Is the next Amazon hotspot in Europe? What is the way out for cross-border sellers?

Is the next Amazon hotspot in Europe? What is the way out for cross-border sellers?

1

Amazon US sellers are accelerating their expansion into the European market


Recently, foreign media reported that sellers on Amazon's US site are rushing into the European market. Nearly half of Amazon sellers have opened a second site while operating the US site, most of which are European sites. 50% of US and Asian sellers plan to enter new Amazon sites for sales this year.



Which places in the European market are the first choice for Amazon sellers? I think the UK and Germany are the largest e-commerce red ocean markets in Europe, and are also the two largest markets for Amazon in the world except the United States. It's nothing more than switching to these two markets. Because Germany is the fourth largest economy in the world, it is located in the center of Europe, close to markets such as Italy, Sweden, Denmark, etc., and consumers have high incomes, so it is easier to buy things. The UK mainly has language advantages, so the UK and Germany are definitely the preferred markets for expansion. The German market is larger than the UK, and it is not difficult for sellers to enter the German market . The transaction rate is higher, but the review rate is relatively low , and buyers have higher requirements for the quality of the goods, so there is a high possibility of many returns. Of course, you should also pay more attention to the relevant local policy restrictions ! Basically, in Germany and the UK, sellers will have relatively less pressure in terms of category quantity competition and listing, which means that sellers will have a larger profit margin.

Is there no other way but to expand? Will Amazon really not be considered? The recent New Year holiday is over, and European consumers are welcoming various festivals. Taking advantage of this opportunity, Amazon launched the 2023 European Spring Sale , bringing sellers the first wave of orders in the new year!


2

Spring promotion: Amazon opens 9 European sites simultaneously


This European Spring Promotion will be launched simultaneously on March 27, 2023 in 9 European sites (UK, Germany, France, Italy, Spain, Netherlands, Sweden, Poland and Belgium), and will last for 54 hours (March 27-March 29) !


1

European Spring Promotion Launched


This year, Amazon will hold four major promotions, which are divided into:

1. Spring Festival promotion

2. Prime Day

3. Prime Day

4. Black Friday and Cyber ​​Monday

We follow the principle of proximity. Let's talk about the Spring Festival promotion first. As the first large-scale promotion in 2023, there are many highlights. Whether it is advertising, TV, radio and print advertising, it also undertakes the traffic of key advertising positions in Amazon's European site. And the time is also concentrated within 54 hours. Concentration is the essence. This promotion is not only known by merchants, but also by consumers. This has a higher traffic attention than usual. It is mainly for sellers to obtain more growth opportunities and increase exposure.

There are also important time nodes for big promotions, which I have also put below:



Please note:

1. Deals and coupon submissions are free in the Netherlands/Sweden/Poland/Belgium.

2. Search ads are now available in Belgium. Eligible sellers can use Sponsored Products, Sponsored Brands, Sponsored Display, and Brand Flagship Stores on Amazon.com.be.

To welcome the European Spring Promotion, we must not only keep in mind the above important time nodes, but also select promotional products in advance based on the consumption needs of European consumers. The temperature during the Spring Promotion is also rising, and it is also approaching the European "Easter", so merchants can prepare products accordingly.

In addition to expanding in the market, many Amazon sellers are also planning to set up on multiple platforms.


3

Sellers are deploying on multiple platforms


The 2022 "Amazon Seller Status Annual Report" released by Jungle Scout pointed out that many Amazon sellers plan to expand to other e-commerce sales platforms in 2023. Among Amazon's 20 global sites, the United States has the most sellers. At least nearly half of the sellers have opened other sites while operating the United States. Among the sellers' plans survey, Ebay has the highest intention.



Although the multi-market and multi-platform strategy also has risks, it is normal for sellers to hope to share their pressure on the Amazon platform in this way. Whether it can really help sellers depends on whether the seller's strategy is more in line with the market.

Moreover, I think that although Walmart or other platforms have many preferential policies for new sellers, the traffic of the platforms is too small, not as much as Amazon's traffic, and platforms such as Temu have already begun to "cut" sellers, which is not a "good match". Although Amazon has repeatedly raised various fees, or cut storage capacity, and various operations to squeeze Chinese sellers, its attraction to Chinese cross-border sellers is still irresistible. Judging from the recent promotions launched by the Amazon platform, Amazon's position as the global e-commerce hegemon is still unshakable .

I suggest that you should not completely switch battlefields. You can expand the market step by step according to the development of the company instead of abandoning a certain one. Sellers can focus on certain product lines according to their own arrangements.

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