The Webretailer News Digest for January 13, 2023
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Here’s a statistic for you: 80% of consumers expect free shipping when ordering a certain dollar amount of products according to a 2021 report from Jungle Scout.
Today’s news is 896 words and takes 3 minutes and 35 seconds to read.
Buy with Prime available to all
Back in April, Amazon announced the launch of their Buy with Prime program that allows third-party sellers to add a Prime Badge to Prime FBA products on their shopping site.
And after months of trials with select sellers, Amazon made the announcement they’re removing the invitation-only status of the program on January 31st. Other interesting notes from the release included:
- Sellers will also be able to post Amazon reviews on their site.
- Buy with Prime participants increased shopper conversion by 25% on average.
Stirring the ecommerce pot
Since its launch, Buy with Prime has caused a stir for other ecommerce contenders.
Shopify
After Amazon launched Buy with Prime, multi-channel sellers also using Shopify were told to not put the badge on their sites. The release even warned that the button raises security risks and that Shopify would not protect fraudulent orders. But that was months after Shopify CEO Tobi Lutke indicated he would like to integrate the feature.
FedEx, UPS, USPS
According to CNBC, analysts are stating Buy with Prime is Amazon’s dig into the shipping industry, and the company aims to compete with UPS and FedEx. They’ve invested heavily in creating an internal logistics program, and it looks like this is the next step in cutting other carriers out as the middle person. We’ll have to wait and see what they’ll do to adjust as this program grows.
Why should ecommerce retailers care?
Any retailer using FBA now has the opportunity to put the Prime Badge on their site. Whether you’re a fan or not, the badge has marketing power and makes the statement, “This product will arrive tomorrow in a pristine state.” And so, the conversion statistics were no surprise.
If you’re eligible, sign up for this program as soon as it becomes available on January 31st. And if you’re looking to become eligible, you’ll need the best Amazon Seller Tools & Services.
Big Retailer News
DoorDash is relaying returns
January is a huge month for holiday season returns. And it looks like DoorDash is looking to boost their revenue on that fact. This week, the company announced they’re offering a Package Pickup service for customers who don’t want — or have time — to go to the Post Office.
What are the fees?
Nothing good in life is free. DoorDash is offering the service at $5 — $3 for DashPass members — to pick up up to five prepaid packages. Customers are responsible for placing a prepaid shipping label on the package.
Will it work?
It’s a new program, so we’ll have to wait and see. But it’ll probably hold steady as major carriers are going to need help in competing with the speed of Amazon’s delivery network.
Walmart won’t be outdone on the drone front
Our December 30 newsletter highlighted drones as one of the ecommerce trends to look for in 2023. At the end of the year, Amazon announced it would begin drone deliveries in two US cities.
Not to be outdone, Walmart recently released statistics on the status of their drone program. Sellers keen on where shipping trends should note the results:
- Walmart has 36 hubs with drone delivery.
- They completed over 6,000 drone deliveries in 2022.
- The deliveries arrived in 30 minutes or less upon order.
- 85% of items in the Neighborhood Market portfolio meet drone delivery weight requirements.
- Walmart has 4,700 stores where they can offer drone delivery at scale.
Needless to say, the business drone wars have begun.
Also in the News
- eBay’s Standard Envelope Shipping Option has new rates. eBay Seller Community.
- FedEx Freight Direct is now offering residential returns service for bulky items.. FedEx Freight Direct.
More Retailer News
FedEx is scaling back Sunday deliveries
According to a report from Bloomberg (subscription), FedEx is cutting back their Sunday delivery availability down to “more than 50%” of the US population. This cut is down from the July reduction from 90 to 85%. And it’s all because of the slowdown of ecommerce deliveries.
According to an internal memo, the company plans to scale things down by mid-March, and they’ll decide next month on which markets to cut.
For sellers
If you’re using FedEx as a shipping option, pay attention to the affected markets and adjust your site accordingly. This is where real-time carrier rate tools in top-tier shipping software can make a difference for your business.
Microsoft unveils Retail Advertising Network
In direct competition with Amazon and Google, Microsoft announced the launch of its Retail Advertising Network this week. The program works with their PromoteIQ retail media platform and is being piloted by large retailers like Kohls and Kroger.
What does the stack do?
With PromoteIQ retailers can streamline their ad buys across multiple channels on a singular retail media platform. According to Microsoft, “This is where the Microsoft Retail Advertising Network comes in, helping retailers unlock new budget from the broader array of Microsoft Advertising brands that also sell on a retailer’s site.”
For SMBs
The program is in ‘Pilot’ status for now with large retailers. But online SMBs should monitor a wider release. The program could help you save money on ad spend. And who knows? Microsoft may be able to integrate the system with OpenAI’s language models soon.
Also in the News
- BigCommerce continues its enterprise-level push with a new partner program. BigCommerce.
- Social Commerce platform Shopmatey launches globally. Yahoo!Finance.
Webinars
For everyone
Various dates: Amazon advertising’s global webinar program continues with 20+ webinars scheduled, covering Prime Day Preparation, Sponsored Products, Sponsored Brands, reporting, optimization, and other tips. Amazon.
For US sellers
January 19: Turning Shoppers into Customers: How to Retain Your New Customers Post-Holiday. Tinuiti.
For UK sellers
January 18: eBay 2023 Business Plan Webinar. ChannelX.
Various dates: Amazon advertising’s global webinar program continues with 20+ webinars scheduled, covering Prime Day Preparation, Sponsored Products, Sponsored Brands, reporting, optimization, and other tips. Amazon.
Thanks to Amazon for allowing third party sellers.
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