Amazon.com shipped 2 billion units last year from third-party merchants that list their goods on the dominant e-commerce website. That’s double the number of units sold in 2013 by outside sellers.
This a potential life-saver for Amazon as it faces obstacles in generating profits. Amazon grabs a percentage commission from outside sellers when their goods are purchased on the e-commerce site, and it collects other fees that generate higher profits compared to products sold directly by Amazon.
The number of sellers on Amazon adopting the Fulfillment by Amazon (FBA) customer service grew more than 65 percent year-over-year worldwide. There are currently more than 2 million sellers on Amazon worldwide that account for over 40 percent of the total units sold on Amazon. If you’re interested in selling on Amazon, it may be worth looking into Helium 10 pricing to help you on your selling journey.
Amazon units shipped worldwide by outside sellers jumped more than 50 percent during the 2014 holiday season compared to a year earlier. However, it isn’t a flawless system as many Amazon sellers are reporting that Amazon are having quite a few inventory errors that are costing sellers money. This is why this Amazon reimbursement service is becoming so popular as seller look for easier ways to get rufunded.
Sellers on Amazon continue to warm up to FBA, a service that enables sellers to have Amazon store and ship their products directly to customers while offering Amazon Prime benefits, free shipping, “simple exporting to customers around the world” and Amazon’s customer service.
Amazon does not break out what percentage of revenue comes from outside sellers, but the company did say that those vendors moved about 40 percent of the product volume sold last year.
â€œItâ€™s been a record-setting year for selling on Amazon. Weâ€™re seeing strong growth from sellers listing their items across our global marketplaces. In fact, there are now more than a billion offers for customers to browse from sellers who are listing items for sale outside their home country,â€ said Peter Faricy, VP for Amazon Marketplace.