It looks like Amazon has set its sights on the massive US market for car spares and parts in a move that could challenge retail motor stores.
Amazon has apparently struck deals with several of the the largest car part manufacturers including Robert Bosch, Federal-Mogul, Dorman Products and Cardone directly. And with the auto spare market in the States worth $50 billion, it’s no wonder that they’re interested in getting a slice.
Like with groceries in the UK, where Amazon reportedly want just 2% of the market, and in the US where Amazon is close to becoming the biggest apparel vendor in 2017, Jeff Bezos isn’t afraid to muscle in and have a go if he spots an opportunity.
In particular reports note that Amazon may well be paying manufacturers more than some of the traditional outlets for the goods. In this sector, it seems, that the retailers have been doing very well over recent years because of their stranglehold on prices with producers. So Amazon must seem like a welcome breath of fresh air to the parts makers.
It’s useful reminder too that Amazon is unsentimental when it comes to what it sells. It can leverage its superior purchasing power to buy stock and it isn’t worried about treading on the toes of 3P sellers either, or the status quo retailers, who may well already be selling in the sector.
One Response
They can **** ********** ** *** ****
Wait until they have to deal with fitment problems and returns, they’ll soon walk away from it 🙂
That is all.