AmazonBasics leads Amazon’s private brand sales, with over $400M YTD in estimated sales or 85% of total Amazon private brands sales in the US, according to a new report by eCommerce analytics firm One Click Retail. Due to a strong performance of both Pinzon and AmazonBasics, Amazon’s Home product group, which achieved over $80M in estimated sales predicted in 2017, has surpassed its Electronics product group, estimated at less than $70M.
“This year, Amazon’s private brands showed enough success stories to guarantee that Amazon won’t be backing off anytime soon,” said Spencer Millerberg, CEO at One Click Retail. “This is a wake-up call for brands selling on Amazon – it’s truly time to pay attention.”
Amazon’s private brands have seen record growth in 2017 across several product groups. Findings from One Click Retail reveal the Amazon Elements line of baby wipes continues to be a huge success, nearly doubling its 2016 estimated sales with a growth of 94% YoY. The estimated >$15M sold in 2017 in baby wipes alone makes up the vast majority of the Amazon Elements brands, supplemented by just over $1M in estimated sales of Vitamins and Supplements.
Already with an estimated $10M in sales since launch and with an average weekly growth of 9%, Amazon’s release of Whole Foods’ 365 Everyday Value brand on the platform will continue to have a major impact in 2018. It has consistently sold as the #2 private brand – behind only AmazonBasics – and currently ranks as the #4 top-selling private brand YTD despite only being available for just over three months. Amazon’s other private brands in the grocery product group, such as Happy Belly and Wickedly Prime, have suffered because of this success.
Since late September, Amazon has launched several new private brands:
Rivet: Consumer rugs and living room furniture
Stone & Beam: Premium rugs, sofas, lamps and fixtures
Goodsport, Peak Velocity, and Rebel Canyon: Activewear and sports apparel.
Both of the furniture brands have had a strong start, growing steadily over the course of October and November and reaching an estimated combined sales of $300K. Whether this momentum can carry these brands successfully into the new year is yet to be determined.
“2017 was Amazon’s most successful year yet, both as a platform and as a manufacturer, and an eye-opening year for brands,” said Millerberg. “What’s more, Amazon knows how to transform a temporary setback into a future success, as shown by the recent successful relaunch of the Mama Bear brand. So, when we look at underperforming private brands, we can expect Amazon to start changing their strategy.”
To view the full report, visit: http://oneclickretail.com/amazon-private-brands-year-end-review/