Client Letters: Amazon Accelerate 2023
Heading back from the Amazon Accelerate (annual seller conference) event that took place this week in Seattle. I’ll keep it quick and focus on what hadn’t been launched or beta’d on your accounts prior to this week:
Amazon formally rolling out a small parcel service competing with UPS and FedEx and allowing sellers to ship an order from ANY platform from Shopify to eBay to Etsy to Walmart on their trucks. Amazon previously only shipped Seller Central FBA orders or Vendor Central 1P orders via their trucks. The option is now available for any order from any site with pickup in a focus city within US.
Bulk/Long term warehousing will be rolling out in the near future allowing sellers to ship from factory via Amazon Logistics and then warehouse and distribute goods via Amazon Logistics. Previously Amazon truly only allowed a couple of months worth of inventory into their warehouses and didn’t provide wholesale distribution to other retaliers and customers. Amazon is officially a 3PL.
Shopify integration is deep and will allow Shopify merchants to use Buy with Prime and syndicate reviews. This marriage cements the eCommerce duopoly.
Additionally there were announcements regarding AI being used in listings, reviews and additional analytics like lifetime value of customer. These other announcements were relatively minor to the Amazon Supply Chain announcements in bullet 1 and 2. Sellers and brands now have the ability to ship from factory all the way to end customer with Amazon touching EVERY single leg of the process. First it was marketplace, then it was AWS, followed by Advertising and now we see a focus on selling transportation in a much more aggressive fashion. Amazon truly is seeking to become the toll booth of eCommerce.
Reminder of the news that Walmart announced at their first annual seller show 2 weeks ago.
Until next time,
Ryan Craver
Disclosure: Client Letters are intended for Commerce Canal clients, investors and employees. Commerce Canal and its officers, directors and employees provide this content for informational purposes only.
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