After just a year at eBay the Global Head of Delivery Experience, Faisal Masud has been head hunted by Groupon. Reuters broke the news citing a Groupon internal email that they obtained on Friday.
Previously Faisal was with Amazon and industry rumours (which Tamebay cannot substantiate) suggest that it took eBay some time and a substantial “golden hello” to poach him, but it’s taken less than a year for Groupon to convince him to jump ship. He’ll be heading up Groupon Goods, which contrasting to Groupon’s daily deal offers, is a more traditional ecommerce business operating as a discount retailer in the US. If Groupon Goods takes off they’ll be going head on with Amazon and eBay so Faisal with experience of both companies is ideally placed to know how to compete with the two ecommerce giants.
It’s not a good time for eBay to lose their global head of shipping. In the US the 1st of May is the deadline for sellers to start uploading tracking information for all shipments – failure to do so for at least 90% of orders will result in the loss of Top Rated Seller status. In the UK we’re just about to be hit with the latest round of consumer price increases by Royal Mail and business tariffs have already increased by as much as 63% plus the addition of VAT resulting in a further increase of 20% for sellers unable to reclaim VAT.
What’s more important than the timing is the loss to both eBay and Amazon of someone who has an incredibly in depth knowledge of their businesses. Ecommerce simply doesn’t function without shipping and the most important part of any transaction is the delivery experience. At a time when sellers are fighting margins one of the easiest places to cut costs is by using a cheaper option, which generally means a slower untracked service. Groupon have just won the experience of one of the most knowledgeable delivery experts in ecommerce.