How Amazon will perform in 2021?

How to Get Initial Reviews on Amazon

While the world struggled with 2020 and the pandemic it brought along, Amazon enjoyed a fulfilling year. The e-Commerce giant witnessed a staggering market share and sales volume growth. The following trend that Amazon witnessed last year is set to continue in 2021. But the question is how will they do it this year?

Let’s take a look at some 2021 predictions:

Amazon’s logistics will go big

2020 thoroughly tested Amazon’s fulfillment and delivery system.  Where the native services like UPA, USPS and Fedex had to cut back on their delivery process, Amazon made sure they never stopped. But it is not like Amazon did not face any challenges: manufacturers complained times when Amazon did not collect Purchase Orders, the inventory witnessed delays at the fulfillment centers. There were even times when Amazon prioritized sellers who fulfilled their own orders instead of using Amazon’s fulfillment system. 

But Amazon managed to deliver in spite of all these challenges. This year, Jeff Wilke, CEO of Worldwide Consumer at Amazon, will leave the post and Dave Clark will succeed him. With Clark on the reigns, Amazon is set to enter a new age of its fulfillment system.

Amazon will pause its private label brand expansion

In 2020, we saw the Congress investigate the anti-trust cases and that brought Amazon’s many private label brands under the scanner. Many Amazon sellers and vendors are concerned that their products are either copied directly or Amazon is using its sales and supply chain data to make similar products. On top of it, the negative publicity with antitrust actions will prove more damaging to Amazon than the expected profits and customer retention. So, in 2021, Amazon might put a stop on its private label brands.

More Seller competition

As more and more small-time sellers came on board, the more competition Amazon’s marketplace witnessed. After that, big companies with big pockets like Thrasio went on a large-scale rollups of e-commerce brands. They are scooping up small brands who witnessed some success on Amazon and then using their resources to advertise and increase sales volume. While small sellers find ways on how to rank on Amazon, the big companies are busy looking for more small business-owners.

The recent pandemic along with the Chinese manufacturers selling directly on Amazon shows that the competition is bound to increase in 2020.

Working on Amazon Fresh

Grocery is one department where Amazon is lagging behind its competitors. And Amazon knows this. So, Amazon bought a share in SpartanNash, a grocery wholesaler and distributor. It now has access to a grocery supply chain and has even opened its supermarkets in 2020.

Conclusion

2020 served various challenges to Amazon on a silver plate and they will keep on dealing with it in 2021. Despite that, Amazon knows when to jump on an opportunity as they continue to polish their existing system. With more and more sellers coming on board, they will look for ways on how to get initial reviews on Amazon. And that means Amazon will keep on growing. 

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