SlideShare a Scribd company logo
the amazon effect
ON wholesalers
from threat to business advantage
THINKING OUTSIDE THE BOX
Amazon has completely changed the shopping experience and the expectations of the
customer with its extensive catalog, incredible shipping options, same-day delivery, and the
most competitive retail pricing on the market. Even with the threat of the “Amazon Effect” in the
industry, the majority of distributors remain fueled with optimism for the future.
According to a recent Modern Distribution Research Survey, 62% of distributors anticipate growth
this year, 30% are undecided, and only 3% are expectant to remain the same or decrease.
For the first time in history distributors are starting to look at Amazon differently, leverage its
success, and tap into the power of a multi-channel distribution strategy to expand their business.
916-943-4428 www.proteloinc.com
THE AMAZON ADVANTAGE:
Establishing a powerful ecommerce presence through third-party
sales is one of the most effective ways to grow a distribution
business. Interestingly enough, Amazon’s #1 marketplace
offers the most revenue boosting, profit-making B2B channel
opportunities with instant accessibility to millions of customers.
More and more businesses are leveraging Amazon’s infrastructure
by selling specific items, testing products, gaining visibility, and
directing millions of customers to targeted websites.
“Selling on Amazon has been huge for Yedi Houseware,” said Bobby
Djavaheri, Director of Sales & Development, Yedi Houseware.
“Since we began listing products on Amazon 12 years ago, our business
has skyrocketed and we now have 12 full-time employees and plan to
hire more this year. Amazon allows us to reach new customers across
the U.S. and even worldwide, which enabled our business to grow
126% just last year!” - 2019 Amazon press release
If your distribution business
isn’t selling on Amazon, then
you’re competing against them.
forrester research
Forrester research has forecasted that ecommerce will constitute 13.1%
of all US B2B sales, with an annual growth rate of 7.4% by 2021.
Since Amazon is growing expeditiously every year in traction, and becoming a one-stop shop
for 30+ million consumers, your customers might look to Amazon first when they need to order.
Customers shop on Amazon because of convenience, competitive pricing, and accessibility.
Distributors need to be thinking ahead, planning new business strategies and learning from
Amazon’s successes to make purchasing easy and stand out from the chaos of other brands.
916-943-4428 www.proteloinc.com
916-943-4428 www.proteloinc.com
Investing in the proper ERP software is crucial to building a successful business with Amazon
B2B sales channel or competing against them in the future. No matter how great your products
are, working with a reliable business management software like NetSuite to run your business is
vital.
Between changing market conditions, evolving competitors, and modern customer expectations,
businesses need an ERP system that can keep up and stay ahead of your biggest competitors.
learn more about netsuite
Protelo’s NetSuite Software experts are here to help.
916-943-4428 www.proteloinc.com
Contact Protelo’s NetSuite Team Today
Protelo implements business technology solutions and services that drive efficiency and solve the challenges
modern businesses face. Our team of technology experts have assisted hundreds of small, midmarket, and
enterprise companies across diverse industries and verticals in achieving their business goals.
Through tailored business software development, implementation, services and management, we have helped
our clients streamline business processes and the flow of critical information. From the planning stages to
managed services, Protelo is an end-to-end provider of business software expertise. Contact our team to learn
more about NetSuite today and recieve a free 14-day trial.

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The Amazon Effect on Wholesalers: From Threat to Business Advantage

  • 1. the amazon effect ON wholesalers from threat to business advantage
  • 2. THINKING OUTSIDE THE BOX Amazon has completely changed the shopping experience and the expectations of the customer with its extensive catalog, incredible shipping options, same-day delivery, and the most competitive retail pricing on the market. Even with the threat of the “Amazon Effect” in the industry, the majority of distributors remain fueled with optimism for the future. According to a recent Modern Distribution Research Survey, 62% of distributors anticipate growth this year, 30% are undecided, and only 3% are expectant to remain the same or decrease. For the first time in history distributors are starting to look at Amazon differently, leverage its success, and tap into the power of a multi-channel distribution strategy to expand their business. 916-943-4428 www.proteloinc.com
  • 3. THE AMAZON ADVANTAGE: Establishing a powerful ecommerce presence through third-party sales is one of the most effective ways to grow a distribution business. Interestingly enough, Amazon’s #1 marketplace offers the most revenue boosting, profit-making B2B channel opportunities with instant accessibility to millions of customers. More and more businesses are leveraging Amazon’s infrastructure by selling specific items, testing products, gaining visibility, and directing millions of customers to targeted websites. “Selling on Amazon has been huge for Yedi Houseware,” said Bobby Djavaheri, Director of Sales & Development, Yedi Houseware. “Since we began listing products on Amazon 12 years ago, our business has skyrocketed and we now have 12 full-time employees and plan to hire more this year. Amazon allows us to reach new customers across the U.S. and even worldwide, which enabled our business to grow 126% just last year!” - 2019 Amazon press release
  • 4. If your distribution business isn’t selling on Amazon, then you’re competing against them.
  • 5. forrester research Forrester research has forecasted that ecommerce will constitute 13.1% of all US B2B sales, with an annual growth rate of 7.4% by 2021. Since Amazon is growing expeditiously every year in traction, and becoming a one-stop shop for 30+ million consumers, your customers might look to Amazon first when they need to order. Customers shop on Amazon because of convenience, competitive pricing, and accessibility. Distributors need to be thinking ahead, planning new business strategies and learning from Amazon’s successes to make purchasing easy and stand out from the chaos of other brands. 916-943-4428 www.proteloinc.com
  • 6. 916-943-4428 www.proteloinc.com Investing in the proper ERP software is crucial to building a successful business with Amazon B2B sales channel or competing against them in the future. No matter how great your products are, working with a reliable business management software like NetSuite to run your business is vital. Between changing market conditions, evolving competitors, and modern customer expectations, businesses need an ERP system that can keep up and stay ahead of your biggest competitors.
  • 7. learn more about netsuite Protelo’s NetSuite Software experts are here to help. 916-943-4428 www.proteloinc.com Contact Protelo’s NetSuite Team Today Protelo implements business technology solutions and services that drive efficiency and solve the challenges modern businesses face. Our team of technology experts have assisted hundreds of small, midmarket, and enterprise companies across diverse industries and verticals in achieving their business goals. Through tailored business software development, implementation, services and management, we have helped our clients streamline business processes and the flow of critical information. From the planning stages to managed services, Protelo is an end-to-end provider of business software expertise. Contact our team to learn more about NetSuite today and recieve a free 14-day trial.