Jeff Bezos seems to have opened a new gold mine

Jeff Bezos seems to have opened a new gold mine

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Jeffrey Bezos is on the right track – The B2B store will secure the growth of Amazon in the future. Looking for new sources of business growth, Jeff Bezos, who leads the giant Amazon online store , it seems to have found the right answer – and that is the Amazon Business B2B Trading Company.

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Bezos, originally named Amazon Supply, is growing rapidly in the B2B business-to-business market, while Amazon has risen its incredible success in B2C or “business-to-consumer”. , Amazon Business combines positive attributes on the consumer market, such as a wide choice and convenience of delivery, with products and benefits tailored to business, government organizations, and the education sector, said analyst Justin Post of Bank of America.

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There are many more obstacles to B2B trading, given the complex (and often offline) bidding processes, but Amazon Business is already getting on the move in this market, which will grow to $ 1.4 trillion in 2021, according to Bank of America, which is almost twice as large as the projected $ 821 billion B2C.

In essence, the market potential of Amazon Business is twice as big as the potential of Amazon’s largest e-commerce business, Jeff Bezos. Amazon Business has already had millions of business users, and over the past two years the gross volume of goods (expected gross sales extrapolated per year) has increased 10 times: from $ 1 billion in 2016 to $ 10 billion last year. Bank of America expects to reach $ 33.7 billion by 2023.

It is realistic to expect that by 2021, Amazon Business will occupy 10% of B2B markets in the US and 5% on the international B2B market. This means that the division will generate between $ 125 billion and $ 245 billion in value added for Amazon as a whole.

At the same time, the company overcomes some procurement difficulties with new features and delivery options for the same day, cost analysis, and integration with existing ordering applications. In the long run, B2B business appears to be an important growth driver for retail sales.

Jeff Bezos seems to have opened a new gold mine

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