E-commerce is a transaction of buying or selling online. Modern electronic commerce typically uses the World Wide Web for at least one part of the transaction’s life cycle although it may also use other technologies such as e-mail.
Once we talk about e-commerce we pick to our mind Amazon quickly & loudly as it accounts for an out sized proportion of total e-commerce sales.
emarketer estimates that US retail e-commerce sales will grow 15% in 2017 to reach $452 billion, making up 9.0% of total retail sales.
Amazon accounts for 4% of total retail sales, When Amazon’s sales are combined with ecommerce sales from eBay and Walmart—the next two companies on the list—they represent almost 5% of total retail sales in the US.
KEY STAT: The top 10 US companies ranked by ecommerce sales will combine to represent nearly 6% of the total retail market in 2017. That means there is significant room for growth, as more retail categories continue to move online.
The US giant e-commerce site sell in 2017 by around $200 million represented 43% of US online retail sales & expected to acquire 50% of US online sales by 2021.
This year brought plenty of innovation at Amazon, including
- Surprising purchase of Whole Foods for $13.7 billion.a step that catapults the e-commerce giant into 400 hundreds of physical stores and fulfills a long-held goal of selling more groceries.
Amazon has approached the problem of retail in a more scientific way since day 1. In the Amazon world, every transaction is recorded, every buyer is known, every inventory movement is known, and perhaps more importantly, every possible next order can be suggested based on what visitors buy and browse. This playbook, based on the belief that all data must be collected, analyzed and used, is drastically different from retail’s traditional way of thinking.
- the opening of its experimental cashier-free Amazon Go concept stores.
- Amazon Fresh Pickup, a drive-thru grocery delivery service.
- Amazon Wardrobe, which is intended to compete with curated fashion subscription services.
Amazon’s size and prices may make it seem like it’s impossible to compete with, especially now that the retailer is getting into categories previously thought Amazon-proof—like groceries. However, the company’s main strength remains what it’s been for some time: A platform to sell goods efficiently with convenience to the shopper through Amazon Prime, Pantry and subscription commerce.
Shoppers don’t generally go to Amazon to discover new products—price, convenience and selection are typically the most common reasons US internet users give in surveys for buying on Amazon.
As I believe that e-commerce industry world wide still has a significant room for growth & will penetrate most of other industries, as I believe that Amazon have a lot of innovations by coming years and will share with you information about ” The Amazon effect “at next Article.
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