for taking weeks to implement the measures, which left employees irritated.

To get the best out of the e-commerce golden age, businesses will have to keep an eye on ongoing trends and adjust quickly – not only by meeting customer demands but sincerely caring about those who also are a crucial part of further growth, their employees.

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Justinas Baltrusaitis
Author

Justin crafts insightful data-driven stories on finance, banking, and digital assets. His reports were cited by many influential outlets globally like Forbes, Financial Times, CNBC, Bloomberg, Business Insider, Nasdaq.com, Investing.com, Reuters, among others.

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