Amazon is a symbol of innovation and power that shapes the world of e-commerce and influences the global economy. With ever-increasing ambitions and innovations, it still keeps its rivals far behind. Its influence and position in the market are undisputed. How is Amazon in the Czech Republic? What myths about Amazon are circulating among us?
From a garage bookstore in Washington, Amazon has become a leading global marketplace. In the world of e-commerce, it is the undisputed leader and the preferred platform for more than 400 million customers. It is simply the place where people search for and buy what they need. With an exceptionally wide range of products and services, reliable shipping and a user-friendly environment, Amazon offers its customers a unique shopping experience.
“Amazon is huge and people are used to buying practically anything there. You can see it in the variety of orders. On Amazon, you can sell a license plate holder or an air filter, as well as a helmet or motorcycle gloves”, says Mirek Severa from A Spirit.
Amazon does not only focus its operations in the USA, where every third order is from this platform, but it is gradually conquering the European continent. In the EU, every tenth online order belongs to this giant.
- Amazon has a local platform in the Czech Republic
The giant has expanded to many European countries and directly offered its localized platform there. However, Amazon has not yet expanded to the Czech Republic and is probably not going to in the near future.
Recent data from Czechcruch shows that Amazon would be the 15th largest e-shop in the Czech Republic. This is an extreme estimate. The number of Czech customers, in total from various Amazon domains, is such that it would be enough for one of the TOP Czech e-shops.
In the Czech Republic, we currently have a translated version of the German Amazon. It is not yet possible to target Czech customers directly through Amazon. The Czech market currently remains without direct access to a localized platform. This means that sellers and customers in the Czech Republic do not have the opportunity to use specific functions, services and benefits that would be provided thanks to the local version of Amazon. These include primarily some Amazon Prime services. This deficiency may affect the business strategies and options of sellers who are trying to reach the Czech market.
It is interesting that even though Amazon does not have a local platform in the Czech Republic, it is successful in gaining Czech customers in some areas. One of these areas is the provision of cloud services through AWS (Amazon Web Services). AWS holds up to a third of the Czech market for cloud services and is gaining the trust of companies and organizations that use its infrastructure.
Another example is Prime Video, Amazon’s streaming platform, which offers a wide selection of movies, series, and original content. Prime Video has already gained tens of thousands of subscribers in the Czech Republic, which is evidence of the growing popularity of this service.
Twitch is also one of Amazon’s best-known platforms in the Czech Republic. It is especially popular in the area of streaming games and other content. Twitch has gained a large user base and is becoming an important part of the online community.
“Although Amazon does not have its full version in the Czech Republic, its presence in various areas and gaining awareness among customers indicates that it is an important player on the global stage and its influence is gradually penetrating the Czech environment,” explains David Cikánek, Head of Sales at EXPANDO.
- Sending goods to Amazon warehouses as a necessary step to success
If you decide to sell on Amazon, you do not necessarily have to send your goods to its warehouses. There are various types of transport that you can use according to your preferences and business strategies. Each of the shipping methods below has its pros and cons. It is important to carefully consider which model best suits your needs and goals when selling on Amazon.
FBA (Fulfillment by Amazon) is a shipping model where the seller stores their goods in Amazon warehouses. Amazon then takes care of packaging, shipping and customer service. The advantage is that FBA offers fast shipping and the benefits of the Amazon Prime program, which can be very attractive to your customers. On the other hand, you have to pay fees for storage and handling of products. This method is especially suitable for sellers who prefer that Amazon take over the complete care of the storage and logistics of their products. FBA shipping is mostly used by sellers of their own brands.
“The Amazon FBA service is beneficial for us mainly because it brings us closer to customers – given the parameters it offers,” says Michal Press, CMO Skinners.
FBM (Fulfillment by Merchant) is a model in which the seller provides packaging, shipping and customer service. This method gives sellers more control over the process, and also allows them to maintain lower storage costs. However, sellers must manage logistics and ensure sufficient availability of goods.
“FBA shipping is especially suitable for sellers who have their own brand. It is much more beneficial from a marketing point of view. On the other hand, we recommend FBM more for resellers of goods, who no longer have to deal with the visibility given by
