Amazon makes money entirely through advertising, and sellers have become lambs to be slaughtered!

Amazon is the leader in cross-border platforms.

In terms of profits, it can be said that the profit is huge.

But if we look at Amazon's retail business,

It has always been a dangerous stage.

Without high advertising revenue,

Maybe the retail business will just say goodbye.

It has been in a profit-and-loss state since 2015.

If it weren't for the advertising revenue in the later period,

The losses may be out of control.

When my brother-in-law was in power, he also made a statement:

Without advertising revenue,

Amazon's retail business may be particularly loss-making.

In 2021, the global commodity trading volume was US$600 billion, a year-on-year increase of 22%.

This figure has more than doubled in three years from $277 billion in 2018.

Amazon's growth in 2021 slowed significantly compared to 2020.

But Amazon's GMV still grew by more than $100 billion.

In fact, basically 80% of the new GMV,

They are all provided by third-party sellers.

The most incredible thing is that Amazon always breaks through.

Despite the disputes between consumers, sellers, competitors, and governments and Amazon,

There are problems, but it can't stop its progress.

For sellers, Amazon is just a platform.

Hundreds of sellers have gathered to form an online sales market.

But the saddest thing is that sellers cannot decide their own fate.

Let's take the simplest example:

When Amazon introduced advertising as an option,

Because some sellers choose to join,

Other sellers had no choice but to follow suit.

This has led to this situation becoming the norm.

To put it more clearly,

Amazon can change the fees at will.

All the seller can do is accept it.

So for this part,

What sellers can do is to use limited resources.

Maximize your sales and traffic.