The time to begin selling on the Amazon platform has never been better. Consider the news out this week regarding Warren Buffett.
When the oracle of Omaha makes a move, the reasons are generally quite sound.
Warren Buffett has sold off his stake in Walmart. Good news for those considering an e-commerce venture, specifically entering Amazon’s third party seller program.
There is an old proverb; ‘The best time to plant a tree was twenty years ago. The second best time is today.’
So it is with Amazon’s FBA program. The best time to become a third party seller was a few years ago. The second best time is now.
The slowing of retail giant Walmart’s growth is laid squarely at the feet of Amazon’s surge in e-commerce sales.
Business Insider reports that Walmart shares have fallen 21% since 2014. In the same period, Amazon has seen value surge by 119%.
In terms of market value, while Walmart has reported $289 Billion, Amazon has enjoyed a whooping $356 Billion in market value.
As reported, Warren Buffett has a track record in predicting the fate of retail businesses. He is credited with correctly forecasting the fall of Sears and K-Mart.
Buffett was quoted in a meeting last year referring to e-commerce in general and Amazon in particular. “It is a big, big force, and it has already disrupted plenty of people, and it will disrupt more.”
The fate of brick and mortar stores is far from secure. The digital landscape is just now building out an infrastructure that can only increase the value of e-commerce. The transportation sector, spurred by Amazon’s amazing shipping profile, are making huge investments to accommodate continued growth in e-commerce.
Walmart has demonstrating again, how badly they missed the timing to move into e-commerce. They openly admitted they missed the move and Amazon’s lead in the industry will be hard to overcome.
The value of Amazon Prime has only this year been countered by Walmart. They just introduced an anemic free shipping model that does more to secure Amazon’s free shipping for Prime members, then to provide competition.
Amazon had a huge lead in the race for e-commerce market share. So large in fact, that others can only hope to grab a small share by mimicking the platform Amazon has created.
A better option, at least for those not of Walmart’s size and stature, would be to enter the Amazon platform as a third party seller.
Many multinational companies such as Johnson and Johnson, General Mills, and Revlon to name a few, have placed products inside Amazon, just as they do Target, Walmart and a plethora of other retail outlets.
E-commerce is alive and growing. Amazon is the dominate force in the retail model. They stand with arms open wide, inviting sellers to bring their products to the platform.
As is so often stated, the iron is hot, it is time to strike.
RobertECook.org is a business consultant. Specialties include consulting sellers in entering the Amazon third party seller program. Just recently, RobertECook.org has agreed to consult with sellers who have no previous retail selling experience.
For established sellers, the consulting model offered at RobertECook.org is ideal. With a product ready for e-commerce, Cook takes the confusion out of the selling platform and assures proper product exposure.
Mistakes inside the Amazon seller platform can be costly. Many sellers have found themselves banned only because they failed to understand the rules.
For first time retailers, the opportunity for success is huge. Again however, the expertise to navigate the Amazon system is best found in that of a consultant.
Warren Buffett sees the future of e-commerce. It is so bright that giants like Walmart, who were late to the dance, will be left with brick and mortar locations that are seeing growth stymied by market share moving to online purchases. It is time for sellers to include Amazon’s third party selling platform in their selling model.
For those with an interest in selling as a third party seller on Amazon, you are encouraged to contact RobertECook.org and complete a Discovery Form.