Ecommerce Guide

Amazon Business Off To A Strong Start In The UK

Amazon Business, the free-to-use business supplies marketplace was first launched in the US, expanded to Germany in December 2016 and the UK in April this year. Since its launch in the UK, Bill Burkland, the head of Amazon Business in the UK has said that it has been a promising start.

“The US acquired over 400,000 businesses and a billion dollars in revenue for Amazon Business in its first year of business,” he said during an interview at the company’s London office, adding that there were 45,000 sellers on Amazon Business in the US by the end of the first year.

“You can think about Amazon Business being for business customers what Amazon.co.uk is for consumers,” Burkland continued. “It’s a marketplace where business customers can come and be confident that no matter that they’re looking for to operate their business, there’s a high probability they’ll be able to find it on Amazon.”

Amazon wants Amazon Business to be the go-to place for businesses to go for supplies such as power tools, office paper, toilet cleaner and computers, essentially anything that a business needs to operate. Over 100 million products are listed on the marketplace which can also be accessed by people outside of the USA, UK and Germany.

A customer in any EU country can go onto .co.uk, Amazon Business, and buy,” Burkland said. “Export is a big part of our business that is attractive for the seller community as well.”

The Difference Between Amazon Business And Amazon.co.uk

Some people have been somewhat confused as to how Amazon Business differs from Amazon.co.uk. Basically, it offers prices without VAT and includes reporting and analytics features that can help companies track and limit their spending. The entire product range from Amazon is available although there are some extra products on the Amazon Business platform. Unlike Amazon.co.uk through, Amazon Business offers one-day free shipping to customers when they spend over £30, with Amazon Prime members who set up a business account also being able to take advantage for free shipping.

On the size of the overall business market, Burkland said: “It’s a big market segment. So we have a long way to go. It’s one where we think business customers will find value. And it’s one that we’re investing in heavily.”

Surprisingly, Burkland said that it didn’t actually matter to Amazon whether businesses did their shopping through Amazon Business or Amazon.co.uk. “We’re agnostic,” he said. “We want to build a marketplace based upon customer feedback, reflects what customers want. If they choose to use that, great. If they choose to use Amazon consumer, that’s fine.”

The Future Of Amazon Business

Amazon hasn’t released any figures for the new Business platform but it is expected that figures will be released later in 2017. Buckland expects more promotion of the brand and said that they plan to sponsor some events in the near future.  Amazon Business is also being marketed through email display ads, but there’s no “Tube advertising or TV/radio yet,” he said. The future looks bright though, with Amazon Business being part of the 5,000-job commitment that Amazon has made to new jobs or new hires in the UK this year.

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Scott Bretton

Scott Bretton

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