According to a new staggering data retailers should now officially be scared of Amazon taking over the e-commerce market completely.
During the study more than 2000 randomly chosen individuals in the U.S., these consumers had purchased something from Amazon in the last two years. The study showed that more than three-quarter of consumers make their way directly to Amazon when they are ready to purchase a specific product. The study posted by Feedvisor, allows us to understand the thought process that goes into each purchase.
Making Amazon a looming threat to some of the biggest retailer in the country, these include but are not limited to Walmart, Macy’s, and Target. These are not new in the market but are newer in comparison to Amazon when it comes to expanding their online business. These days when shoppers are getting more comfortable buying things online and skipping the setting; which can easily lead to a 52.4% growth for Amazon. They were on the 48% markup just last year, and are expected to hit a new level this year alone.
We feel that the key to Amazon's success is its loyal base of customers, which is mostly their Prime members that consist of more than 100 million people. These individuals pay a membership fee of $12.99 per month, or a $119 per year and enjoy perks such as a free two-day shipping, discounts at Whole Foods grocery stores, free two-hour delivery in some ZIP codes, along with access to Amazon Prime Video, and Prime Music.
According to studies, more than 58% of Prime Members shop at least once a week, while 45% of them are definitely making one purchase per week. In addition, 5% of them are making purchases on a daily basis.
In addition, many consumers have started to bypass search engines and take their requests directly to Amazon. This means fewer opportunities for eBay, Google, and Yahoo.
As 66% are already starting fresh searches on Amazon, and 95% of them are satisfied with the end results according to Feedvisor.
The group added that the pricing platform for online retailers is at a high, and comes with a 48% of users who visit the website at least a few times each week, while 89% users visit the site at least once a month. Making it harder for its rivals to take down the retail giant, as it has deeply rooted itself into daily lives.
With Amazons plan to expand into brick and mortar, experts feel the threat of them taking over will simply grow larger. With a new grocery chain in the works, and shutting down pop-up locations in malls, and opening Whole Foods in Kohl’s stores across the U.S. they are ready to take on the world.
Experts at Amazon say they offer a well-rounded experience and offer to take care of everyone's needs. Offering their buyers and sellers an easy to use system they can both advantage from. Making sure they are easily reachable and adding more to daily lives.
Contact Us to learn more about The Starren Group and how we can help you leverage Amazon to grow your business.