Third party sales growing faster in Amazon's stores

Millions of small and medium-sized businesses from around the world are selling in Amazon’s stores and more than a million of them are based in the US. Small and medium-sized businesses selling in Amazon’s stores come from every state in the US, and from more than 130 different countries around the world.

More than 50,000 small and medium-sized businesses exceeded $500,000 in sales in Amazon stores in 2018. Small and medium-sized businesses in the US using Fulfillment by Amazon more than doubled their export sales, said Amazon in a press release.

"This year growth of small and medium-sized businesses in our stores enabled business owners to create new products, provide greater selection to customers, and reinvest in their local communities through job creation," said Nick Denissen, vice president for Amazon. "Since we opened our shelves to third-party sellers in 2001, small and medium-sized businesses have been an integral part of Amazon’s DNA. Our guiding star is an obsession with customers, and the service we’ve built is more powerful because we have small and medium-sized businesses complementing and competing with our retail business."

Third-party sales are growing at a faster rate than first-party sales on Amazon and across retailers in the US. During the 2018 holiday season, Amazon reported that sales by small and medium-sized businesses outpaced its retail business sales in Amazon’s stores worldwide.

More than half of units sold in Amazon’s stores are from small and medium-sized businesses. Amazon Storefronts launched, featuring more than 1 million products from 20,000 US small and medium-sized businesses, the release added. (RR)

Fibre2Fashion News Desk – India