Author: 
Wendy Tanaka
Publication: 
Forbes
Publication Date: 
04-Sep-2008

In an effort to capitalize on its fastest-growing unit, eBay plans to ramp up investment in its classifieds business.

The San Jose, Calif.-based online auction giant wouldn't say how much it's investing in classifieds, but the company plans to beef up advertising and inject new technologies in its sites. The unit is also hoping to make a few acquisitions next year.

All told, eBay's (nasdaq: EBAY - news - people ) classified sites--Kijiji, Gumtree, Marktplaats, LoQUo and mobile.de--averaged 81 million visitors per month during the second quarter and experienced a 120% increase in visitors when measured against the same period a year ago. The overwhelming majority of those visitors are located in countries other than the U.S.

Classifieds revenues are lumped in with eBay's marketplaces revenues, which include auction and fixed-price listings. The company reported second-quarter marketplaces revenues of $1.46 billion, up 13% from $1.3 billion in the year-ago period; it declined to break out marketplaces revenues. EBay's total second-quarter revenues were $2.2 billion, up from $1.8 billion in the same period last year.

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