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The value of your brand is directly linked to its success on Amazon

“The value of your brand is directly linked to its success on Amazon.” It’s a bold statement, but we wholeheartedly believe it. You’ll see us expand upon this thesis over the next few weeks, but before we dive too deep into the endless ways you can tap into the potential Amazon holds for businesses, it’s important to establish its relevance.

While most brands on the world’s largest marketplace would probably agree with our assertion, household names not on Amazon, like Nike, Birkenstock, and Patagonia, might argue with you. Moreover, according to a 2020 Feedvisor survey of 1,000 companies, only 55% of them were selling on Amazon. These means both large and small brands aren’t executing on a potential business altering platform.

For these organizations, we prefer to let the numbers do the talking as they make a compelling case.

Top 10 US Companies Ranked by Retail eCommerce Sales Share, 2020

% of US retail eCommerce sales

Note: represents the gross value of products or services sold (browser or app), regardless oof the method of payment or fulfillment; exlcudes travel and event tickets. Source: eMarketer Feb 2020

The fact that Amazon accounts for about 40% of ecommerce sales is daunting, especially in comparison to other ecommerce sites. The next closest marketplace competitor, Walmart, hovers around 5%, which means that Amazon is running away with market share.


Amazon sees over 200,000 searches every day from consumers whose purchase intent has never been higher. With this incredible amount of potential, it’s impossible to ignore the impact Amazon can have on brands looking to expand their revenue streams. But not every brand ties value strictly to money, and for companies with this mindset, Amazon is still incredibly relevant.

New customer acquisition and increased brand awareness are significant benefits to having a presence on the world’s largest marketplace. According to the previously mentioned Feedvisor survey of 1,000 companies, 62% of brands are indeed motivated by Amazon’s ability to drive sales, but 60% use it to find new customers, and 58% utilize the platform to expand their branding efforts. In this same study, brands on Amazon were asked to pinpoint the best aspect of selling on the platform. The two highest rated responses were “acquiring new customers (96%)” and “increased sales (96%).”

Other Ways to Define Value

Success comes in many different forms, and your strategy on Amazon will differ depending on how you define it. We’ve proven the growth we initiate for our brand partners continues to drive value long after our engagement.

Here are some examples of success from brands we work with:

  • Supporting Mission-Driven Businesses: Looking to accomplish your brand's mission of providing a day of school for kids in Nepal? Amazon can help by illustrating your objective to an audience that might never see it otherwise.

  • Increasing New to Brand Customers: Attempting to increase customer acquisition to provide quality hunting and tactical gear to the masses? Amazon provides a platform to find completely new audiences.

  • Developing Brand Loyalty: Trying to gain more market share over your competitors to help athletes discover a better trail running shoe? Amazon has strategies you can employ to convert customers to your brand.

Embracing the Marketplace Trend

The value of your brand is directly linked to Amazon because more consumers are flocking to marketplaces to do their online shopping. Your competitors are likely taking notice of this trend, too. According to Feedvisor, 54% of companies view marketplaces as the greatest source of opportunity right now, and out of the top 10 performing ecommerce platforms shown in the figure above, only one of them is a brand site. The rest are marketplaces.

If marketplaces are the future, and Amazon has a corner on the market, then we can confidently say the value of your brand is directly linked to its success on Amazon. Are you ready to find out for yourself? Reach out to us for a free audit of your category on Amazon.



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