Nineteen percent of Amazon merchants grossed more than $1 million in sales, up from 10 percent last year.

This year, 19 percent of Amazon merchants brought in more than $1 million in sales, according to a new survey by Feedvisor, an e-commerce company that helps merchants price goods on Amazon and other online marketplaces. That’s up from 10 percent in 2017.

Three percent made more than $10 million, up from 1 percent last year. That means more merchants are becoming high-volume sellers on Amazon.

Amazon sellers’ annual gross sales

The growth of its third-party merchants is good news for Amazon, too. Amazon itself brought in $9.3 billion in revenue from them in Q1 — from commissions, fulfillment and shipping fees, and other third-party seller services — up from $6.4 billion in the same quarter last year.

These merchants also play another important role: They supply Amazon with an almost limitless assortment of goods that make it the everything store — more than 100 million items in the U.S. are now eligible for two-day shipping under Amazon Prime. And more than half of all items sold on Amazon last quarter came from third-party businesses.

Dani Nadel, CMO and general manager of Feedvisor, said, “With Amazon expected to continue its relentless growth, it is important for third-party sellers to keep their finger on the eCommerce leader’s pulse. However, it is even more important for them to understand the habits and priorities of the other sellers that they cohabitate with on Amazon’s marketplace. This will grant sellers visibility into their performance, identify where they have room for development and improvement, and uncover tools and practices that other sellers are utilizing in order to operate and perform at scale.”

Source: RecodePYMNTS

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