A few years back Amazon launched Amazon Elements, their own private label healthcare brand. And since then not much seems to have happened. It was launched with a fanfare because it sold nappies (diapers, to the Americans) and it was seen as an aggressive play to add value to Amazon Prime shoppers. Since then, they’ve stopped the sale of own-brand nappies and the only inventory has been baby wipes.
But it looks like Amazon has reembraced the health and beauty market and the Elements brand because it’s started selling own brand vitamin pills exclusively for Amazon Prime shoppers.
Billed as: “Premium Products – Transparent Origins – Exclusive to Prime”, what’s striking is the detail and trust they’re trying to inspire. Check out the home page here.
Here’s an example listing for Vitamin K. It’s bursting with details and data that’s bound to appeal to the ultra health conscious looking for quality products for their wellbeing regime.
It is also a useful reminder that Amazon is still a retailer in its own right and a move like this will dismay vitamin sellers, and a broader community of healthcare sellers. Amazon is in the position to muscle in on certain sectors if they think it’s profitable for them.
6 Responses
If it`s worth it they`ll own it !
Any seller relying exclusively on Amazon seller central revenues will continue to live with the constant threat of Amazon moving in on their patch and competing directly.
Another classic example below as to why sellers need to invest in their own website proposition as a minimum to ensure continuity and sustainability.
Smell what sells – Amazon have doing this for years on services (Web servers, Freight, Fulfilment) and they will continue to mop up all product led categories that are worth mopping up in retail. They appear to be well in track to being “the go to place for all services and products” and for now they will continue to use a wide range of sellers for their own devices and to help achieve this aim.
Take note – if your product category is in big demand and breeds decent margins through seller central then Amazon retail is just around the corner and are at risk of being crushed by the very had that feeds you.
Start to consider a plan B now….
Any news on this coming to amazon UK ?
Agree, with the above comments, amazons done it to sellers before and once a seller makes significant roads into a market on amazon, then game over. Amazon Basics or Essentials or whatever will be there soon enough.
Its a really double edged sword. The faster you go and the more you tweak and more you sell, the more likely you are to wake up with alot of stock and 0 sales. With an amazon in house brand replacing you.
This is one of many reasons why we will never sell on Amazon. eBay have their faults but at least there is no danger (at the moment) of them taking this privileged data and using it to take you out of the game.