How Amazon Sales Differ in Europe

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Any market has its own characteristics that concern not only demand or consumer mentality, but also economic and political aspects of doing business. How does the Amazon Europe direction differ in this context? Let's figure it out.

How Amazon Business Works in Europe
The first thing that is important to understand when analyzing the market is the company's share of total sales. In the US, Amazon is the largest player, covering about 50% of online purchases. In the EU, this figure is significantly lower. However, the platform increases its influence every year, actively developing a network of fulfillment warehouses and lockers.

The main difference from a business building perspective is local legal requirements on page seo service  and trade rules. For example, Europe has stricter consumer protection rules than the US.




Moreover, you will not be able to build a business on Amazon in Europe if you are an individual. This is due to the need to pay VAT (analogous to our VAT).

Secondly, the differences concern the demand for certain products and categories. For example, in the US, household goods are popular, while in Europe there is a high demand for fashion and cosmetics.

Thirdly, the differences are related to competition in the market. As mentioned above, Amazon has a higher market share in the US than in Europe, which can affect the terms of sale and competition between sellers. However, this is rather a huge plus.

Where is Amazon in Europe
The company's main marketing gimmick, for which it is loved by millions of customers around the world, is fast delivery via a paid subscription (maximum 2 days). Moreover, it is Amazon Prime that provides the largest share of the marketplace's income. Therefore, it is Amazon warehouses that are the fundamental factor in the corporation's success in the new market.
Currently, Amazon is represented in 13 European countries, 10 of which are members of the European Union.

Prospects for Building an Amazon Business in the EU
As the largest trading platform in America, Amazon wants to achieve a similar status beyond its borders (and has all the power and capabilities to do so). Accordingly, entering the European market is a huge prospect for the entrepreneur for the future.

It is obvious that it is simply impossible to capture 100% of the US market, so sooner or later the corporation will reach its peak development and start focusing on other countries. Thus, successful sellers who have "got their hands on it" and have gained recognition from buyers will find themselves in the most advantageous position at that moment.

In addition, let's not forget about the relatively low competition, which makes it much easier to find products suitable for sale.

Also among the prospects, one can note "personal motives". Many countries issue a residence permit when opening a company, so for some entrepreneurs, entering the "Amazon Europe" niche is not only a way to build a business, but also an opportunity to legalize themselves.

Disadvantages and features
If you seriously ask yourself the question of how to sell on Amazon Europe, you will very quickly come to the following conclusions:

1. From the standpoint of business activities - everything is similar. Search for goods/purchase/shipment to FBA warehouses.

2. From the point of view of marketing and promotion, everything is much more complicated. In the EU, each country has its own peculiarities, language, product requirements, and so on. Although the market as a whole is large, it is still fragmented, and different advertising campaigns need to be made for each country.

That is, we conclude that only the brand promotion model differs the most.