2017, the year of amazon...what exactly happened?

2017, The Year Of Amazon…

What Exactly Happened?

Today’s Logistics

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Overview

Founded in 2007

Recognized as a Google Premier Partner

400+ Active Retail Clients

Top 50 fastest growing company in San Diego

DELIVERING LASTING RESULTS FOR OUR CLIENTS

Solutions

Retail-focused PPC & Shopping

Amazon Sales Acceleration

Facebook Performance Marketing

About CPC Strategy

Market Track creates stronger marketing outcomes for companies and a more relevant shopper journey through the curation of proprietary data streams, providing web-based

access to critical market intelligence.

With over 2,100 clients and leading omnichannel solutions, Market Track is committed to increasing marketing effectiveness for manufacturers, retailers, and agencies.

Learn more:markettrack.com/about

Payability provides daily, next-day payouts to Amazon sellers

With immediate access to capital, Payability customers buy more inventory, stay in the Buy Box, and get the best deals from suppliers.

Learn more:go.payability.com/cpcstrategy

Today’s Speakers

Copyright 2017 - 2017, The Year of Amazon

Pat PetrielloHead of Marketplace Strategy

Allyson DietzSVP, Solutions

Kevin WeeksSr. Director of Business Dev

Today’s Agenda

❏ Amazon’s Advertising Growth

❏ Amazon’s Overall Growth, Expansion, & Successes

❏ Creative Branding Solutions & Branding on Amazon

❏ Trends & Predictions for 2018

❏ Live Q&A


Amazon’s Advertising Landscape In 2017

What Were Some Notable Changes For Amazon Sellers In 2017?


HSAs available in Seller Central Discontinuing right rail SP Ads

What Were Some Notable Changes For Amazon Sellers In 2017?


Amazon’s expanded advertising on Google PLAs

Continued Focus on Servicing Marketplace Sellers...

What Are Some Trends We’ve Seen From Amazon Specifically?


… Which Now Represents ⅓ of Amazon’s Revenue!

Amazon Has The Largest Ad Spend Of The Big Online Retailers


Amazon Mainly Advertises Their Own Products, Not Their Partners’


Amazon’s Overall Growth,Expansions, & Successes

What Are Some 2017 Amazon Successes?


➢ Prime Day 2017 sales surpassed 2016 Black Friday and Cyber Monday.

➢ Prime Day grew more than 60% YoY

60%Prime Day 2017

Prime Day 2016

Source: https://www.retaildive.com/news/amazon-devoured-55-of-black-friday-online-orders/511719/

12.5mtransactions on

Thanksgiving

Everyone else

Amazon

13mtransactions on

Black Friday

Everyone else

Amazon

➢ Amazon accounted for 55% of transactions on

Black Friday 2017

➢ Amazon accounted for 45% of orders on

Thanksgiving

Marketplace Growth


What makes leading marketplaces grow is the ability to offer additional services which both incentivize new sellers to join, and help existing ones to scale.

❏ Advertising❏ Fulfillment❏ Lending❏ Third-Party Services

Ecosystem

Amazon Purchases Whole Foods To Expand In Fresh


Walmart Challenges Amazon On Price


Using Market Track eCom pricing data, we tracked the daily average price of an online basket of

21 popular gifting items across four retailers – Amazon, Target, Walmart and Best Buy – to see if

Amazon is consistently the lowest priced option in the market. While Amazon typically wins on

price, Walmart is the only retailer that is consistently competitive.

Creative Branding Solutions & Branding On Amazon

How Has Amazon Supported Brands?


Source: https://www.operationroi.com/2017/06/amazon/a-plus-detail-pages-vs-enhanced-brand-content

Enhanced Brand Content & A+ Content

➢ Amazon claims using A+ content increases sales 3-10%

How Has Amazon Supported Brands?


Brand Registry 2.0 New Amazon Stores

New Amazon Store Example


Source: Amazon Marketing Services

What Changes Are We Seeing For Sellers?


Private Label

Seller goals and expectations are changing as the landscape changes

Online Arbitrage

Retail Arbitrage

But, does success in OA and RA imply success in PL?

Approach Amazon Categories With Caution


Echo Changing The Need For Strong Branding


Trends & Predictions For 2018

What Are Some Predictions We Foresee For 2018?


➢ Growing importance of Mobile

➢ More parity between 3P sellers & vendors

➢ Increased competition in advertisement

➢ Continued enhancement of advertisement capabilities

➢ Amazon owning the last mile of logistics

Prediction For 2018: Pharma


Questions?


Pat PetrielloHead of Marketplace Strategy

Allyson DietzSVP, Solutions

Kevin WeeksSr. Director of Business Dev &

Partnerships