Amazon both friend and foe to retailers
While Amazon has long been described as the traditional retail killer, competing retailers view the ecommerce giant as both a foe and a friend — the latter with a bit of concern.
One big reason, according to a new SLI Systems report, is the fact that many retailers (65 percent) are now relying on Amazon and its seller market to boost revenue.
What they worry about, according to a release on the report, is the fact Amazon may use their data as a competitive weapon.
In its second quarterly 2017 E-commerce Performance Indicators and Confidence Report, SLI Systems provides survey findings from 213 ecommerce professionals around the globe. The full report is available for download.
The report also notes that customer experience "remains king."
"This quarter SLI took a different look at the relationship between Amazon and online retailers. We asked those who sell via Amazon why they do so, as well as the extent to which they view Amazon as a competitive threat," explained Chris Brubaker, CMO, SLI Systems, in the release.
"While consumers were shopping Amazon Prime Day with glee, for merchants, the perks of leveraging the online giant come with some concern. Nearly 70 percent of the retailers we surveyed that sell on Amazon reported being somewhat or very worriedthat Amazon will use their sales data to compete with them, indicating they view Amazon as more of a 'frenemy.'"