Amazon’s Third-Party Sellers Ship Record-Breaking 2 Billion Items In 2014, But Merchant Numbers Stay Flat
Amazon reported on Monday that third-party sellers on its site sold a record-breaking 2 billion items in 2014, and their adoption of Amazon’s fulfillment services also grew 65% year-over-year. The numbers are significant because third-party sellers are a high-margin part of Amazon’s business, as the company is able to take a cut of every sale, plus charge extra fees for storing items, and handling the logistics. According to Amazon, there are now over 2 million sellers worldwide, which account for over 40% of the total units sold on Amazon.
While the number of items sold by third parties may have reached record volumes in the past year, that doesn’t necessarily indicate that it was due to a large increase in the number of sellers turning to Amazon. It could be just reflective of the ongoing overall shift to e-commerce that retailers are seeing now in general. It’s worth pointing out that back in…
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