Amazon Third Party sellers use the Fulfilled By Amazon (FBA) program to sell products through the Amazon marketplace. It’s shocking – but most people don’t realize how big the market is.
As an insider (selling on marketplaces since 2013), I couldn't agree more. We have groups of sellers (turnover in millions of dollars) still figuring out how to do taxation, packaging, and, logistics in India. It took 6 years to get a software solution which works for managing inventory and do payment reconciliation (still a lot of scope to build something like notion here), the whole seller ecosystem still has no solution for training the sellers on packaging according to their products. The businesses have grown to top million dollars in revenues but you see founders still discussing about how to ship products cheaply to warehouses. There are inefficiencies to be improved and of growing the whole ecosystem.
Reach out to me at aaron@samuraiseller.com - we manage millions of dollars of ad spend per month, through managed services and software, but started and still exist in PL space with a top 100 sellerratings.com account.
I agree with your sentiment. Anyone who is bullish isn't bullish enough! Amen! Would love to chat
Great article. Been selling on AMZ since '14, had brand exits, have been a reseller, actively manage brands and am launching a new brand. It's incredible how underdeveloped the market place still is, and how much growth is yet to come. Advertising tools are only starting to blossom so AMZ's Ad market share will increase dramatically - and that's only with reactive keyword/phrase targeting, their proactive behavioral targeting still isn't developed like FB/G. Sellers used to be very unsophisticated generic product opportunity seekers, but are becoming a lot more professional. Platform specific ad'/marketing strategies are becoming essential, there's still a lot of improvement 3P brands can make. IMO The commodity product market (spatulas etc) will be dominated by Asian manufacturers/agents selling direct at prices US sellers can't compete with. The Niche interest/solutions that entrepreneurs can exploit will proliferate in many many side streets in the ever expanding city of FBA. Many FBA street corners will become available to savvy sellers. Agree with Sameer, the services industry for 3P sellers is very disjointed. For people who understand Supply Chain nuances, there's huge opportunity to consolidate services and solve Supply chain problems.
This is a great piece that rings true to my experience in the industry since mid-2015. We've played a small role as a service provider - specifically advertising management on the rapidly-growing internal ads platform available to 3P sellers. Since 2015 the complexity and capacity of this platform have increased manyfold and you get this sense that Amazon is still on "Day 1" as they always like to say. I'm happy to provide more details of this if you want to reach out Ali - brent@amzpathfinder.com is where you can find me. I'd love a chance to discuss. (also hello Aaron who commented here who I also know in this space).
As an insider (selling on marketplaces since 2013), I couldn't agree more. We have groups of sellers (turnover in millions of dollars) still figuring out how to do taxation, packaging, and, logistics in India. It took 6 years to get a software solution which works for managing inventory and do payment reconciliation (still a lot of scope to build something like notion here), the whole seller ecosystem still has no solution for training the sellers on packaging according to their products. The businesses have grown to top million dollars in revenues but you see founders still discussing about how to ship products cheaply to warehouses. There are inefficiencies to be improved and of growing the whole ecosystem.
Love the article!
Reach out to me at aaron@samuraiseller.com - we manage millions of dollars of ad spend per month, through managed services and software, but started and still exist in PL space with a top 100 sellerratings.com account.
I agree with your sentiment. Anyone who is bullish isn't bullish enough! Amen! Would love to chat
Great article. Been selling on AMZ since '14, had brand exits, have been a reseller, actively manage brands and am launching a new brand. It's incredible how underdeveloped the market place still is, and how much growth is yet to come. Advertising tools are only starting to blossom so AMZ's Ad market share will increase dramatically - and that's only with reactive keyword/phrase targeting, their proactive behavioral targeting still isn't developed like FB/G. Sellers used to be very unsophisticated generic product opportunity seekers, but are becoming a lot more professional. Platform specific ad'/marketing strategies are becoming essential, there's still a lot of improvement 3P brands can make. IMO The commodity product market (spatulas etc) will be dominated by Asian manufacturers/agents selling direct at prices US sellers can't compete with. The Niche interest/solutions that entrepreneurs can exploit will proliferate in many many side streets in the ever expanding city of FBA. Many FBA street corners will become available to savvy sellers. Agree with Sameer, the services industry for 3P sellers is very disjointed. For people who understand Supply Chain nuances, there's huge opportunity to consolidate services and solve Supply chain problems.
How can we get in touch? We're building neobank catered for ecommerce founders at Highbeam.co
This is a great piece that rings true to my experience in the industry since mid-2015. We've played a small role as a service provider - specifically advertising management on the rapidly-growing internal ads platform available to 3P sellers. Since 2015 the complexity and capacity of this platform have increased manyfold and you get this sense that Amazon is still on "Day 1" as they always like to say. I'm happy to provide more details of this if you want to reach out Ali - brent@amzpathfinder.com is where you can find me. I'd love a chance to discuss. (also hello Aaron who commented here who I also know in this space).