Amazon started as online book store and has grown to be the worlds largest online retailer.
50 thousand Amazon sellers now turn over more than $500k per year
Amazon sellers saw a fast sales growth rate that exceeded first-party selling on the marketplace, with more than 50k of the marketplace’s merchants sold more than $500k (£387k) individually on Amazon stores globally last year.
The marketplace announced last week that the number of small and medium-sized (SMEs) businesses eclipsing $1m (£777k) in transactions on Amazon Storefronts, a platform for an online small business experience grew by 20% in 2018. Some 200k of Amazon SMEs made $100k (£774k) transactions each on the marketplace worldwide.
“This year growth of small and medium-sized businesses in our stores enabled business owners to create new products, provide a greater selection to customers, and reinvest in their local communities through job creation. 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.”-Nick -Denissen, vice president of Amazon
Millions of overseas SMEs are selling on Amazon, and a large share of more than a million of them are established in the US. Third-party sellers on Amazon Storefronts are based in every state in the US and from more than 130 cities in the world.
“Selling on Amazon has been huge for Yedi Houseware. Since we began listing products on Amazon 12 years ago, our business has skyrocketed, and we now have 12 full-time employees and plan to hire more this year. Amazon allows us to reach new customers across the U.S. and even worldwide, which enabled our business to grow 126% just last year!”
-Bobby Djavaheri, director of sales & development of Yedi Houseware
Merchants’ sales are growing at a faster speed than first-party transactions on Amazon stores across the globe. This presents an advantage for newcomers in the field to join the marketplace which gives sellers growth opportunities.