A Decade of Fulfillment by Amazon (FBA)
A decade ago Amazon made three long-term bets: Prime memberships, fulfillment consistency, and third-party sellers are going to be key. They were the right bets to make.
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What Happened to Jet.com
Jet.com website traffic declined to 10.5 million visits in February, down from 35.5 million visits in February 2017. That's a decrease of 70% in a year.
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Driving the Cost of Creation Down to Zero
The challenge in creating new products to sell online, be it private-label or new inventions, is capital and time. The capital and time is the cost of creation. The goal is to drive the cost of creation down to zero.
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The Top Amazon Sellers Don't Change Often
Only 2.4% of the top 10,000 sellers on the Amazon.com marketplace started selling during the past 12 months. The takeaway is two-fold: new sellers do not immediately break out in to the top, and top sellers are able to stay in the top for years.
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Selling Products to Strangers Doesn't Cut It Anymore
The products which outperform their peers are the ones which start with the customer, understand their wants and needs, and then execute accordingly via relevant channels. On marketplaces the customer is the marketplace.
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The Best iPhone out of 10,000
Devin Wenig, CEO of eBay, said "Nobody wants to go through 10,000 iPhones. Show me the four best options." eBay is correct that the way eBay functions today is not how most people shop.
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Amazon Marketplace Drove a Fifth of US E-Commerce
Customers spent $453.46 billion online in 2017, a 16% increase from the previous year. For the first time e-commerce sales represented more than 10% of total retail sales at 10.5%. Amazon accounted for 41% of online retail sales.
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Amazon Retail Cloud
Why does Amazon Basics exist? The difference between what Amazon could be making, and what they do make today is why this is interesting. In fact, that difference is why Amazon Basics is not the play it appears to be.
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The Race to Sell Chinese Goods to US Customers
Customers, and the media talk a big game about manufacturing ethics, and the pressure on local retailers. And then they want a $9.99 t-shirt. Ethical supply chain is good, fast shipping is better, low price is best.
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The Channel Shapes What Is Bought
People do not shop the same on Amazon as on eBay, nor on eBay as in small websites, and neither in small websites as in retail shops. And so people do not buy exactly the same things on Amazon as they do elsewhere.
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