Amazon 1Q Results; In-Garage Delivery Expands; Sales in Canada Decline
Outside of its physical stores segment, which is driven by Whole Foods, Amazon delivered steady to accelerating growth rates in all of its business segments, with both N. America and International markets performing well. These results are even more impressive considering 4Q20 benefited from Prime Day falling in the quarter,…
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Subscribe & Save; Amazon Launches New Beta; Amazon Sales Trends
Amazon Subscribe & Save - Vendor-Funded Manufacturer Coupons:Our recent Amazon Supplier Benchmark indicated that over 80% of companies using Subscribe & Save (S&S) have run vendor-funded manufacturer coupons on their S&S items, a relatively new offering from Amazon in N. America that is designed to drive S&S penetration. While adoption…
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Lowe’s Mimicking Store Structure; Bezos is Gone at Amazon; Millennials Still Love to Shop Online
Our work suggests Lowe’s is working to rearrange its organizational structure to more closely match other big box retailers like Walmart, Target, and Home Depot. Contrary to in the past, online and brick & mortar merchants seem to be aligned on goals versus in competition against each other. These types…
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Boomers and Online Grocery; Amazon’s New Private Label Brand; Prime Members’ Flexible Fulfillment
Our generational consumer study shows COVID-19 drove online grocery adoption for all generations, but most notably for Boomers as 58% of these shoppers reported that they started to shop for groceries online sometime between March and December of 2020 (compared to 55% for Gen Z, 44% for Gen X, and…
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Ocean & Air Costs; B&M Amazon Stores; Online Retailor Survey
Our research indicates shippers should prepare for ocean and air freight costs to be 100% above pre-COVID levels through 2022 as strong demand (ocean) and capacity scarcity (air) persists. The most notable changes over the past 60 days is the stronger-than-expected demand outlooks (inventory orders) for online retailors and higher-than-expected…
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Latest Consumer Insights; Chewy’s 4Q Results; 1Q Amazon Sales Growth
In our recent consumer study comparing seven key online retailers for general merchandise, the majority of consumers reported plans to use the sites for a similar amount of purchases a year from now, with a net 33% expecting to use them for more purchases. Saving time and convenience were the…
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Online Grocery Convenience; Amazon Apparel; Retail Memberships
Based on our recent survey, convenience and saving time were the top two reasons cited by consumers for why they buy groceries online, which aligns with the results of our 2020 survey as well. These are characteristics that should be durable post-pandemic and largely follow why consumers like buying general…
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Amazon Order Variability; Amazon Fresh UK; Online Grocery Growth
Despite positive reception to online grocery growth, businesses are frustrated with Amazon’s algorithmic ordering patterns because of demand planning and inventory management. 79% of brands report inaccurate forecasting from Amazon and 95% reported week-to-week ordering variability. Due to this, 71% of manufacturers report that they reference Amazon’s forecasts in the demand…
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Strong Amazon Demand; Target’s Same-Day Delivery Services; Q4 Digital Sales
Our research suggests demand trends remain very strong 1Q to-date and brands and Amazon management alike expect elevated demand to continue for the near term at least. In many categories, Amazon appears to be ordering aggressively in 1Q as it works its way back to healthier in-stock levels. While in-stocks are…
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