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Consumer brands and socially conscious TikTok teens have the same open secret: When push comes to shove, they can’t avoid Amazon. 78% of retail businesses now sell on Amazon, an increase from 55% in 2020, according to a recent Feedvisor and Zogby Analytics study of 1,000+ brands.
Sold on advertising: Brands swarmed Amazon's advertising platform during the pandemic. Of the brands surveyed...
- 88% use Amazon Advertising, a 21% bump from last year.
- 59% of brands that advertise said they spend more than $60,000/month, up from 38% in 2020.
The shift’s driving results: 90% of ad buyers experienced at least a 4x return.
It’s not just Amazon. More than half (53%) of brands consider online marketplaces the best sales channels. That figure was just 43% in 2020.
- 57% of brands on Amazon also employ other e-comm platforms—like Walmart, where 48% of respondents spend at least $60,000 on ads.
- Others are still playing catch-up: 27% and 21% of those surveyed say they’re open to using Google Shopping and Kroger, respectively.
The takeaway: Despite all those WSJ and DOJ investigations, Amazon’s still the first place brands are selling to scale online. That’s in line with consumer habits: More than half of adults start with Amazon when making an online purchase, per ChannelAdvisor data cited by eMarketer.