Name your favorite family rivalry; Hatfield’s vs McCoy’s, North vs South Korea, Cane vs Abel, Serena vs Venus. Most end poorly but Amazon’s famous Vendor (aka 1P) vs Merchant (aka 3P) divisional competition is one of the core reasons for their amazing online success. That rivalry has taken a major pivot this month and if your brand isn’t on top of it, you stand to lose out.
Over 10,000 accounts that had been selling to Amazon suddenly saw their PO’s dry up this month. Many then received an email from the 1P team told them they may not buy from them anymore and recommend they consider selling on the 3P side! Was this a secret coupe? A digital détente?
Many were left scratching their heads as to what was going on. We’re not.