Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Wed Jan 2 2013 11:39:32

Amazon Sellers Grow Unit Sales 40 Percent over Holidays

By: Ina Steiner

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Amazon sellers in the U.S. saw 40% unit growth during the holiday shopping season. However, in releasing that number, Amazon.com did not break out "same store sales," so it's difficult to know precisely how much growth came from its ability to attract new sellers offering unique inventory to the marketplace.

Nevertheless, it's an impressive number. To try to put it in perspective, online retailers saw 16% growth (that's dollar growth, not unit) during the holiday shopping season ($38.7 billion), according to Comscore.

Amazon has more than 2 million third-party sellers worldwide on Amazon, but it doesn't break out that number geographically.

In October, Amazon revealed that third-party seller units were 41% of total paid units in the third quarter, up 1% from Q2 and the highest it had ever been. (Two years ago, that number was 32%.)

That means today's figure that shows Amazon saw extremely strong unit growth accounts for a big percentage of its total paid units. (Even though we're still comparing apples and oranges - U.S. unit growth versus the percentage of 3P unit sales Worldwide.)

Amazon keeps numbers close to the vest, but it did reveal n April that unit growth for all third-party sellers in the first quarter of 2012 was 60%, which its CFO said at the time was "very strong across international and North America." Another figure to put the 40% U.S. seller growth rate into perspective!

Amazon said 2012 was a record-breaking holiday season for businesses selling on Amazon. For the year, sellers on Amazon sold "hundreds of millions of units worth tens of billions of dollars worldwide."

Peter Faricy, VP for Amazon Marketplace, said, "We value the breadth and depth of selection that businesses selling on Amazon offer our more than 188 million active customers worldwide. The entire Amazon Seller organization is focused on helping third-party businesses succeed and grow on Amazon. We do this by creating a dynamic marketplace platform that helps every seller deliver the best possible selection, service and prices to all Amazon customers."

Other tidbits gleaned from the Amazon press release:

- "Sellers around the world continued the rapid adoption of Amazon's innovative fulfillment service - Fulfillment by Amazon (FBA)."

- Amazon has more than 188 million active customers worldwide.

- Thousands of businesses use the Amazon Webstore platform to run their shopping sites.

- Visitors clicked on "tens of millions" of Product Ads.

We'll know eBay's fourth quarter numbers in 2 weeks, and Amazon will likely release its Q4 numbers the week after that.

In the meantime, let us know what kind of unit and dollar growth rates you saw during the holiday shopping season in the channels on which you sell, including your own stores!




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This user has validated their user name. by: Anonymous Annie

Wed Jan 2 13:34:21 2013

--- ''Visitors clicked on ''tens of millions'' of Product Ads.''

INDEED THEY DID!! And many of them were clicking MY ads on Amazon.

Best. Investment. EVER!

The store fees and listing fees that I *used to* pay to eBay are NOW being used to pay for my Amazon pay-per-click ads. And the ROI is phenomenal!

Qualified buyers... who are READY TO BUY!
Intelligent buyers... who read the listings and follow instructions.
Reasonable buyers... who are easy to please and not overly demanding.

After seeing the results I achieved with Amazon's ads over the Holiday Season (and continue to see, in fact) I wonder why I didn't do it sooner.

Considering all the work and hassle and fees (and RISK) associated with trying to sell on eBay... and for such LITTLE return on my effort... there's NO WAY that I'd ever invest the same amount of energy and money in eBay ever again!

Perminate Link for Amazon Sellers Grow Unit Sales 40 Percent over Holidays   Amazon Sellers Grow Unit Sales 40 Percent over Holidays

by: pace306 This user has validated their user name.

Wed Jan 2 22:34:09 2013

Consistant, cohesive, creative, profitable are just some of the words that come to mind - as to why Amazon sales were up.

My Amazon sales were WAAAAAAAAY better then eBay and:

1) there was no ''free shipping'' BS
2) NO unpaid buyers
3) NO Vero BS
4) NO Paypal money holds
5) NO rediculous return demands

EBAY - ARE YOU LISTENING?

Perminate Link for Amazon Sellers Grow Unit Sales 40 Percent over Holidays   Amazon Sellers Grow Unit Sales 40 Percent over Holidays

by: Jbyron This user has validated their user name.

Wed Jan 2 23:00:34 2013

@ Annie

I have to say you have never written one word in which I was not in agreement 100%. I wish you and others could write a letter to the editor and give some pointers of do's and don'ts when it comes to setting up and marketing your own web site. I to hope to leave eBay behind after 12 years of full time selling. They have recked the auction format compleatly. My Christmas sales alone were half of the amount of last years sales. I don't see how eBay is making money when my fees are 20% of what they were getting 4 years ago.

Perminate Link for Amazon Sellers Grow Unit Sales 40 Percent over Holidays   Amazon Sellers Grow Unit Sales 40 Percent over Holidays

This user has validated their user name. by: Anonymous Annie

Thu Jan 3 07:58:50 2013

Thank you, Jbyron!

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by: Bloggo This user has validated their user name.

Thu Jan 3 09:25:51 2013

Amazon was quick to report 2012 sales. Expect a report from ebay after their 2012 sales have been put through a ''Wash & Spin'' cycle.  

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by: Danni Ackerman This user has validated their user name.
Web Site

Fri Jan 4 10:06:39 2013

I suspect many Amazon sellers did not see the same profit margins as eBay sellers.  Amazon is a price war venue!  It takes a lot of savvy sourcing to make money on Amazon - can it be done?  absolutely!  But not without cost.  January is returns season, let's see those reports come in!

I do sell on Amazon FBA, but it is a supplement to my eBay business, where I have more control, higher profits and don't have to play the pricing game.

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by: This a joke, right? This user has validated their user name.

Sat Jan 5 08:59:16 2013

My Amazon sales were up and profits were up a LOT.
Best years I have had on Amazon since the early 2000's. I sold items on Amazon for $59.95 that were available at Wal-Mart for $39.95.(I bought them from DG for $28)
eBay? Worst year ever. Just recently closed my eBay store with over 24,000 items listed



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