From Gartner L2, October 26:
Amazon’s core e-commerce business (reported in quarterly earnings as “Online Stores”) slowed
to 11% year-over-year growth in Q3, down from 22% a year ago. This is
surprising, especially given that Prime Day sales are reported in Q3. So
what’s happening?
It appears that Amazon is beginning
to saturate the US e-commerce market, particularly in well-established
categories such as books and electronics. Less developed categories such
as fashion and groceries are more competitive, with a greater number of
legacy retailers building up their own e-commerce operations.
Opportunities abroad are looking
bleaker as well. Emerging markets such as China and India have been
heralded by Amazon’s management team for years as the firm’s next big
opportunity, but disrupting those markets has proved challenging.
Revenue from Amazon’s international business grew just 15% YoY, down
from 28% a year ago....MORE
