Amid Amazon’s usual vigorous growth in the third quarter are some signs that the e-commerce giant is shifting its emphasis. The company boasted strong growth in all divisions, but, as usual, its AWS cloud services (and increasingly its ad revenue) carried the day. Much of Amazon’s growth is coming from those businesses, as well as services like digital book and music subscriptions. And yet more of its sales are coming from its marketplace. “It is evident that there is a divide in performance between the product and service sides of the business,” GlobalData Retail Managing Director Neil Saunders said in comments emailed to Retail Dive. “Service revenue, including Amazon Prime subscriptions, continues to rise at a healthy pace. However, product growth slipped to 17.3% from 28.8% last quarter. Some of this is down to the acquisition of Whole Foods partially annualizing out this quarter, but that is not the sole reason for the more modest outcome.”
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