Amazon have just reported their last quarter results and appear to be growing more slowly than in the recent past.
They posted a loss of almost half a billion dollars in the last quarter and sales came in at $20.58 billion short of the analyst expectations of $20.84 billion.
Worse still for the all important Q4 Amazon predict sales growth of 7-18% ($27.3 billion and $30.3 billion) short again of what analysts would like to see which is more like 20-21% ($30.89 billion).
Amazon have been spending vast amounts on various projects such as mobile phone development, the Kindle, TV, AmazonFresh, Amazon Web Services and drone testing. They’ve a history of not worrying about delivering profits, instead concentrating on growth and market share.
Amazon shares dropped around 11% wiping over $15 billion off the value of the company.
We don’t expect you to care about any of this though. The only thing that matters is how your sales on Amazon are performing. In some ways your sales are contributing to Amazon making less profit, the higher the proportion of 3rd party sales the less margin Amazon makes compared to products they supply as a retailer.
So how are your sales on Amazon? Are you happy with the level of sales and are they up, down or indifferent?
4 Responses
Our Amazon sale have been great. Until 2 weeks ago, and they dropped to almost nothing at all.
Amazon sales for jewellery have been rubbish all year since Chinese sellers arrived on the scene with 70% off products (products that have been over priced then reduced with no care for the law)
Other sales have been OK this year.
Is Amazon heading the same way as Tesco, focusing on all these other things and forgetting about the core business? Maybe the site is pretty outdated in terms of ecommerce design and trying to buy clothing on there is extremely hit and miss.
They are going to have to make a profit soon, aren’t they?
Sales have been much lower compared to a few years ago.
The commission increases + the extra FBA cost increases are not good for business.
We peaked in 2012 and did over 100K GBP revenue in one weekend during holidays.
Nowadays its nowhere near where it used it to be.
Thank god, we are a vendor now at Amazon and making more money than ever.
My sales on Amazon have been down about 0.26 billion this quarter, which probably accounts for their shortfall.