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A few months ago, Amazon launched several retail fashion brands of its own, but I did not notice it at the time, so I am picking it up only now. The only reason I noticed this news even now was that I stumbled on one of those brands and tried to find more information about it.
Perhaps you haven't noticed it either, as they haven't announced it, nor have they labelled the products so that consumers could see who is behind the brands. Probably because they don't want other shop owners to pay attention. There are two points to this news that might make it interesting to this audience.
The first point is that Amazon has a huge amount of intelligence about what consumers purchase and at what price points. So they will probably be able to provide very appealing products for a good price. That is all fine for consumers (in the short term), so look out for some great new products. However, in the long term, expect it to reduce the offering and obfuscate responsibility. Just like we have seen with the other big chains.
The second point is that it is not so good for the other shops/brands that are using Amazon's platform, as Amazon will now start eating their market share. Not only is Amazon charging other brands for using their platform, but now it will also start competing with the other shops directly with superior intelligence about what consumers want and on what price levels.
There has, of course, been the trend for a long time that big chains (Walmart, Tesco, etc.) make their own products, but now Amazon is moving in that direction too (or again). Expect Amazon's product portfolio to expand soon, which makes Amazon's platform progressively worse for other brands. Shop owners need to decide if they want to continue the race-to-the-bottom or do something else.
Perhaps it is time for all shops that use Amazon's service to consider if they want to be on a platform where their market share is decreasing because of the platform owner. At the same time, it is also a good point to check out other wishlist options.
WishSimply is a utility service for webshops. WishSimply does not compete with them, nor take their customers. It is a service where customers are respected. (Read more about our offering and promise for shops)
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