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Amazon third-party vendors have blamed U.S. tariffs on Chinese goods for increasing their costs. They have slashed their margins and pushed up prices on consumers, according to a new survey by the American Chamber of Commerce in Shanghai, as reported by the South China Morning Post.
According to Jungle Scout, which surveyed vendors, 72% of Amazon sellers have had unit cost increases by about 17% since the beginning of the trade war last year. Jungle Scout helped third party vendors to set up their business.
September 12, 2019
A ‘Washington Post’ report shows that the company is aggressively pushing its own brands, even when customers are about to purchase from third-party sellers.
Amazon has a reputation problem. Or maybe it’s more of a love/hate relationship problem. To some, Amazon is the big bad ecommerce giant destroying smaller retailers, using unfair competitive tactics, and constantly sucking more fees out of the businesses that sell on its platform. Yet, it’s still the place Americans go for almost half of all online purchases, and half of American households pay for a Prime membership.
August 30, 2019
Amazon is experimenting with yet another mysterious badge to help shoppers sort through the millions of choices its marketplace offers.
Amazon’s biggest asset can also be a headache for its customers. The so-called “everything store” really does sell almost any item consumers might want, but it’s often cumbersome and time-consuming to sort through them all. To avoid “choice overload,” the retail giant has come up with certain signals designed to help people distinguish high-quality products from the rest. They include star ratings and product reviews, as well as “Amazon’s Choice,” a mysterious badge bestowed on some individual items, which has recently become the subject of scrutiny from lawmakers.
August 16, 2019
Amazon is indirectly causing third-party sellers to raise prices on their products if those products are listed on competing storefronts at lower prices, according to a report from Bloomberg. This is potentially anti-competitive, and it may become a central piece of evidence in the federal government’s ongoing antitrust investigations into US tech companies.
Amazon is not going so far as to openly demand its third-party sellers raise prices, according to Bloomberg. In some cases, Amazon may want the seller to lower the prices of its items on Amazon.com to match the prices on Walmart and elsewhere. Walmart also encourages its sellers to match prices across platforms. But Walmart isn’t as influential as Amazon’s Marketplace, which is the dominant online platform in the US for third-party sellers.
August 5, 2019
To survive in the post-Amazon era, the way companies have been storing and delivering physical goods to their final destination will need to change profoundly in the next decade. Below are some of the key challenges facing the logistics landscape and three predictions for what we can expect to see next.
This year, more than half of US households will be Prime members. As Amazon continuously pushes delivery costs and times down, consumer expectations keep rising higher. But what does this mean for other retailers?
July 20, 2019
Amazon updated its terms of service for third-party sellers, committing to give a 30-day notice and provide reasons for account suspensions.Sellers and marketplace experts say the new language still doesn’t go far enough to protect merchants from potentially unfair suspensions.
The change follows a settlement Amazon reached with German antitrust authorities over its marketplace policies, and comes amid growing antitrust scrutiny of its business practices.
July 20, 2019
A federal appeals court ruled that Amazon can be held liable for defective goods sold on its site by third-party vendors, who now account for more than half of the company’s e-commerce revenue.
The decision from a court in Philadelphia, reverses the lower court ruling and could be significant for Amazon, which has faced criticism for enabling counterfeits and dangerous items to sell through its platform.
July 3, 2019.
Two months ago, Amazon.com Inc. halted orders from thousands of suppliers with no explanation. Panic ensued — until the orders quietly resumed weeks later, with Amazon suggesting the pause was part of a campaign to weed out counterfeit products. Suppliers breathed a sigh of relief.
Now a larger, more permanent purge is coming that will upend the relationship between the world’s largest online retailer and many of its long-time vendors.
May 28, 2019
Last year, third-party sellers accounted for 58% of all physical goods sold through Amazon. The percentage of sales from third parties were just 3% of Amazon’s retail operations during 1999.
The sales by Amazon third-party merchants were 160 billion worth of goods on its marketplace last year, dwarfing eBay‘s $95 billion in gross merchandise volume for 2018. What’s more, Bezos’ bread crumbs allow investors to get a good idea of how much third-party sellers have grown on Amazon in absolute terms. Interestingly, over the last four years, Amazon’s gross merchandise volume from third parties grew by about $95 billion.
Apr 13, 2019
In today’s Amazon-centric online world, a growing number of e-commerce only sellers are folding their tent and walking away. The common thread? The companies that close their doors in the last year or so are those who resell products made by other brands, not brands they own. So if you’re intent on winning in today’s Amazon world, how do you do it?
The first step to winning is to realize that today’s consumers are loyal to brands, not retailers or sellers, Amazon included. Online resellers make one-off sales. Brands create loyal customers.
Apr. 17, 2019
Kohl’s says it will accept “eligible Amazon items, without a box or label, and return them for customers for free.” The program will expand a pilot introduced at Kohl’s stores in the Los Angeles, Chicago and Milwaukee markets in 2017.
The move highlights a major headache of shopping online: You often can’t try something before you buy it, and if the item doesn’t work out, it can be a hassle to return it.
Apr. 24, 2019
The e-commerce company announced Amazon Go is opening to the public this week at Brookfield Place in downtown New York. The roughly 1,300-square-foot store makes this the twelfth Amazon Go location to open in the U.S with most of the others blanketing the West Coast, including in Seattle and San Francisco.
May 7, 2019
Competitors like Target (NYSE:TGT) and Walmart (NYSE:WMT) have managed to attract customers to their platforms because users can buy online and pick up orders in store the same day. The massive demand for faster shipping makes Amazon’s move a natural fit. It’s already well ahead of Walmart’s and Target’s average shipping speeds for most products, and its push to next-day delivery will put the pressure on both companies to increase their fulfillment capabilities.
May 4, 2019
The online retail giant suddenly stopped making orders with many of its wholesale vendors, according to a report from Bloomberg. Instead, Amazon is encouraging those vendors to use its third-party merchant services to sell inventory directly to consumers. The move could reduce overhead, open more space in its warehouses and fulfillment centers for more profitable products and services, and increase overall profits for Amazon’s core retail business.
Mar. 11, 2019
Amazon’s responding to a wake-up call: The retail company makes more money letting other people sell to customers on its marketplace than it does selling to customers itself.
The strategy has shifted accordingly. The company has been opening up more e-commerce features and capabilities to third-party sellers that were once reserved for wholesale vendors, and shifting resources to be more hands-on with third-party sellers.
Jan. 31, 2019
Amazon quietly released a new analytics dashboard last week to marketplace sellers that Amazon vendors previously paid a hefty annual subscription fee for.
The dashboard, called Amazon Brand Analytics, is available to third-party marketplace sellers who are Brand Registered. As of the time of writing, the feature has not been introduced to all Seller Central accounts.
Feb. 12, 2019
101 Commerce has gotten a lot of attention lately, and rightly so. Founder R.J. Jalichandra is calling it a “multi-brand platform consumer-goods company.” He announced plans earlier this year to acquire the FBA businesses in 24 months.
Let’s be clear. This is no small undertaking. To begin, the company evaluated 400 potential deals in 60 days and put eight businesses under Letter of Intent in the same time period. That’s some serious activity, and they still have 90+ brands to go.
Jan. 26, 2019
Fifty-four percent of brands surveyed said they were currently selling on Amazon, and that’s expected to grow to 72% within the next five years. Additionally, of the brands that act as first-party merchants selling directly to Amazon, a resounding 81% said they want to expand to the e-tailer’s third-party marketplace, citing reasons like wanting to access a larger audience, increase their presence, and gain greater control over their pricing.
Jan. 24, 2019
This year, India has come up with a set of policies with regards to e-commerce trade. This set of rules will, obviously, tell on the expansion ambitions of Walmart and Amazon.
As a result, these two giant online retail companies have joined forces to lobby for a more friendly business environment. One of the things they ask for, in particular, is an extension of the February 1 deadline for implementing the new policies.
Jan. 8, 2019
Owing to the widespread volatility in the market in 2018, Amazon, too, experienced a slight fall in their profit. However, its investors seem to have unwavering confidence in the ability of the online retail company to break more grounds in 2019.
Like every other tech company, Amazon will definitely face some challenges this year. Here are five of the biggest challenges that Amazon will face.
Jan. 6, 2019
At CES 2019, scheduled to run from Sunday, January 6, to Friday, January 11, it is expected that there will be a big rivalry between the two tech giants — Amazon and Google — as their partners showcase and launch products which feature Amazon and Google smart assistants
This event will also feature groundbreaking technologies in the car industry, smartphone industry— particularly the advent of the 5G network— and electronics like TVs, and more.
Date: Jan. 7th, 2019
In the 2018 American Institutional Confidence Poll conducted online by YouGov in June and July 2018 asked respondents to indicate their level of confidence in 20 U.S. institutions.
The military, Google, and Amazon universally inspire a great deal of confidence. Political parties, Congress, and Facebook inspire low levels of confidence.
Date: Oct. 26th, 2018
Amazon launched a new physical store in New York City called “Amazon 4-Star”.
This is now their 3rd retail concept, alongside Amazon Books and Amazon Pop-Up. The stores will contain products that have a rating of 4 stars or more will be offered to consumers in over 3,000 physical locations across the country by 2021.
Those who are manufacturers of such 4-star products may see a surge in their orders.
Date: Sep. 19th, 2018
Amazon has quietly released for anyone to join Amazon Exclusives program that has been operating as an invite-only program for some time now.
Amazon Exclusives bring high-quality products at great prices to a global network of customers both directly (B2C) and commercially (B2B). So it’s about choosing to house your business 100% on Amazon. In Return, you get access to special resources and support as a part of the “Amazon Accelerator” program where they’ll work with you to help your business.
Date: Oct. 20th, 2018
Amazon announced a number of new benefits for Amazon Business Prime.
This should help Amazon Business continue to grow larger and larger, meaning categories like Office Supplies and other Business-Related products should continue to see a large increase over time. So sellers of such products may enjoy an unanticipated growth in their sales or for those, who are not yet selling on Amazon, this may be a good time to get in the game.
You can get the full details on the Amazon Business Blog
Date: Oct. 23, 2018
Amazon is putting less emphasis on Vendor Central, they’ve been creating more tools for Seller Central instead. There’s also more control that comes from being a seller. Sellers control pricing, promotions, listings, Enhanced Brand Content and marketing, plus, it’s more profitable. What is the right answer that makes most business sense?
Date: Aug. 27, 2018
Amazon has poured billions of dollars into warehouse expansion during the past decade to make room for the massive influx of inventory the company is storing for third-party sellers. Now, it’s putting in place a program to force those sellers to use the space more efficiently, penalizing those who don’t.
Date: Jul. 07, 2018
While the concept of sales tax seems simple enough, the recent Supreme Court ruling in South Dakota v. Wayfair Inc.adds complications to e-commerce companies doing business nationally. The decision enables states to charge sales tax to out-of-state sellers, which means you don’t need a physical presence in a state to pay sales tax.
Date: Jun. 24, 2018
Amazon Dash Replenishment Program Continues to Grow, Adding New Device Manufacturers and Auto-Replenishment Products
Date: Jan. 10, 2018
