I never thought that the competition in the cross-border e-commerce circuit would accelerate so quickly in 2021.
As penetration in mainstream markets accelerates, the big players are taking the high ground and planting their "battle flags", and the battle for the blue ocean in emerging markets is beginning to open up, with the winner unknown.
Between platforms, a war for survival is being fought.
The "black hole effect" is beginning to show, the platform competition intensified.
With the convenience of online shopping, the platform has been "shouting" for a long time, but in terms of penetration has been slow. 2020 e-commerce platform development was pressed to accelerate the key to the fast pace of growth, originally needed 3 to 6 years of the development cycle was speeded up, a large number of physical enterprises will be transferred to the resources of the e-commerce platform. eMarketer data shows that the overall GMV of non-Amazon platforms in the US grew by 44.3%.
What can be noted is that the Top 10 e-commerce platforms with big growth rates such as Target, Kroger, Best Buy, and Costco, after more than doubling their sales in 2020, have all seen their growth rates slip this year, with some not even matching their 2019 levels . So I'm afraid it is these offline retail chains that will benefit most from the growth of the US e-commerce market.
With the high drop-off, competition from e-commerce platforms will only intensify. If the "black hole effect" of the giants was not evident in the past, Amazon's position as king is becoming more secure, and a large number of resources are gathered at the head. If you don't want to be swallowed up by its "black hole effect", non-Amazon platforms must step up their game and get bigger and stronger.
The competition between platforms is all about proximity, size, and sophistication. Just like a "black hole" that is too far away to be effective, attracting consumers to buy requires proximity to consumers and the use of distribution outlets to improve delivery times, something that traditional offline retailers such as Target and Best Buy have an advantage over over in.
【Source text: by report】