In the last 2 months, sudden shifts have occurred in the ecommerce landscape that were likely inevitable, but were accelerated by the supply & demand shockwaves due to COVID19. These changes occurred virtually overnight, the speed of which we've never seen before in our lifetimes (like with so many other recent current events).
1. Countless B&M stores abruptly shut down.
1a. In turn, commercial REIT valuations began suddenly dropping.
2. Amazon's fulfillment network became congested and showed signs of strain. This caused Amazon to immediately increase their headcount to almost 200,000.
3. A not-so-insignificant amount of buyer traffic base case which would've normally converted on Amazon ended up spilling into other ecommerce plays, such as Walmart, Ebay, Etsy, etc.
4. Shopify releases the SHOP app. (Stock price doubles within days.)
6. Warehouse demand & utilization is projected to jump.
This is such a sudden, overnight shift in ecommerce. Amazon's moat as the marketplace with the lowest barrier to entry is showing some cracks, and not strictly for the aforementioned reasons, but also for increasing reputational risk which it appears Amazon has been slow to address proactively.
Though Walmart has been gradually gaining steam, Shopify has thrown the gauntlet down with the Shop app, as a way to tie their seemingly disparate ecosystem of ecommerce destinations more cohesively. In other words, the predecessor to a more mature marketplace.
I haven't used the Shop app, but my hunch is it's more similar to Wish than not, which was struggling to gain market share. If my hunch is right, then my followup hunch is that Wish just got devalued overnight.
No longer are sellers beholden to focusing only on Amazon now that signs of competition is germinating. This presents a huge opportunity for sellers & brands alike. It can be the makings of 2012-2013 Amazon FBA all over again.
Let's give it a few months and see how my hunch ages.
Anyhow, hence the name change. I'm still refining, analyzing, and reiterating my processes & understanding on Amazon. But I sense they're no longer the only game in town anymore.
Both new and existing Amazon sellers alike (FBA, FBM, Vendor) are welcome. Digital marketing agencies interested in augmenting their service portfolios to include Amazon marketing are also invited.
Join us in providing an open, honest, respectful, and comfortable environment where we share as much (and for some individuals, as little- simply be comfortable with yourself!) as you'd like about all things related Amazon ecommerce. Topics & content will only be related and specific to Amazon businesses.
Initial focus will be on hard goods & private labeling, with topics such as: