Research Shows Continued Amazon Dominance in the Worldwide Marketplace

Research Shows Continued Amazon Dominance in the Worldwide Marketplace

Research Shows Continued Amazon Dominance in the Worldwide Marketplace

The results of research released today – 3rd October 2017 – which was commissioned by Salmon is showing a continual dominance in online spend by the marketplace giants, Amazon. The research shows that over the whole world, Amazon are taking an impressive 37% of the entire online spend.

The research was commissioned by Salmon to get a better understanding of Amazon`s general impact on consumers who were targeted. The study looked at what we value as consumers, the importance of digital innovation, and why and how often consumers spend with Amazon.

57% in the US

The research suggests that although worldwide, Amazon are responsible for 37% of online spending, this could be even higher if you take out certain countries such as the Netherlands, where 58% of those questioned don`t use Amazon (probably due to the fact that in the Netherlands, Amazon only sells books).

It also states that as much as 57% of online spend is through Amazon in the US – a number which is potentially going to rise with the introduction of the online grocery shopping service that Amazon are about to roll out with their recent acquisition of Whole Foods.

Amazon Prime

According to the Salmon research, one of the deciding factors persuading consumers to choose to buy their goods from Amazon, was thanks to Amazon Prime. Amazon Prime often can give shoppers benefits such as same day delivery.

Another deciding factor – for 60% of the respondents – was that they were looking for a digitally innovative retailer – and with features such as the Dash button and Amazon`s Alexa, this places then firmly in this category.

What does this mean for Brands?

This news is showing a new shift in online shopping away from apps and towards marketplaces. In the past where every brand was looking to having their own app, this is showing that actually, consumers are not necessarily looking for a phone full of apps for everything that they are wanting to buy.

It shows that consumers are more looking to be able to find items quickly, easily, cheaply and conveniently – and this is what Amazon is giving them. And whilst mobile is very much still current, there is also an obvious move towards a preference for virtual reality or augmented reality – which, again Amazon is utilising to the benefit of their customers.

With such a big impact on the world marketplace, it does appear that the sensible option for most brands is to sell through eBay – in addition to what they are already doing. This will give them the best chances of success in selling online. 

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