This episode offers a candid look into Amazon's evolving inventory strategy, debating the balance between 1P and 3P sellers. It also tackles the perennial challenge of mobile conversion rates, with contrasting views on achieving desktop parity. Crucially, it provides actionable insights into the future of retail, including the strategic role of
Key takeaways
Amazon will prioritize 1P inventory in the short term due to space constraints, potentially making terms less favorable for 3P sellers.
Mobile conversion rates may never fully equal desktop; e-commerce businesses should explore novel mobile shopping experiences beyond just optimizing the mobile web.
Aspiring e-commerce professionals should focus on disruptive technologies like AR and the on-demand economy, and consider roles at platform-owning tech giants.
High-performing "A-Malls" are a strategic physical retail channel for online brands, particularly for building brand awareness and driving demand for hardware products like Amazon Echo.
Pop-up shops in thriving malls can serve as effective brand-building and product demonstration tools for online-native companies.
EP045 - Apple & Amazon News, Listener Questions Listener Questions: Q: Is Amazon's long term play to stock inventory 1P or is it 3P - Large amazon seller A: Both, they won't abandon 3P but in the short run space is constrained and Amazon will maximize it's value with unfavorable 3p terms. Q: Enough hinting at the differences of opinion about mobile between Jason and Scot. Can you please spend some time explaining your different POVs. - Scott Silverman (industry pioneer) A: Jason things improvements in the mobile experience will get mobile conversion rates to parity with desktop... Scot thinks mobile web will never be easy enough and users will find new was to buy on mobile devices. Q I'm a 20 year old with amazon and eBay experience. I'm interested in Ecommerce, specifically around disruptive technologies. If you were in my shoes and could go anywhere in the world, what company or business would you dream to be part of? - Danny S A: Consider an emerging opportunity such as Augmented Reality, On Demand Economy, etc... Given that you already have great seller experience and entrepreneurial experience, consider trying a larger company that owns a platform or service (Facebook, Google, Razorfish, IBM, Microsoft). Q: Perplexed - are malls dying because of Amazon or are Amazon investing in malls? - Kasia Roth A: There are about 120 top malls in the US (so called "A Malls"), they are thriving and outperforming the market. This is almost certainly where Amazon is looking to open pop-ups. You can usually tell an A-Mall by the presence of an Apple store and/or a Tesla store. Amazon wants pop-up shops here because they need to build awareness and demand for their branded hardware products like the Echo and Fi
What does this episode say about amazon & marketplaces?
Amazon will prioritize 1P inventory in the short term due to space constraints, potentially making terms less favorable for 3P sellers.
What does this episode say about retail & omnichannel?
Mobile conversion rates may never fully equal desktop; e-commerce businesses should explore novel mobile shopping experiences beyond just optimizing the mobile web.
What does this episode say about founder & leadership?
Aspiring e-commerce professionals should focus on disruptive technologies like AR and the on-demand economy, and consider roles at platform-owning tech giants.
What does this episode say about dtc strategy?
High-performing "A-Malls" are a strategic physical retail channel for online brands, particularly for building brand awareness and driving demand for hardware products like Amazon Echo.
What does this episode say about amazon & marketplaces?
Pop-up shops in thriving malls can serve as effective brand-building and product demonstration tools for online-native companies.
