Good morning: Exits for Amazon sellers

MarTech’s daily brief features daily insights, news, tips, and essential bits of wisdom for today’s digital marketing leader. If you would like to read this before the rest of the internet does, sign up here to get it delivered to your inbox daily.

Good morning, Marketers, and nice exits are available for Amazon sellers

I’m an Amazon customer, of course. Who isn’t? So I’m familiar with Amazon marketplace sellers, the third-parties who sell through Amazon, and often through other platforms too. I’m even familiar with FBA sellers — fulfilled by Amazon — who rely on Amazon to pack and ship what they’ve sold.

Amazon, of course, makes money by “taxing” all these sales. Successful sellers make money by reaching Amazon’s large audience. What I hadn’t really been thinking about is another way Amazon sellers can make money. By selling out.

At the AMZ Innovate event in New York yesterday, I discovered that aggregators are a key part of this ecosystem. These are businesses that buy out Amazon sellers, or as aggregator Forum Brands puts it, offer “creative exit options for innovative e-commerce entrepreneurs.” And there are Amazon sellers who build their brand, sell it and repeat. It doesn’t surprise me that this happens, but I just didn’t know it was the rapidly growing space it appears to be.

Kim Davis

Editorial Director

What we’re reading: Is Facebook building a metaverse monopoly?

About The Author

Kim Davis

Kim Davis is the Editorial Director of MarTech. Born in London, but a New Yorker for over two decades, Kim started covering enterprise software ten years ago. His experience encompasses SaaS for the enterprise, digital- ad data-driven urban planning, and applications of SaaS, digital technology, and data in the marketing space. He first wrote about marketing technology as editor of Haymarket’s The Hub, a dedicated marketing tech website, which subsequently became a channel on the established direct marketing brand DMN. Kim joined DMN proper in 2016, as a senior editor, becoming Executive Editor, then Editor-in-Chief a position he held until January 2020. Prior to working in tech journalism, Kim was Associate Editor at a New York Times hyper-local news site, The Local: East Village, and has previously worked as an editor of an academic publication, and as a music journalist. He has written hundreds of New York restaurant reviews for a personal blog, and has been an occasional guest contributor to Eater.