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#148 - 66% of Walmart Sellers Use FBA, Temu vs Amazon, and more

Amazon box with logo
Welcome to Issue #148 of the FBA Monthly, your premier newsletter designed specifically for Amazon sellers! In this edition, we’re excited to bring you the latest trends and updates in the Amazon marketplace, along with actionable strategies to enhance your selling experience. From optimizing your advertising campaigns to navigating policy changes, we’ve got you covered with valuable insights and expert advice. No matter where you are in your selling journey, this issue is packed with the resources you need to succeed. Let’s jump in!

Hot News

Two-thirds of top Walmart marketplace sellers use WFS, a fulfillment service Walmart launched less than five years ago. Practically everything on Walmart.com ships from Walmart warehouses, whether it’s an item sold directly by the retailer or by one of its 140,000 active third-party sellers. Jaré Buckley-Cox, Vice President of Walmart Fulfillment Services, confirmed the two-thirds metric during the Walmart Marketplace Seller Summit in San Francisco.

marketplacepulse.com

The growth of online marketplaces has revolutionized shopping, offering customers a wide variety of products at the click of a button. Two platforms that stand out in this arena are Temu and Amazon. While Amazon has long been a leader in the e-commerce industry, Temu is emerging as a competitive alternative. So, how do these two online marketplaces compare? In this article, we’ll explore their differences and help you decide which platform is better for your needs.

techbullion.com

An advertisement published Friday in the Börsen-Zeitung newspaper stated that the auction for the L Catterton-backed firm has been scheduled for Sept. 17 at a Berlin hotel. In Germany, such auctions can be used by creditors to seize control of companies after negotiations between an enterprise, investors and lenders have hit an impasse, often wiping out equity held by investors.

yahoo.com


Good to Know

Walmart is turning to an Amazon-style playbook to boost its fast-growing third-party marketplace and steal market away share from rivals. On Tuesday, the country’s largest retailer announced a slew of new updates for merchants that sell on its online marketplace during its second-annual seller summit in San Francisco. For one, Walmart is bringing Premium Beauty to its marketplace, starting with a line-up of 20 brands such as Beachwaver and T3.

modernretail.co

Amazon Seller Statistics: Amazon is the world’s largest eCommerce platform. The platform offers a wide range of products from A to Z, making it a popular choice for businesses of all sizes, from small and medium enterprises to large corporations. Setting up a business on Amazon is easy and cost-effective, allowing businesses to reach a global audience.

hollywoodgazette.com

This strategic acquisition strengthens Carbon6’s capabilities by integrating Junglytics' cutting-edge AI technology with Carbon6's industry-leading data platform, offering sellers a game-changing tool for optimizing operations and maximizing profitability. “This acquisition is a perfect alignment of our vision to revolutionize the way sellers interact with their data through AI-driven conversations,” said Naseem Saloojee, Cofounder of Carbon6.

businesswire.com

Walmart is extending its competition with Amazon.com deeper into the logistics arena by opening its fulfillment services to merchants who want to fill orders from customers on platforms outside the retailer’s own marketplace. Walmart said third-party sellers will soon be able to use Walmart’s warehousing, delivery and returns services to fill orders placed on platforms beyond Walmart’s website, including Target, Etsy and even Amazon.

theloadstar.com

Customer reviews have been a core part of why customers love shopping at Amazon ever since we opened in 1995. We make sure that it’s easy for customers to leave honest reviews to help inform the purchase decisions of millions of other customers around the world. At the same time, we make it hard for bad actors to take advantage of our trusted shopping experience. That’s where artificial intelligence (AI) comes in.

aboutamazon.eu

Amazon is the one of the leading online retailers worldwide and the leading e-retailer in the United States. In 2024, net sales amounted to over 574 billion U.S. dollars, up from 514 billion U.S. dollars in the previous year. Amazon is the world’s largest online retailer of books, clothing, electronics, music, and many other consumer products. The company is also the producer of the world’s most famous e-book reader, the Amazon Kindle.

statista.com

ChannelEngine has launched Vendor Hub featuring a Recovery Management solution designed to boost profitability on Amazon. This cutting-edge tool recaptures revenue that Amazon Vendors have lost to operational discrepancies in Amazon’s first-party (1P) selling model, ensuring brands no longer leave money unearned. For brands selling through Amazon Vendor, approximately 3.5% of revenue remains unpaid due to unresolved disputes over shortages and pricing discrepancies.

channelx.world

There’s a good chance that the next time you buy something from a third-party seller on Amazon and you’re not happy with your purchase, the company will tell you “Nevermind, just keep it” instead of asking you to return it. In a recent post on Amazon’s SellerCentral, the mega-retailer appears to be offering “Fulfillment by Amazon” users – those that have an Amazon store and ship their products – to avoid fees by simply having customers keep items.

consumeraffairs.com

The close of 2023 saw Amazon introduce sweeping changes to its FBA (Fulfillment by Amazon) fee structure. This sudden announcement surprised the millions of small and medium-sized businesses (SMBs) on the platform, prompting them to reassess their profit margins and re-evaluate their business models. Amazon has emerged as the clear beneficiary of its fee restructuring. Revenue from its FBA services reached $34.6 billion by March 30, 2024, a 36.5 percent increase from two years earlier.

builtin.com

In a bold strategic move, Walmart is extending its logistics capabilities beyond its own marketplace, positioning itself as a formidable competitor to Amazon in the e-commerce logistics space. This new venture will allow third-party sellers to use Walmart’s extensive warehousing, delivery, and returns services to fulfill orders placed on platforms other than Walmart.com, including Target, Etsy, and even Amazon itself.

webpronews.com

Amazon aggregators Branded and Heyday are expected to merge as soon as this week, CNBC confirmed. The combined companies will form a new entity called “Essor.” The Amazon aggregator space has faltered since venture capital money dried up and companies struggled to profitably operate the brands they acquired. Amazon aggregators Branded and Heyday plan to merge, CNBC has learned, as a segment of the e-commerce industry that boomed during the Covid era continues to consolidate.

cnbc.com

Amazon tanked a small business by re-circulating a used diaper that had been returned. After designing a washable swim diaper for their son, Paul and Rachelle Baron were considered an Amazon success story. That is until one scathing review upended their business and credibility. The couple got into the diaper business after enrolling their newborn son Beauregard in swim class, but found at the time that the tightness of his swim-friendly diapers made removing them difficult and cleaning him messy.

yahoo.com

E-commerce major Amazon India has announced a reduction in selling fees by 3-12% for 59 product sub-categories on the marketplace. This reduction will be effective from September 9, 2024. The reduction has been more for lower priced products, especially below ₹500. "For instance, a seller offering printed t-shirts at ₹299 will now pay a reduced referral fee of only 2%, a substantial drop from the previous fee of 13.5%. This results in savings of ₹34 per unit for the seller," Amazon said in a statement.

storyboard18.com

Last year, Amazon Germany was able to increase its net sales in retail media with 20 percent. The revenue of its advertising business came to 2.9 billion euros in 2023. This is almost 10 percent of the company’s total revenue in Germany. These data come from Amazon Germany’s financial statements for last year. In total, the online marketplace generated a revenue of 34 billion euros. Compared to 2022, this was an increase of 12 percent. Retail media is a relatively new phenomenon, which entails advertising space at online retailers. Think of ads in search results, on overview pages and product groups.

ecommercenews.eu


Tips and Tricks

Now that Prime Day 2024 has passed, it is time to prepare for the next big sales event—the Prime Big Deal Days Event, which is similar to Prime Day except in the fall. As Amazon states, “Prime Big Deal Days is a holiday kickoff event that offers Prime members exclusive access to early holiday deals across popular categories, including deep discounts on products from top brands.”

junglescout.com

Recent statistics reveal the explosive growth of AI-enabled advertising spending worldwide. With 35% of businesses already using AI in their processes and another 42% exploring its integration, the adoption of AI is steadily increasing. Artificial intelligence (AI) and machine learning (ML) have revolutionized digital advertising, with Amazon leading the way in utilizing these technologies. AI-powered optimization and Retail Intelligence for Marketplace Advertising now enable marketers to achieve their goals more efficiently and effectively.

influencermarketinghub.com

Which products are Amazon best sellers this month? Are tried-and-true household staples filling shoppers’ carts, or are trending social media fads flying off Amazon’s virtual shelves? Does one Amazon product category rule all others? At Jungle Scout, we dive into Amazon product and category data to identify product opportunities and track ecommerce trends. This article dives into some of Amazon’s best sellers over the past 30 days and their changing product sales and revenue.

junglescout.com

As much as many bricks and mortar retailers may wish otherwise, Amazon has had a massive impact on the world of retailing. Each month more than 310 million people around the globe visit Amazon.com. That’s more than the entire population of Russia. Amazon’s impact on electronic sales is even higher - Amazon’s share of the US eCommerce market in 2018 was 49%. Like many businesses, Amazon engages with influencers to help promote its products. Because of Amazon’s sheer size, they do things differently to most companies.

influencermarketinghub.com

For Amazon sellers, it might seem like the holidays are always around the corner. Typically starting with the major Black Friday and Cyber Monday shopping weekend (and often before), this is one of the most critical times of the year for Amazon sellers to boost sales and profits. And with more consumers shopping online — and on Amazon – than ever before, Amazon sellers need Black Friday and Cyber Monday selling tips in order to make the most of it.

junglescout.com

The Amazon Flywheel Strategy is an indispensable tool for success on the Amazon platform. This bespoke framework, coined by strategist Jim Collins in 2001, has played a pivotal role in Amazon's growth and dominance. At its core, the Flywheel revolves around the customer - prioritize their happiness and satisfaction above all else. Since 1999, the percentage of paid units sold by third-party sellers on Amazon has consistently increased, reaching a staggering 58%. This highlights the critical role that third-party sellers play in driving growth and dominance on the platform.

influencermarketinghub.com

Without a stellar rating, sellers can’t build buyer trust. By scanning feedback ratings on Amazon seller profiles, buyers quickly determine which seller is the most reliable and trustworthy. Almost always, the consumer will choose to give their business to the seller with the higher ratings, especially if they’re choosing between listings with similar prices. But beyond buyer trust, there are unique rules about how negative seller feedback can impact Amazon sales specifically. Here are a few ways

business2community.com


Podcasts

Join us for an inspiring episode where we feature two incredible Helium 10 team members, Chris Zurcher and Sarah Chung. Sarah shares her unique journey from a small port city in South Korea to the bustling South Bay area of Torrance, California. Her story is filled with determination and resilience, reflecting on her family’s move to the US for better opportunities and her professional growth at Helium 10 over the past three and a half years. Sarah’s first-time appearance on the podcast gives listeners a heartfelt glimpse into her personal and professional life.

helium10.com