eBay (NASDAQ:EBAY) is taking window shopping to a whole new level this month. Forget virtual window-shopping. The online retailer is stepping out of its comfort zone and into New York's shopping scene, with what it calls "shoppable windows." eBay stock has gained a modest 1% so far this year, which is notably lower than rival online retailer Amazon's (NASDAQ:AMZN) near 7% gain. However, eBay's innovative launch of interactive storefronts could give the stock momentum going forward.

Shop it to me
eBay has collaborated with Fifth and Pacific (NYSE:KATE), the parent company of Kate Spade Saturday, to create an innovative shopping experience. The e-commerce giant is testing 24-hour window shops in New York that let consumers browse and purchase items from Kate Spade Saturday. Free one-hour delivery to anywhere in Manhattan is perhaps the most exciting part of this new offering. While Amazon is testing same-day shipping in select cities, not even Amazon Prime members get the option of free one-hour delivery.

In eBay's words, "Our partnership brings the best of online shopping into the physical world, and rolls mobile technology, same-day delivery, and seamless digital payments into one end-to-end customer experience." That sounds promising. eBay's interactive windows will be available to New York shoppers from June 8 through July 7.

The partnership with Fifth and Pacific offers eBay a way to better connect with retailers while also interacting with consumers. Meanwhile, the virtual windows will help Fifth and Pacific get its new Kate Spade Saturday brand off the ground without opening physical stores, according to Reuters.

The future of shopping
Technology continues to change the retail landscape, and eBay is putting itself at the forefront of this change. On that score, it's refreshing to see eBay pushing the envelope with new innovations. I think this bold move into interactive shopping displays could pay off for the company down the road.


Fool contributor Tamara Rutter owns shares of Amazon.com. The Motley Fool recommends and owns shares of Amazon.com and eBay. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.