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Export Sales by UK-based Businesses on Amazon Marketplace Set to Grow More than a Quarter in 2016 to Surpass £1.8 billion

23/11/2016

More than 60% of UK businesses selling on Marketplace are now exporting via Amazon

Hundreds of UK SMEs to get export  boost by participating in Black Friday deals on Amazon across Europe, Japan and  North America

Announcement coincides with the first Amazon Academy in the UK which will provide practical advice and support to help SMEs grow online and export to customers around the world

Luxembourg - 23 November 2016 - Amazon today announced that UK-based businesses selling on Amazon Marketplace are expected to achieve export sales of more than £1.8 billion in 2016, up 29% year-on-year. The announcement is being made at the first Amazon Academy in the UK, an event that provides hundreds of small and medium sized enterprises (SMEs) with practical ideas and support to help them boost online sales and exports to customers around the world.

At the Amazon Academy, the company is also revealing:

  • More than 60% of the tens of thousands of UK SMEs selling on Amazon Marketplace are now exporting to customers around the world
  • The number of UK-based Marketplace sellers exporting to European customers increased by more than 40% in the last year
  • Hundreds of UK SMEs are participating in Amazon Black Friday deals in other countries, exporting products to Europe, Japan and North America
  • 50% of items sold on Amazon's global sites come from Marketplace sellers
  • Independent research from Keystone Strategy has found that 74,000 people are employed by UK-based Marketplace sellers as a result of their business on Amazon

"The days of only being able to sell products to customers in one town, region or country are long gone," said Francois Saugier, Vice President of EU Seller Services. 'Today, businesses of all sizes can easily export their products to customers across Europe and the world, and we are seeing a significant increase in the number of UK businesses capitalising on this opportunity."

"Our aim is provide the tools and services that make it as easy for small businesses to sell abroad as it is in their home country," said Doug Gurr, UK Country Manager, Amazon. "Every day, we are seeing more UK businesses expanding their horizons by offering their products on a European or global basis, opening themselves up to tens of millions of additional potential customers at the click of a button."

International Trade Secretary Dr Liam Fox said: “E-marketplaces like Amazon are a great way for UK businesses to break onto overseas markets and grow their businesses, so this is a welcome boost to export sales. We want to help more small and medium sized organisations take their first step into exporting, and that’s why we’ve created a new GREAT.gov.uk exporting digital hub, linking in with tools and guidance from Amazon, to help them get best possible support and advice.”

New Tools and Services Help Increase SME Exports

Amazon has created a suite of support tools to help businesses export their products, including supporting them by managing currency exchange, local translations and providing global delivery and distribution. As a result, businesses of all sizes can sell globally across Amazon's eleven websites in seven languages to reach hundreds of millions of customers.

The record 2016 export sales follow the April launch of Pan-European Fulfilment by Amazon (FBA), a service where Amazon stores, picks, packs and delivers items to customers on behalf of Marketplace sellers, who in turn can sell across Europe while only paying the local fulfilment fee of the destination country. FBA services also help sellers to grow their business by making their products eligible for Amazon Prime, meaning they will have access to millions of Amazon's most loyal customers, along with Amazon's trusted and acclaimed customer service.

In the UK, the number of businesses taking advantage of FBA has increased by more than 70% in the last year. By being part of FBA, Marketplace sellers scale their business and boost sales abroad, while incurring lower costs than if they invested in their own warehousing and logistical solutions.

One significant UK exporter using Amazon Marketplace is The Light Factory, a Manchester-based SME that sells a range of light fixtures and therapy lamps.

"We export more than 3,500 different products to customers around the world on Amazon Marketplace - one of our biggest sellers are therapy lamps which mimic natural sunlight to help combat Seasonal Affective Disorder," said David Gutfreud, Founder, The Light Factory. "We employ more than 80 full-time staff as we continue to grow our sales across Europe and beyond, achieving millions of pounds in export sales in the last year alone."

Another is London-based iQualTech, who began selling its own range of consumer electronics on Amazon Marketplace in 2014.

"Over the last year we have significantly increased our export sales across Europe through Amazon Marketplace, with thousands of customers discovering our range of high-quality, affordable Bluetooth speakers," said Zamir Cajee, Managing Director, iQualTech. "We are looking to build on this success over the coming months by reaching new customers across the US and Japan, as well as tapping into crucial new countries such as India and China."

Read more about Sellers that are building successful businesses on Amazon Marketplace.  Businesses interested in selling on Amazon can visit http://services.amazon.com.

-Ends-

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This release contains forward-looking statements, which are inherently difficult to predict. Actual results could differ materially for a variety of reasons, including, in addition to the factors discussed above, the amount that Amazon.com invests in new business opportunities and the timing of those investments, the mix of products and services sold to customers, the mix of net sales derived from products as compared with services, the extent to which we owe income taxes, competition, management of growth, potential fluctuations in operating results, international growth and expansion, the outcomes of legal proceedings and claims, fulfillment, sortation, delivery, and data center optimization, risks of inventory management, seasonality, the degree to which the Company enters into, maintains, and develops commercial agreements, acquisitions and strategic transactions, payments risks, and risks of fulfillment throughput and productivity. Other risks and uncertainties include, among others, risks related to new products, services, and technologies, system interruptions, government regulation and taxation, and fraud. In addition, the current global economic climate amplifies many of these risks.

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