#107 - Amazon Didn't Grow in 2022, Trending Products in February, and more
Amazon’s growth in 2022 was nearly flat. That never happened before in its quarter-century as an online retailer. However, Amazon’s results illustrate macro movements in online shopping rather than Amazon’s underperformance.
Many ecommerce sellers can fall into the trap of looking at Amazon FBA and researching the marketplace and coming to the conclusion that they are too late to the party, and that the opportunity to use it to grow their business has long gone.
We dive into Amazon product and category data to identify product opportunities and track ecommerce trends. This article dives into some of Amazon’s best sellers over the past 30 days and their changing product sales and revenue.
Good to Know
Let’s say you’re a regular Amazon shopper in need of a spatula. You might start your journey by typing the word “spatula” into the search box with a qualifier or two (“silicone,” “fish,” “magenta”). In response, Amazon will produce a very large list presented in a large paginated grid or, on a phone, a bottomless scroll.
Third-party sellers, people who sell their products through Amazon’s marketplace, come from every walk of life and increasingly make up more and more of the online giant’s sales. Amazon launched its third-party marketplace in 2000, allowing small business owners to put their products on Amazon (for a price).
Amazon officially welcomed sellers to its new Seller Forums on Monday and touted new features. One aspect Amazon didn’t highlight in the announcement was the fact the new boards display posters’ Amazon business names (many sellers use a handle rather than disclose their selling IDs on marketplaces like Amazon and eBay).
Over the last year specifically, some sellers — particularly those that sell collectibles — claim that Amazon’s seemingly automated program that tries to keep sellers listing their prices at the most competitive rates has gone too far.
Amazon CEO Andy Jassy, who just finished up his first full year at the helm, joined Olsavsky on the company’s earnings call, and sought to keep the focus on its strength and long-term potential. Analysts were preoccupied with slipping sales and margins in the company’s cloud business, which has traditionally helped support the less lucrative retail side.
Amazon can be a valuable sales channel for many brands. But there are two ways to sell on Amazon, and choosing between them can be a challenge.The differences between these two Amazon sub-channels are significant. And for most brands, the choice is simple once those differences are understood.
The US Federal Trade Commission (FTC) is reportedly preparing an antitrust lawsuit against Amazon. The potential legal action, first reported in the Wall Street Journal, is expected to target a wide array of the e-commerce giant’s business practices.
The UOKiK is acting on complaints into the ecommerce giant’s practices which it’s been investigating since September 2021. It’s now taken the step of publicly accusing Amazon of misleading consumers — and will proceed to investigate the charges laid out.
A reader forwarded us an email they received from Amazon notifying the seller it would be retroactively charging him for discrepancies for items shipped months ago using its shipping-label solution.
It’s that time of year when enterprise sales organizations start creating account plans. My own company FinListics recently surveyed 65 enterprise sales and enablement leaders and field sellers, asking how customer-focused they considered their own accounts.
According to experts who spoke with Modern Retail, the U.K. and Germany are often the first two markets sellers look to expand to, with more sellers looking to diversify their businesses as recession fears grow louder. Outside of the U.S., the U.K. and Germany are two of the largest markets for Amazon’s marketplace.
The Pandemic accelerated the use of backend logistics by online retailers. But, until recently, social media influencers, boutiques, and sidepreneurs needed money and skills to take advantage of this trend.
Tips and Tricks
In 2022, 63% of consumers started their shopping searches on Amazon, with low product prices, free or low-cost shipping, and convenience as the reasons they chose to shop online instead of in-store. More than half of consumers shopped on Amazon weekly or more, and towards the end of the year, 67% of consumers chose to shop on Amazon for holiday gifts.
Suspension of an account is a process that Amazon initiates on violation of certain community and seller guidelines and getting your account reinstated can be a painstaking process. Amazon can implement a suspension from one day to forever.
Many Amazon sellers get started with $500 or less, while others pour five figures or more into new business — both extremes capable of finding success on Amazon. We’ll cover the essential costs of selling on Amazon, and explore how different investments could result in different profits for Amazon sellers.
The good news is, there are low-risk ways to start your own e-commerce company. For example, in 2021, more than 100,000 new American brands joined Amazon. Amazon’s U.S. selling partners have sold over 3.9 billion products – that equals 7,500 items every minute – and averaged about $200,000 in sales per seller.
Have you been wanting to sell on Amazon but don’t know how to get started or don’t yet have the budget to launch a private label product? One great method to get started is through retail arbitrage. You can start with as little or as much money as you’re comfortable with — you can even do it without stepping foot inside a store!
Online marketplaces, particularly Amazon, have become increasingly competitive for sellers. According to Marketplace Pulse, Amazon has 6 million total sellers, but only around 1 million are active sellers who get reviews for their products.
One of the most common questions asked by new Amazon sellers is “where can I buy products to sell on Amazon?” While there are a few different answers to this question, an experienced seller’s answer will most likely be “on Alibaba.”
Ready to build a million-dollar brand with your Amazon business? In our latest episode, we're diving deep into the world of branding and sharing all the insider tips and tricks. From key elements to focus on to the often-overlooked power of community - we've got you covered.
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