It is learned that on April 27th local time, Amazon released its first quarter financial report for 2023: During the reporting period, Amazon's sales were US$127.358 billion, a year-on-year increase of 9%, and its net profit reached US$3.17 billion , reversing last year's serious losses. Both data were higher than market expectations.
According to the financial report, Amazon's operating expenses in the first quarter of 2023 only increased by 8.7% , the lowest increase in a decade. Its delivery fees, packaging and transportation costs were also close to expectations, indicating that a series of cost-cutting and efficiency-enhancing measures previously implemented by Amazon have begun to take effect.
In addition, it is worth noting that although Amazon's revenue reversed the downward trend in the first quarter, the financial report also showed that its e-commerce sales growth continued to slow in 2023. Looking ahead to the second quarter, Amazon expects sales to be between US$127 billion and US$133 billion, an increase of about 5% to 10% over the same quarter in 2022.
It can be seen from the above that, affected by the uncertain economic environment and continued inflationary pressure, Amazon's performance has not yet completely escaped the growth slump since last year . Since the beginning of this year, many sellers facing the industry's growth bottleneck are also stuck in a quagmire. Not only do they have to be wary of sudden changes in platform policies, but they also have to face logistics storms that may break out at any time.
Recently, several freight forwarders have received notifications from Amazon that it will officially implement new reservation rules on May 1. The specific requirements are as follows: 1. The appointment change or cancellation must be completed within 72 hours before the arrival of the goods. The purchase order (PO) information cannot be changed within 24 hours of the scheduled warehousing time, otherwise it will affect the warehousing time limit; 2. It is recommended that the attendance defect rate be kept below 5% and not exceed 10%. Accounts with an attendance defect rate higher than 50% will be banned for 30 days. 3. It is recommended that the PO accuracy rate be maintained above 95%, and the minimum should not be lower than 85%. If the information filled in is inconsistent with the actual situation, Amazon will require the corresponding information to be corrected, otherwise there will be problems with the account.
Key points: The scheduled delivery time must be canceled or modified within 72 hours before delivery, the attendance defect rate must not exceed 50%, and the PO accuracy rate must not be lower than 85%, otherwise the account may be blocked.
It is learned that since March this year, Amazon warehouses have been affected by bad weather and strikes, and have frequently been reported to have delivery delays and suspension of operations. With the implementation of this new regulation, it is not difficult to predict that the warehousing time will be delayed in the short term, and sellers' logistics delays may be further aggravated.
Soon after the new regulation was announced, several freight forwarders issued emergency notices : Affected by Amazon’s upcoming new regulation adjustments, several Amazon warehouses were experiencing serious warehouse overflows.
According to the freight forwarder, the warehouses that have been overwhelmed by Amazon are: 1. LAX9 is seriously liquidated, and the earliest reservation will be around May 20th; 2. SBD1 has a serious liquidation, and the reservations have been deleted. All current reservations are pending; 3. Warehouses such as GYR2, GYR3, LAS1, SCK4, SCK3, SMF3, SNF6, SMF7, and 0AK3 are out of stock, and the reservation situation is not ideal; 4. CLT2 in the Eastern US has been liquidated. Currently, the warehouse is understaffed and it takes more than 10 hours to enter the warehouse. 5. The European DPD warehouse is overwhelmed, delivery is delayed, and the collection and receipt time is relatively slow.
In addition, according to Amazon's notice, the four major warehouses , ONT8, LGB8, LAX9 and SBD1, will also adjust to a manual appointment and reply mechanism after the new regulations take effect, and the efficiency of appointment application processing is also expected to decrease.
It is currently unknown when Amazon warehouse delivery will resume normal operations. We would like to remind relevant sellers to always pay attention to the operation status of the goods and adjust the shipping plans in time according to the situation to avoid losses.
In addition, in recent times, apart from the delivery efficiency that has been a thorn in the side, Amazon's adjustments to the page display function have always caught sellers off guard. After the front end began to display sales data and return labels were ready, Amazon recently added another new function.
It is learned that recently, some sellers have observed that the Amazon front-end on mobile phones has begun to display the number of product views.
Similar to the sales data shown on some Amazon store homepages in March, the views of these products also show the following characteristics:
As soon as this news came out, it also caused quite a stir in the cross-border circle: "With the development of the industry, data transparency is actually a trend, and involution is inevitable." “I guess there will be a service provider that provides pageview boosting services.” “Are buyers sensitive to pageviews?”
Some sellers believe that this new feature means that Amazon data will become more transparent in the future , which will not only have a certain impact on the conversion rate of products, causing the Matthew effect of the platform to intensify, but may also further intensify the low-price internal war to increase click-through rates.
However, some senior sellers also said that compared with the previous display of sales volume, the display of page views will actually have a much smaller impact on sellers . The main purpose of the platform implementing this function is to present better performing product data and help sellers further improve customer conversion rates. If you only focus on pure data, it will deviate from the original intention.
However, as of now, Amazon has not released any relevant notifications about this feature. We will continue to pay attention to the subsequent developments. If sellers have relevant news, you can also discuss in the comments section~ |
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