The Amazon Effect: How Amazon Is Disrupting European E-commerce

How real is the Amazon impact? Should European shops prepare and the way? I spoke to Natalie Berg and Miya Knights, co-authors of the recently posted “Amazon: How the World’s Most Relentless Retailer will Continue to Revolutionize Commerce,” about Amazon’s European method and how e-commerce gamers on the continent can play to their strengths to combat off the sector’s hungriest e-commerce participant. Amazon’s ‘modus operand is to consciousness on sectors that can be ripe for disruption. It exposes the ones that are mediocre and

undifferentiated,” says Knights. ”So, to combat any concerns of Amazon stealing market proportion, retailers should focus on what the so-known as “Amazon effect” approach to their business: this is, how to supply and capitalize on heightened tech-pushed consumer expectancies. In our book, Natalie and I urge stores and brands to study from Amazon’s innovation and follow those learnings to excel at ‘what Amazon cannot do’ (#WACD), that is provider, enjoy, curation, and network – all factors of the purchasing experience that should already be essential differentiators for nearby shops and/or those centered on a selected area, along with apparel.”

Amazon has a complicated courting with Europe. The online behemoth often uses predominant EU markets – mainly the UK, France, and Germany – as proving grounds for new technology and services. However, it nevertheless holds a drastically decreased marketplace proportion in Europe typical than it does within the US. In 2018, Amazon managed 35% of the US apparel market, however simplest held eight% of Western European sales in the quarter, in line with Euromonitor information. Clothing and footwear is a fragmented sector, selling merchandise that can be hard to marketplace online. Here, the disparity in market percentage is mentioned. Presenting a stark instance of the sort of hurdles Amazon faces in Europe.

“Europe remains a concern; however, it’s turning harder for Amazon,” Berg explained. “They’ve constantly been up in opposition to fiercer online opposition, specifically in clothing, however now they’re additionally contending with greater government scrutiny and the resurgence of bricks & mortar retail. The rise in experiential spending and a developing focus on sustainability – make for very difficulcomplicatedelling situations. In addition, political and monetary uncertainty and broader shifts in purchaser priorities – i.E.


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