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Global Ecommerce Weekly News: 3rd May 2022

By Kayla de Oliveira & Clea Boyd-Eedle / Global Ecommerce, Ecommerce Trends, Amazon

Get up to date with this week's ecommerce headlines from around the globe.

Amazon records first unprofitable quarter since 2015

  • Amazon’s costs have risen and sales have slowed, attributed to unusual challenges including a drop in online retail sales, the pandemic and the Ukraine war.

  • The company saw $3.8bn in losses this quarter, largely due to its shares in Rivian Automotive, which dropped by over 50%.

  • Amazon’s shares fell by 10% after falling short of Wall Street’s revenue predictions, and the company’s growth is expected to slow.

Read more on Retail Gazette

Amazon’s new feature, ‘Buy with Prime’, named a ‘double-edged sword’

  • New feature, ‘Buy with Prime’ will allow millions of Prime members to shop directly from a retailer’s website, still with the benefits of a Prime membership.

  • This has aided Amazon in their expansion plans, enabling the firm to target external sellers who are not currently using Amazon.

  • Analysts have warned that merchants could become overly reliant on ‘Buy with Prime’, especially if the cost for the service increases, which could potentially lead to an overreliance on Amazon’s services.

Read more on Charged Retail

India launching e-commerce network and breaking free from Amazon’s control

  • India is set to launch an open network for digital commerce (ONDC) this Friday that aims to level the playing field for smaller sellers and brands in the country.

  • This follows recent accusations of competition law violations by Amazon and Walmart’s Flipkart.

  • The online system will allow merchants and consumers to buy and sell more freely, taking some of the power away from the current dominating platforms, Amazon and Flipkart.

Read more on Internet Retailing

Australian marketplaces under scrutiny by the ACCC

  • The Australian Competition Consumer and Commission is watching four of the largest marketplaces in the region, Catch, Amazon Australia, Kogan, and eBay.

  • The investigation is looking into the algorithms being used that influence the purchasing behaviours of consumers.

  • These marketplaces hold a high level of involvement and control in transactions between sellers and consumers, and their increasing dominance may cause the ACCC to take legal action.

Read more on Internet Retailing

Flipkart to open up its supply chain arm, eKart, to other ecommerce companies

  • As Flipkart scales its logistics business, eKart will be offering warehousing and delivery solutions to other ecommerce platforms in the region.

  • Using their growing network of fulfilment centres and delivery hubs along with robotic and automated technologies, strategies and processes have become more efficient and externally scalable.

Read more on TechRadar

WPP enters the ecommerce market, launching new platform, Everymile

  • Advertising giant, WPP, has launched Everymile, a direct-to-consumer ecommerce platform in competition with The Hut Group and Shopify.

  • Everymile will act as a growth partner for clients, managing logistics and delivery and offering a fully managed service for brands.

Read more on Retail Systems

Snap adding new features to create augmented reality experiences

  • Snap is set to roll out additions on its Snapchat app, enabling brands selling on the app to offer augmented reality shopping experiences.

  • As the company attempts to grow its hardware business, they have also released a new flying camera, which can fly above the user, take photos and videos, and return to the palm of the hand.

Read more on Internet Retailing

The metaverse is merging the virtual and digital retail worlds

  • The next frontier of ecommerce is the metaverse, and has the potential to transform ecommerce, particularly for brands in the retail industry.

  • Younger shoppers with digital shopping habits are having an increasingly large impact on where the industry is going.

  • The metaverse offers consumers a place to connect to creators without a middleman, along with more control of their personal information and data.

Read more on TechRadar

More Resources
Germany Shopper Report 2022
Tmall Global Benchmarking Report 2022
Australian Ecommerce Benchmark Report March 2022
UK Shopper Report 2022