TJI Research Media Citations This Week

Here’s a roundup of selected TJI Research citations from across the media world for the week ending October 19, 2018:

TJI Amazon Briefing for October 18, 2018

This is the TJI Amazon Briefing for October 18, 2018.

Good evening! As we near the holiday hiring season, here’s the latest on everything going on at Amazon…

  • Retail, Marketplace, & Private Label
  • HR, Hiring, & Politics
  • Twitch, Video, & Streaming
  • Alexa & Amazon Devices
  • Logistics
  • AWS
  • Advertising
  • Health Care

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New Amazon Exclusive Home Decor Brand “Now House by Jonathan Adler” Launches

Amazon launched a new exclusive home decor brand with designer (and design company) Jonathan Adler yesterday. The companies are positioning the brand, called “Now House by Jonathan Adler,” as, “Fresh, fashionable, photogenic, and stylish AF,” and as “Amazon’s first exclusive designer collection for the home.”

Amazon and Jonathan Adler made a big PR push for the launch as well, with many pop culture, fashion, and design outlets covering the news. Reviews thus far are very positive.

There are 135 products in the lineup at launch, including a variety of home decor items like pillows and canvas art as well as furniture from sofas to side tables.

Amazon is expanding the breadth of its private label and exclusive brand offerings. Now House by Jonathan Adler reflects that the company wants to add lines that appeal to customers with different design sensibilities and budgets. We expect the company to announce additional new exclusive brands in the coming months that expand Amazon’s selection further.

Below: Now House by Jonathan Adler Terrazzo Globe Vase, Priced at $78.00

Amazon Launches Several AmazonBasics Private Label Gaming Accessories

Continuing its expansion in to private label electronics products, Amazon has launched several gaming accessories under its AmazonBasics brand.

The new items include:

Vine reviews are still coming in for most of these items, though the Pro Gaming Headset has no reviews as of yet. The Chat headset has some Vine reviews going back to the summer, but is still getting Vine reviews as of last week as well.

These new products mark Amazon’s biggest push into private label gaming accessories and hardware that we’ve seen to date.

Currently, searches for gaming headsets in Amazon’s US store put products by Logitech and Onikuma at the top of organic search results. Serain and SteelSeries headsets are the top sponsored products in our spot checks. Amazon also includes “Expert Recommendations” on gaming headset searches from BestReviews.

Amazon has launched a hundreds of private label electronics products and accessories under its AmazonBasics brand, from cords and cables to cases and covers.

Follow TJI as we continue to track Amazon’s private label efforts.

A Look at Amazon’s Growing Advertising Sales in India, China, and Across Asia

Amazon’s growing advertising business has raised a lot of eyebrows this year. The company said* it did about $2 billion in advertising revenue in the second quarter of 2018, and that number is generally expected to grow healthily as we approach the holiday season. Ad loads on Amazon search results pages appear very healthy, and Amazon has been attempting to make it easier for advertisers and agencies big and small to spend money on Amazon’s variety of advertising products by simplifying its advertising product branding.

We haven’t heard as much about Amazon’s advertising sales efforts in Asia, but we’re starting to. According to a report by India’s Factor Daily, Amazon ad sales in India are approaching $100 million (we assume this means annual run rate).

Online retailer Amazon has quietly built itself a high margin digital advertising business in India which is closing in on revenues of nearly $100 million, about 5% of money spent online by brands in India… “Amazon doesn’t have its own ad network and agencies don’t yet understand how to use advertising on an e-commerce platform,” said an Amazon executive who did not wish to be named as he is not authorised to speak to the press… Nearly 90% of Amazon’s advertising business in India currently comes from the programmatic and direct sales route.

Amazon is one of the most widely visited web services in India. According to Alexa.com (Amazon’s original and now lesser-known “Alexa” service, which tracks web traffic stats), Amazon.in is the fourth-biggest site in the country.

Ad loads on Amazon.in for popular queries are on par with those in the US. As one example, here are search results pages for “polo shirt” in India and the US, respectively (side note, Amazon private label brands are prominent in both search results as well):

Sponsored results for “polo shirt” on Amazon.in:

Sponsored results for “polo shirt” on Amazon.com:

Amazon continues to hire advertising support staff in Bangalore and Chennai, including those supporting advertisers in other parts of the world, such as Italy and China.

We’ve heard even less about Amazon’s advertising sales efforts in China, Japan, Singapore, and the rest of Asia. Anecdotally, ad loads for “polo 衫” on Amazon.cn show decent ad loads. But perhaps more telling of where Amazon hopes to go with its Chinese advertising efforts is Amazon’s current plans to ramp up its advertising sales staff in the country targeting Chinese advertisers.

Per Amazon.jobs, Amazon is hiring 18 advertising account executives and onboarding specialists out of its Shanghai and Shenzhen offices. These positions reflect the growing number of Chinese brands that Amazon is targeting to bring onto its platform – to reach customers both in China and around the world. Amazon is looking for people with, “Experience working with China-based brands.” As the listings state:

The Amazon Advertising team helps CN-based advertisers to reach Amazon customers globally: on Amazon, across our other owned and operated properties, on other high-quality destinations across the internet, and on millions of Kindles, tablets, and mobile devices.

In addition, Amazon’s onboarding specialsts are focused on helping Amazon’s self-serve/CPC advertising customers ramp up their efforts:

Sponsored Products and Sponsored Brands are cost-per-click (CPC) self-serve ad programs in the Amazon Advertising world. In support to the Amazon Advertising’s business, we at Ad Success Team (AST) are building a group of energetic and highly motivated Associate Onboarding Specialists. As an Associate Onboarding Specialist, you will be responsible to help equip them to identify the Advertising business opportunity, review their product listings, create advertising campaigns and help them adopt high value actions on their account to influence their success in advertising.

In Meguro, Amazon Japan is staffing up its ad sales efforts as well, including Head of Vertical Sales for Amazon Media Group, Manager of Campaign & Creative Management, and several Account Executives. Amazon is staffing Japanese advertising onboarding specialists out of Shanghai as well.

Meanwhile, Amazon is continuing to hire ad sales staff in the US (primarily in New York) and Europe (primarily in London, Paris, and Munich), managing accounts, self-serve advertisers, and continuing to build Amazon’s DSP operation.

* Notes on chart above and Amazon’s filings:

  • In 2017 filings, Amazon’s footnote on “Other” revenue said: “Includes sales not otherwise included above, such as certain advertising services and our co-branded credit card agreements.”
  • In 2018 filings, Amazon’s footnote on “Other” revenue said: “Primarily includes sales of advertising services, as well as sales related to our other service offerings.”
  • Starting in 2018, Amazon said it made an accounting methodology change that resulted in an increase in “Other” revenue of $560M in Q1 2018: “Service sales also increased by approximately $560 million due to the reclassification of certain advertising services that were previously classified as a reduction of cost of sales.”

Follow TJI as Amazon continues to evolve its advertising products and the way it works with advertisers and agencies around the world.

TJI Amazon Briefing for October 16, 2018

This is the TJI Amazon Briefing for October 16, 2018.

Good evening! As Sears declares bankruptcy and Amazon expands its physical retail footprint, here’s the latest on everything going on at Amazon.

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For professionals who are serious about tracking Amazon, we are proud to offer our in-depth Amazon briefing service… Learn More

New Amazon Exclusive Seasonal Clothing Brand “Celebrate 365” Launches

Of the few hundred Amazon private brands that have launched, only a couple have been focused on highly seasonal apparel. For example, Amazon’s Ugly Fair Isle private label brand is focused on Christmas and Hanukkah themed sweaters.

Now, a new Amazon Exclusive brand called Celebrate 365 has launched that is exclusively selling Halloween themed shirts. For example, this Skull Ice Cream T-Shirt is on sale for $19.99. None of the items have any customer reviews yet.

It’s to be determined if Celebrate 365 will create seasonal clothing throughout the year, but one might surmise so based on its name. (Thus far, Ugly Fair Isle has stuck to winter holiday themed items.)

Seasonal retailer Spirit Halloween is known for its practice of launching 1,000 Halloween themed retail stores each fall. The practice works well when real estate is more readily available. In a stronger economy, finding seasonal real estate can be more challenging.

Introducing the TJI Amazon Physical Retail Map

TJI Amazon Physical Retail Map – The Comprehensive Independent List of Amazon Physical Retail Locations
Now tracking 629 physical locations and venues.

Since 2015, when Amazon opened its first physical retail store (Amazon Books in Seattle’s University Village), Amazon has been growing its physical retail presence throughout North America. When Amazon acquired Whole Foods, it added hundreds of new locations. Now, Amazon operates over 600 physical retail venues, ranging from its Amazon Go automated food stores to its roving Amazon Treasure Trucks.

As Sears announces it is entering bankruptcy proceedings today,  Amazon continues to grow its physical retail footprint. But while Amazon has hundreds of physical retail locations, there’s no singular comprehensive reference for professionals and analysts to find all of Amazon’s physical retail locations in one place. That’s why we have created the TJI Amazon Physical Retail Map — the comprehensive independent list of Amazon physical retail locations.

Amazon Go (6)
Amazon 4-star (2)
Amazon Books (18)
Whole Foods Market (480)
Whole Foods 365 (10)
Allegro Coffee Roasters (7)
Amazon Treasure Truck (25)
Amazon Pop-Ups (67)
Amazon Smart Home Experience Pop-Ups (14)

From Amazon Go to Whole Foods 365 to Amazon Pop-Ups, and Everything in Between

The breadth of Amazon’s physical retail operations is increasing. The TJI Amazon Physical Retail Map tracks Amazon Go, Amazon 4-star, Amazon Books, Whole Foods, Whole Foods 365, Allegro Coffee Roasters, Amazon Treasure Truck, Amazon Pop-Ups, and Amazon Smart Home Experience Pop-Ups locations. As Amazon adds more, we’ll track them, too.

Dive In

Amazon continues to create new products and services regularly, and we expect the number is only going to grow.

TheTJI Amazon Physical Retail Map is a starting point for researchers and analysts to navigate Amazon’s physical retail portfolio.

For professionals serious about tracking Amazon’s products and services on an ongoing basis, subscribe to TJI Intel, which covers the latest developments across Amazon’s retail efforts.

TJI Research Media Citations This Week

Here’s a roundup of selected TJI Research citations from across the media world for the week ending October 12, 2018:

TJI Amazon Briefing for October 11, 2018

This is the TJI Amazon Briefing for October 11, 2018.

Good evening! As the fall weather sets in in the US and the festive season begins in India, here’s the latest on everything going on at Amazon.

Subscribe to Continue Reading

TJI is supported by subscriptions to TJI Intel. A subscription is only USD $149/month, or $995/year, for an individual subscriber.

   

For professionals who want to understand what Amazon is doing and where it is going, we are proud to offer our in-depth Amazon briefing service… Learn More