Retail

Amazon Snatches Up U.S. Marketplaces For Expansion

Just when its competition thought it was safe to go back into the eCommerce waters, Amazon pulls another trick out of its bag.

The online retail giant is starting to build up its global inventory through various marketplaces in the United States. Amazon shared with thousands of U.S. marketplace sellers that it is interested in buying all of their inventories at full retail price. Its Fulfillment by Amazon (FBA) sent the email asking marketplaces to sell their goods. “For a limited time, there will be no additional fees, and we will purchase inventory from you at your local marketplace offer price,” the company’s email said.

Once these deals are underway, Amazon plans to sell those products through its website to consumers around the world.

To have their items stored in Amazon’s fulfillment centers and use its supply chain operations, marketplaces have traditionally been required to pay a fee. Currently, Amazon’s FBA offering has grown 70 percent and carried out more than 2 billion deliveries.

An Amazon spokeswoman recently discussed the reasons behind this move. “When items are unavailable in a particular geography, we provide customers with selection from another marketplace. This offers customers a wider selection of great brands and helps sellers increase sales.”

As the eCommerce giant moves forward, it may be safe to say that there’s no place around the world that won’t know Amazon’s name. Through strategic moves over the last few years, Amazon has positioned itself to become the leading force in the eCommerce space.

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New PYMNTS Study: Subscription Commerce Conversion Index – July 2020 

Staying home 24/7 has consumers turning to subscription services for both entertainment and their day-to-day needs. While that’s a great opportunity for providers, it also presents a challenge — 27.4 million consumers are looking to cancel their subscriptions because of friction and cost concerns. In the latest Subscription Commerce Conversion Index, PYMNTS reveals the five key features that can help companies keep subscribers loyal despite today’s challenging economic times.

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