The tide of selling accounts is rising! Sellers reveal the secret of Amazon's black hole law?

According to Marketplace Pulse analysis data, more than half of Amazon's sales come from sellers who have been operating on its platform for many years, including veteran sellers who joined in 2017 or even earlier.

While a large number of new sellers are pouring in every year, many old sellers are gradually fading out of the market.

It is learned that there seems to be a wave of selling accounts in the industry recently , and many sellers have begun to sell off their accounts, intending to switch to other industries. Many service providers have also reported that accounts have become increasingly difficult to sell recently, and the overall price has plummeted.

  ▲ The picture comes from the seller communication group

In this regard, some people speculated that the big sellers withdrew to focus on building independent sites, while others bluntly said that there were too many newbies entering the market this year, and after struggling for a few months, they could not stand the settling down and ended up in failure.

  ▲ The picture comes from the seller communication group

Some sellers said that during the pandemic last year, service providers promoted Amazon extensively, saying that "gold is everywhere" and that everyone could find their own pot of gold. Driven by this, many laymen flocked to the site, including e-commerce practitioners from Taobao, Tmall and other platforms, and many people changed their careers in various industries.

   ▲ The picture comes from the seller communication group

Many new sellers have taken the Taobao and Pinyin routes, creating a distorted trend of low-price involution, and many sellers have been forced to follow suit, resulting in an embarrassing situation where profits are constantly compressed and eroded. Under such circumstances, it is not surprising that more and more sellers leave the market in dismay.

Although the latest survey results from Marketplace Pulse show that the Amazon market has not yet reached saturation, it is an indisputable fact that competition is becoming increasingly fierce. New sellers give up before they reach the top, while old sellers gradually get lost when they reach the bottom.

A seller with four years of experience shared his ups and downs in Amazon. The seller came into contact with Amazon at the end of 2016 and started formal operations in 2017. At the beginning, he adopted the model of distributing goods and self-delivery. After stable orders, the daily traffic basically remained at around 2,000.

The seller continued to ship by himself in the second year, but the traffic was cut in half compared to the previous year , and the number of orders did not fluctuate much. In 2019, the traffic continued to drop sharply, only about 200 to 300 orders, and the number of orders also became fluctuating. The seller tried to do FBA many times, but the effect was obviously not good.

   ▲ The picture comes from Zhiwubuyan

Last year, due to the impact of the epidemic, logistics faced severe adjustments and had to temporarily close self-delivery. However, misfortunes never come alone, and the accounts on the US and Japanese sites also encountered problems one after another, completely blocking the seller's way to self-delivery.

The seller admitted that the number of orders has been gradually decreasing in the past two months. Last month, he accidentally deleted the entire store's listings. After the restoration, the number of orders was basically zero, which was almost useless. The promotion work of other sites has also been almost stagnant.

   ▲ The picture comes from Zhiwubuyan

Throughout the past four years, the seller has never made fake reviews, followed the trend and used any shady means, and was hesitant and timid in both product selection and promotion. Faced with the declining performance, the seller fell into deep confusion.

In fact, this is also the dilemma facing many sellers today. Being pushed forward by the torrent of market iteration, they have been working in the industry for a few years, but their performance has been declining. In the increasingly competitive industry environment, they feel that the future is getting more and more bleak.

According to one seller, today's Amazon is like a black hole. It appears to contain countless opportunities, but in fact these opportunities disappear very quickly.

The seller explained a law that prevails today: April to June is the off-season for many non-seasonal sellers, and many sellers are anxious during this period, but when the peak season arrives, their confidence surges instantly, and the cycle repeats.

   ▲ The picture comes from Zhiwubuyan

Amazon's powerful algorithm mechanism provides opportunities for many ordinary sellers with no foundation, allowing them to compete with brand owners on the same starting point. Even ordinary sellers can actually sell better than many brand owners as long as they increase their orders.

The seller said that Amazon’s data in the general category is as follows:

However, it is somewhat ironic that the amount of Amazon's advertising in the United States is increasing. However, the overall traffic has not increased significantly. So who does Amazon pay for the cost of maintaining traffic? It must be the "live leeks" who keep pouring in.

   ▲ The picture comes from Zhiwubuyan

The seller pointed out that the core of Amazon is to allow "enough high-quality, low-priced goods" to have "full and saturated competition." This is also the incentive for a large number of sellers to engage in price wars, and retail will eventually return to the battlefield of low profits.

Many sellers shoulder huge competitiveness, take thin profits, fight each other in the ever-changing market, exit in pain and look for the next outbreak.

As the saying goes, crisis is crisis, but there are opportunities in crisis, and opportunities are often accompanied by risks. Many people who had smooth sailing during the bonus period find it difficult to adapt to the current market where risks and opportunities coexist. No one can change the direction of the tide. Except for a few top practitioners who can deal with it calmly, other mid- and downstream sellers have to dance with the times in the tide.

For many sellers, doing business on Amazon is like sailing against the current. If you don’t move forward, you will fall behind. At the current juncture, some sellers choose to forge ahead bravely, while others turn to open up new tracks. Regardless of which path you take, you need to make a prudent choice to avoid ending up with nothing.