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eBay Launches Shoppable Storefronts

Stocks in this article: EBAY FNP

NEW YORK ( TheStreet) - eBay (EBAY) shares fell on Wednesday following news the e-commerce company is partnering with Fifth & Pacific (FNP), parent company of Kate Spade, Juicy Couture and Lucky, among other brands, to launch virtual stores called "shoppable storefronts" this weekend in New York City.

eBay shares were falling 1.7% to $51.65, while Fifth & Pacific shares were falling 0.3% to $21.33.

The four 24-hour storefronts, live from June 8 to July 7, will feature items from Kate Spade Saturday, Fifth & Pacific's newest fashion brand that was launched earlier this year.

"Kate Spade Saturday is tapping into eBay Inc.'s best innovations in mobile technology, same-day delivery, and seamless payment to create a fun, unique experience that allows pedestrians to shop an array of colorful fashion and lifestyle products 24-hours a day -- with the added bonus of free delivery -- in about an hour (or to be scheduled within a week)," according to an eBay fact sheet obtained by TheStreet. "This experience brings the best of online shopping into the physical world."

Shoppers can use the interactive storefronts by selecting from 30 items of merchandise - a new item will be posted each Saturday, using the "CHECKOUT" button and entering a mobile number to receive a text message about scheduling free delivery. Customers pay at delivery using eBay's mobile payment service, PayPal Here.

The four 24-hour storefronts will be located in downtown Manhattan at the following addresses:

  • 175 Orchard Street
  • 154 Spring Street
  • 7 W. 18th Street
  • 30 Gansevoort Street

Fifth & Pacific will be able to use the technology to sell the brand without opening new stores. CEO William McComb told Reuters that the company plans to also use the technology in existing stores for other brands, such as Juicy to sell shoes and Kate Spade New York to sell home furnishings and bedding.

"We would never be able to fit all those products in a store in the traditional way," McComb told Reuters. "These things would typically require an extra 10,000 square feet of store space. But through partnerships like this eBay one we could do this through stores that are 2,000 square feet."

eBay's partnership with Fifth & Pacific is its latest effort to work more closely with larger retailers, the article said. It has already worked with Target (TGT) and developed mobile shopping technology for Macy's (M).

-- Written by Laurie Kulikowski in New York.

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Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

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