Amazon shared an article that I think is really important for Amazon Sellers. It is entitled: Strength in Numbers and shares 5 facts showing the impact of the Amazon Marketplace. But I really only want to highlight two of those numbers.
Strength in Numbers for Amazon Sellers
Amazon added 300,000 new small and medium sized businesses to the Amazon Marketplace in 2017. That sounds like a lot. But lets put some more context around this, in 2015 (the best I could find), Amazon reported that they had over 2 million third party sellers. Its not clear how much over 2 million they were at in 2015, and Amazon specifically did not specify their total number of sellers in 2016. If I had to guess, Amazon’s got to be at least to 3 million sellers by now.
The more impressive number
Amazon’s second interesting number for Amazon Resellers is perhaps the most surprising (for me):
140,000 Small- and Medium-sized businesses surpassed $100,000 in annual sales on Amazon in 2017.
I feel like I’m surprised by this number, at first glance, 140,000 businesses sound like a lot, but as I think about the network that we’ve built with ResellingDO events, and The Mile High Reselling Club I feel like we have higher than average percentage of those $100k plus earners.
Overall though, it seems to me like 140,000 businesses with more than $100k in annual sales feels low. What that number also doesn’t tell us, is how many of those 140,000 Amazon Sellers are over $500k, over $1M? I suspect it could be something along the 80/20 rule, I suspect 20% of those 140,000 Amazon Sellers are over $500k, maybe even $1M. but that’s still a ton of sellers. It still pales in comparison to Amazon’s worldwide/company-wide sales of $177.9 Billion in 2017.
What number from Amazon is more surprising to you?