Amazon is one of the largest e-commerce companies in the world, with millions upon millions of users all around the globe. Being a household name in both America and Europe, it is quite likely that you will have heard of it; however, that being said – what else do we know about this multi-national, multi-billion e-commerce platform?
Whether you are a brand-new business, well established, looking to open a seller account with Amazon, or are just plain curious – Let us have a look at some statistics you should know!
Customers Use Amazon as A Price Point Reference
Customers often check prices on Amazon before anywhere else, and if they do happen to see something that catches their eye, they are likely to head over to Amazon for a price comparison! It is around 55% of customers who use Amazon first over a search engine, which points to just another reason why Amazon is on top of their e-commerce game.
Third-Party Sellers Sell More Than Amazon Itself
As of 2017, third-party sellers on Amazon and independent businesses sell more through the platform than Amazon does itself. This has been an outstanding accomplishment for small to medium businesses, and some of this can be attributed to Amazon’s extremely dense customer base.
However, the bigger Amazon gets, the more problems it is likely to encounter. Issues with counterfeit or inappropriate products increase along with the number of third-party sellers, and the more sellers there are, the more difficult it is to control.
Amazon Banning Seller Accounts is On the Increase
Amazon has always been pretty meticulous when it comes to banning seller accounts that do not meet the desired requirements, and 2020 only brought more complications into the mix. In general, Amazon already holds sellers to high standards when it comes to customer reviews, complaints, feedback, shipping times – pretty much every aspect of their business. But, on top of those, 2020 has bought different challenges, and misbehaving can earn you a ban without warning.
It is not necessarily the end of the world if this happens, as there are services available for professional Amazon appeals, but it is best to avoid it in the first place!
The Electronics Category is The Most Popular
It has been estimated that 44% of Amazon shoppers purchased electronics via Amazon in 2019, making it the most popular category to date in the United States. This means third-party sellers who focus on this category might want to take a slice of the Amazon action, seeing as third-party sellers sell more than Amazon themselves – a great combo!
The Important Driving Factors of Purchasing Decisions on Amazon
To run a successful business and make a sale, it is important to understand what exactly the customers driving factors and decisions are when using Amazon. Around 82% believe that price is a leading factor in purchases on Amazon, which makes sense since they also use Amazon to price check.
Amazon also offers decent flexibility in returning packages and fast delivery – both of which are significant factors in purchasing goods online.