eBay Acquires Sneaker Authentication Business from Sneaker Con

eBay Strengthens Commitment to Sneaker Market with Sneaker Con Digital Acquisition

eBay is significantly expanding its presence in the sneaker resale market through the acquisition of Sneaker Con Digital’s authentication services. This move reinforces the platform’s dedication to verifying the legitimacy of high-value sneakers.

Expanding Global Authentication Capabilities

The acquired business currently operates across multiple key markets, including the United States, the United Kingdom, Canada, Australia, and Germany. Previously, this entity collaborated with eBay to validate sneakers listed for sale on its marketplace.

A Thriving Sneaker Marketplace

Sneakers represent a substantial and growing segment on eBay, with over 1.9 million pairs available for purchase daily.

The Authenticity Guarantee Program

In October 2020, eBay initiated its “Authenticity Guarantee” program in collaboration with Sneaker Con. This service provided expert verification of sneakers, at no cost to sellers, prior to shipment to buyers.

A rigorous inspection process was implemented, involving detailed examination of sizing, labels, stitching, logos, heel tabs, laces, and even the shoe box itself.

Enhanced Verification Technology

Upon successful verification, each sneaker receives an NFC-enabled tag. This tag provides buyers with detailed information regarding the shoe’s authenticity when scanned.

Listings that have undergone verification are clearly marked with a blue check mark, enhancing buyer confidence.

Attracting Buyers and Driving Sales

eBay’s platform has become a preferred destination for sneaker enthusiasts due to the ability to view actual photos of the items, rather than stock images. Furthermore, the platform generally offers lower fees compared to competing sneaker marketplaces.

This strategy aligns with eBay’s broader objective of attracting collectors and enthusiasts across luxury categories, such as handbags, watches, and sneakers, encouraging increased spending on the platform.

Significant Growth and Positive Results

eBay reports that the Authenticity Guarantee service has fueled substantial quarter-over-quarter growth within the sneaker category. Over 1.55 million sneakers have been authenticated globally within a little over a year.

Expansion and Investment in Technology

During its Q3 2021 earnings report, eBay highlighted the strong performance of its U.S. sneaker business, which experienced double-digit growth. Expansion into additional markets, including Germany, was also noted.

The company announced plans to integrate 3D imaging capabilities into sneaker listings, allowing buyers to view items from all angles and further bolstering trust.

Bringing Authentication In-House

By acquiring Sneaker Con Digital’s authentication business, eBay is integrating these capabilities directly into its operations. This will enable continued development of services tailored to the evolving resale market.

The financial details of the acquisition have not been publicly disclosed.

Separate Operations for Sneaker Con Events

It’s important to note that this deal specifically pertains to Sneaker Con’s authentication division; its event business will continue to operate independently.

The acquisition was finalized on November 24, 2021.

eBay’s Vision for the Future

“eBay has always been a vibrant community of enthusiasts, with deeply knowledgeable buyers, sellers and employees,” stated Jordan Sweetnam, SVP and General Manager of eBay North America. “We partnered with Sneaker Con to launch sneaker authentication on eBay last year because the team shared our passion for the category – with best-in-class capabilities to deliver what our customers want most.”

Sweetnam continued, “The response to our authentication offering has been overwhelming, and this acquisition allows us to continue to transform eBay and bring a higher level of trust and confidence to every transaction.”