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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Sellers Paid Amazon More Than $10 Billion in the Fourth-Quarter
During the last three months of 2017 Amazon's revenue from third-party seller services was $10.5 billion. For the first time surpassing $10 billion in a quarter. For the full year it was $31.8 billion. It is easy to misunderstand the scale of Amazon's marketplace since the company reports so little on it. The $31.8 billion in fees in a year is why most analysts estimate it at over $100 billion in GMV.
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Of Course eBay Plans to Cut Off PayPal As Its Main Payments Processor
The big news story today is eBay announcing that it will stop working with PayPal as its back-end payments service in 2020. Modern marketplaces are bundles of vertically integrated services, payments are a big part of it. eBay independent from PayPal will do better.
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Two out of Every Three Amazon.com Sellers Use FBA
Since June last year Fulfillment by Amazon (FBA) usage has grown considerably. Across all marketplaces the percentage of sellers using FBA has on average increased by 10 basis points, for example on Amazon.com it is up from 58% to 69%.
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Amazon-Native Brands
“There is this erosion of what it means to be a traditional consumer product brand. Amazon is becoming something like the umbrella brand, the only brand that matters.” If true, one should be building a brand which embraces this.
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Five Thousand Sellers Account for 25% of eBay Sales
eBay marketplace has tens of millions of sellers selling worldwide, but the majority of sales is done by a small pool of top sellers. We estimate that top 5,000 sellers account for 25% of worldwide GMV on eBay.
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