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BizReport : Ecommerce archives : September 27, 2018

Expert: What the addition of Amazon storefronts means for merchants

Amazon has launched a "storefront" option for merchants and third-party sellers; the move could give merchants a bigger profile and more options to be utilize Amazon's space. It could also help Amazon better understand not only sellers but consumers. The question many are asking, though, is if this is a good addition to Amazon's program.

by Kristina Knight

The Amazon Storefronts offering is geared toward small and medium-sizes businesses and the behemoth ecommerce property says it will help push more goods from nearly 20,000 small businesses in the US.

"Amazon Storefronts is a move by Amazon to meet customer demands for wider product offerings, as well as implement its logistics and delivery capabilities in more businesses than ever before. This offers a huge opportunity for small businesses, as they can scale with Amazon's advanced capabilities and capitalize on Amazon's brand equity among its huge customer base," said Scott Webb, President, Avoinos.

But, will small merchants see immediate increases in purchases or their reach to consumers? That remains to be seen. It also makes small businesses more beholden to Amazon and Amazon's reach.

"While this puts SMBs' products in front of more eyes and allows them to grow quickly, it also puts these businesses at the discretion of Amazon when it comes to how they operate and eliminates the emotional aspect of shopping with small businesses that Amazon just can't provide. While Amazon has created an unmatched business model, small businesses must be prepared to keep up with what Amazon's customers demand and may lose some of their niche, unique characteristics in the process. SMBs that want to participate in Amazon Storefronts must be prepared to provide the level of customer service, product fulfillment and engagement that the eCommerce platform offers, if they hope to both see success and remain viable on the site," said Webb.

Tags: Amazon storefronts, Avionos, ecommerce, ecommerce trends, retail tips

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