Amazon have just announced their financial results for the 1st quarter of 2009 with sales up 18% compared to this time last year. They also pointed out that if exchange rates hadn’t moved unfavorably sales would actually have been up 25%.
Net income increased 24% to $177 million which won’t upset share holders too much either.
Sales in North America increased by 21% but the star of the show is International performance with sales up 15%. International sale dragged down growth rates but if exchange rates hadn’t changed from this time last year International sales would have seen a 25% increase on last year.
If you’re not already selling on Amazon a growth rate of 25% should be shouting out that it’s time to start. The number of items shipped with Fulfilment by Amazon (FBA – where Amazon store your products and ship them from Amazon’s own warehouses) is up 300% from last year. That demonstrates the extra sales aren’t all coming from Amazon’s own stock. A huge volume is coming from third party sellers.
Great news for sellers in the UK and Europe, although the recession is biting, both Amazon and eBay are growing faster this side of the Atlantic than they are in the States – The high street might be struggling but ecommerce is alive and kicking.