Many of us buy so much stuff on Amazon, often from third-party sellers. Usually, it’s hard to tell much about them, other than customer ratings and maybe other products they offer.
But Jungle Scout’s new State of the Amazon Seller report sheds light on these third parties. It provides fascinating insight into Amazon sellers – who they are, what and how they sell, and their top challenges and priorities in 2023.
The report is based on a survey of more than 2,600 sellers in 100 countries. Most of the study focuses on ones earning less than $2 million in annual revenue. These small and midsize businesses are often individual entrepreneurs, but many have partners or employees.
Amazon’s marketplace is massive, dominating e-commerce with more than 300 million customers around the world and nearly 2 million third-party sellers. It dwarfs other e-commerce platforms, although Walmart has been making huge gains, according to an earlier Jungle Scout report.
“Growth and expansion – both within Amazon and beyond — are top focus areas for a majority of SMB sellers in 2023,” Jungle Scout said in its Amazon seller report. “Half are working to increase their market share, and a rising number will explore entering new Amazon global markets and or expanding their offerings to new e-commerce platforms or online channels.”
Eighty-nine percent of sellers surveyed said they were profitable last year, up from 85% in 2021, which Jungle Scout said indicated the resiliency of e-commerce.
More than half reported profit margins over 15%; almost three out of four have profit margins above 10%.
Infographic: Amazon seller statistics
