With sales exceeding $30 billion this year, Amazon is smashing the competition in the UK e-commerce market. Ebay, the only company close to Amazon's turnover at all, has just a 9.8% market share. The supermarket leaders Sainsbury's, Tesco and Asda, owned by Walmart, followed with 4.6%, 4.5% and 3.9% respectively, reports internetretailing.net. Also in the top five was John Lewis, with 3.6% market share.
An E-commerce Edge
Edge by Ascential director, Nick Everitt, had the following to say: "UK retailers are under serious pressure to revolutionize their omnichannel experience in 2020. This is all the more crucial as pure-play online platforms such as Amazon and Ebay continue to expand and dominate in the UK market, driving third party operations that give greater control to brands selling on the platform but open up fierce competition and require care and attention from those selling in the marketplace. Finding the right balance between a sophisticated online offering and an engaging in-store presence is a key aspect to sustaining success. However, it’s important that retailers focus on their entire offering across the supply chain in order to meet the needs of consumers, whilst preparing in advance for impending challenges like Brexit along the way."
These big e-commerce players certainly have a stranglehold on the e-commerce market globally, which makes it very difficult for smaller online shops. Brexit is also causing a lot of fear and confusion. Will Amazon's market share shrink after the United Kingdom leaves the European Union, or will smaller players just be left out in the cold when their customs prices go up?