They were flat in the first three months of 2023. One of the things that really drives Amazon, obviously Blake, is selling things on its platform, online sales. Cost-cutting effort seemed to be paying off after taking the captain's chair in 2022, the CEO, Andy Jassy, has cut the Halo fitness division, froze real estate expansion, overhauled its delivery network in the US, and cut 10% of its workforce in the last year. ![]() You mentioned profitability and the focus there. And then when you look at US, the question that really begs to be answered is, how much larger than 37% market share will they be able to get? That's going to make international growth more difficult for e-commerce. ![]() So e-commerce, really how much bigger can it get, especially as Amazon really finds itself in this transition to a profitability over growth company, which is a drastic break from how they've previously operated. ![]() We don't have a number for worldwide, but other firms estimate that that's only second to Alibaba. And the numbers that I just cited, those are eMarketer numbers. It's got more than 11% of all worldwide e-commerce sales. The second largest there is Walmart, which is 6.4%. I mean, you have this a company that has more than 37% US e-commerce sales. But when we try to unpack what 9% means, I mean you have to look at, like you said, what the money that they're currently bringing in based on their existing market share. And that's sort of the difference between what we look at as industry analysts versus what investors expect as a company that is achieving consistent growth. It's the fourth straight quarter of making over $120 billion and it's double in Q1 this year. So pretty good.Ī second point to make is they still made $127 billion in those three months, January, February, and March. But it's two points higher, that 9% is two points higher than last Q1, which was seven. But it's used to kind of very, very, very strong double digit growth. The top line number, yeah, it's hard to look at 9% without any context because 9% growth is slow by Amazon's kind of pre-pandemic, kind of pandemic fueled historical standards. And obviously e-commerce is the main driver here, but some of those other units are growing quite quickly and getting quite sizable. They obviously have a bunch of different devices on top of that. I wonder how long we're going to be able to call them a retail company or a e-commerce company, because I typed that earlier and then deleted it because I was like, well ad business now, a cloud business as well. And I think we'll break down a couple of the components in terms of what's driving growth in this segment. I think when you look at Amazon, which is a rare beast with multiple different industries in which it dominates, where that balance is out and where the opportunities for growth are, and then trying to project it from a top line number, it can get very sticky. I think the big question around Amazon, certainly as far as investors are concerned is as a company that has such a dominant market share in so many industries, where is the ceiling? And that's the big question when we look at is 9% a good number or a bad number?Īnd I think what we saw during the earnings call is that that number beat some of the expectations, but a lot of the color that came out, particularly around AWS, lended some uncertainty for the future. What did you make of Amazon's top line 9% growth for Q1? Blake, let's start with the headline number. We're talking Amazon and their Q1 performance. How did that go for them? Then for another news we'll check in on Pinterest and find out how popular self-checkout is. In today's episode first in the lead we cover Amazon's January to March. Today's real topic, is Amazon about to hit the throttle again? I can't see five feet ahead of me without glasses on.īlake has 5/5 vision at best. It's very just disappointing as a couple of glasses wearing folks that 20 feet ahead of you is the average for normal. With correction about 75% of adults have 20/20 vision. J Kevin McKinney of the American Academy of Ophthalmology says that only about 35% of all adults have 20/20 vision or normal vision without glasses, contact lenses or eye surgery. 20/20 vision refers to normal vision in fact, not perfect vision. What does 20/20 vision actually mean? If you have 20/20 vision, you can see an object that is 20 feet away clearly. Today I'm joined by one of our senior analysts who covers retail and e-commerce based out of New York. Blake and listeners, welcome to The Behind the Numbers Daily, an eMarketer podcast made possible by InMobi.
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