Why selling on Amazon and Marketplaces can be such a disruptor to business as usual for many brands.
Selling on Amazon can be a disruptor to many businesses' normal way of operating for several reasons:
Increased competition: Amazon is a large and highly competitive marketplace, which can make it difficult for businesses to stand out and drive sales. This can be a significant change from the traditional retail environment, where businesses may have had a more captive audience.
Changed customer expectations: Amazon has set a high bar for customer experience, and customers now expect fast shipping, easy returns, and a wide selection of products. This can be a challenge for businesses that are used to operating in a more traditional retail environment with different customer expectations.
New fulfillment options: Amazon offers several fulfillment options, including Amazon FBA, which can be a significant change from the traditional fulfillment methods that businesses may be used to. This can require businesses to adapt their operations and processes to meet Amazon's requirements.
Changed pricing strategies: Amazon is a price-sensitive marketplace, and businesses need to be competitive on price to drive sales. This can require businesses to reevaluate their pricing strategies and make changes to remain competitive.
New advertising options: Amazon offers several advertising options, such as Sponsored Products and Sponsored Brands, which can be a new and complex area for businesses to navigate. This can require businesses to learn new skills and allocate resources to advertising.
By adapting to these changes, businesses can successfully sell on Amazon and reach a wider audience.
However, it's important to understand the challenges and opportunities that come with selling on Amazon, and to be prepared to make the necessary changes to succeed in this dynamic marketplace.
