The Amazon Effect

Amazon Briefing: How Amazon is going to war with beauty giants like Ulta and Sephora

Amazon is increasingly giving beauty startups access to its premium and indie brand programs. It gives them entry into a gated section on Amazon’s platform free from third-party resellers, and with additional perks such as early notice and access to upcoming promotions and revenue-boosting placement on curated beauty pages. Meanwhile, it makes Amazon more competitive against large retailers like Ulta and Sephora.

Latest Stories

  • JAN 25, 2022

    Why Amazon aggregators are acquiring brands with brick and mortar partnerships

    After sprouting out of an aggregator space focused on supercharging e-commerce brands, Amazon roll-up companies are now looking at growing their physical retail presences. By onboarding brands and personnel from companies with established brick and mortar relationships, they are hoping to bring even more of their portfolio to traditional retailers.

  • JAN 20, 2022

    Amazon Briefing: Why casualwear is still dominant on Amazon

    Despite Amazon’s foray into luxury fashion, shoppers are still flocking to casualwear on its platform. The biggest brands on the online marketplace specialize in basics or activewear, according to data from Similarweb. Here's what's driving this apparel growth on the platform.

  • JAN 14, 2022
    amazon treasure chest

    Amazon aggregator Thrasio enters India with plans to spend $507M on acquisitions

    Thrasio, an Amazon aggregator that has snapped up over 200 brands in just three years, is launching in India after acquiring a home appliances startup called Lifelong Online, which manufactures and sells over 100 products ranging from toasters to treadmills on its website and through marketplaces like Amazon and Walmart-owned Flipkart. Thrasio is looking to make a big splash in South Asia's biggest economy, home to 750,000 sellers.

  • JAN 13, 2022

    Amazon Briefing: Is Amazon missing out on the rise of social commerce in Asia?

    Amazon is losing ground to social commerce apps in Asia. Singapore’s Shopee and India’s Meesho are two e-commerce platforms that leapfrogged it last year to become the first and third biggest global shopping apps. There may be some clues for why Amazon's overseas growth is flagging: Despite stiff competition, Amazon has yet to embrace social commerce.

  • JAN 06, 2022

    Amazon Briefing: Why apparel brands are obsessing over pricing power 

    Fashion has become big business for Amazon, but apparel brands are facing challenges around pricing that could dictate how the category performs this year. The issues range from inflation to competition from third-party sellers. Within the fast-paced and dynamic selling environment of Amazon, businesses are increasingly investing more capital and time in a bid to entrench themselves in the e-commerce marketplace, according to sellers and consultants.

  • DEC 23, 2021

    Amazon Briefing: After raising over $3B, three Amazon aggregators prepare for their next chapters

    With more than $3 billion in funding raised this year, three Amazon aggregators are planning to bolster their product portfolios and launch into new markets in 2022. Thrasio, Goja and Olsam follow the roll-up playbook of acquiring third-party businesses from Amazon’s platform and boosting their sales using proprietary data. But that’s where the similarities end. 

  • DEC 16, 2021

    Amazon Briefing: Amazon is becoming more competitive for beauty brands 

    Makers of premium and indie skincare and cosmetic products say they are spending more on ads and obsessing over customer data to establish a foothold on Amazon. Some are benefiting from the unique perks that the e-commerce giant offers to select brands as incentives to use its platform. 

  • DEC 09, 2021

    Amazon Briefing: Amazon’s fluctuating restock limits are creating chaos for third-party sellers

    Third-party sellers say Amazon has been wielding restock limits over the last year-plus, imposing them on a weekly or bi-weekly basis in some cases, giving them short notice before reducing the amount of goods they can send to its warehouses. The fluid changes have created more logistical challenges for small- to mid-sized online businesses, amid rampant supply chain issues.

  • DEC 02, 2021

    Amazon Briefing: Cyber Week was lackluster for many third-party sellers

    Cyber Week has traditionally been considered one of the most important selling holidays for third-party merchants on the platform. But this year, sellers and agencies say that sales event didn't produce eye popping results like years past.

  • NOV 18, 2021

    Amazon Briefing: Why the U.K. has become fertile ground for Amazon’s hybrid retail concepts

    After steadily increasing its physical footprint in the U.K., Amazon is reportedly plotting an aggressive expansion. Rumors have been swirling for over a year about its plans to enlarge its footprint of convenience stores across the pond. Now, the company is making big -- and expensive -- moves to expand into the region. Here's why.

  • NOV 11, 2021

    Amazon Briefing: How to make sense of Amazon’s fintech strategy

    Two recent partnerships are transitioning Amazon away from reliance on credit and debit cards and toward more flexible payment systems. In August, Amazon announced it was partnering with the buy now, pay later service Affirm to allow customers to split their purchases into installments. More prominently, Amazon followed up this week with a second new payment option for the platform: Amazon customers can now use Venmo, the peer-to-peer payment platform owned by PayPal, at checkout.

  • NOV 04, 2021

    Amazon Briefing: The high cost of free returns

    Free returns were optional -- but now, in the Fashion category, Amazon is making it a requirement of doing business. It’s a niche policy change, but it comes at a moment in which return rates and shipping costs are skyrocketing -- and it has bigger implications for how Amazon is continuing to pass the costs of customer-friendly policies to its third-party sellers.

  • MAY 24, 2022
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