Understanding Amazon

21 February 2019

"Over the winter glaciers, I see the summer glow.  And through the wind-piled snowdrift, the warm rosebuds below." - Ralph Waldo Emerson

How time flies!  It seems like 2019 just started and now February is soon ending and so is the winter season.   Ready for spring yet?

This week, we have a couple of Amazon nuggets for you.

THE WORLD OF AMAZON

As you look over at Amazon's results for the important holiday period, you will be impressed.  How can you not given how far-reaching the e-commerce and cloud-computing businesses of the company are.  But there is still a lot of information for investors to consider.  Four under-the-radar numbers are playing a key role in measuring the company's success and showing what is beyond the headline metrics.

These four metrics are all important but could easily be overlooked.

Amazon's Four Key Metrics

SELLER'S PARADISE

Good news for private sellers on Amazon --- which is mostly everyone reading this newsletter.  Thanks to more awareness and education on the selling model, third-party marketplace traction is picking up on Amazon and Amazon is responding positively.  Strategies and resources have now shifted to the marketplace accordingly.  There are now networks of resources for small-business owners where big brands and resellers alike explain how to get started selling on Amazon and consequently, turn in a profit.

This reflects a broader industry shift in retail toward direct sales, as more brands become less reliant on wholesale relationships, reworking supply chains and e-commerce teams to sell straight to customers.

Amazon's Shift to 3rd Party Sellers