Amazon’s business-to-business (B2B) ecommerce marketplace, Amazon Business, recorded over $10 billion in annualized sales as of September 2018 and is estimated to bring in $52 billion in sales and $31 billion in revenue in 2023, according to RBC Capital Markets. This represents a steep increase for the segment, which offers a marketplace for firms along with other business-focused products and tools. B2B ecommerce is estimated to have reached over $1 trillion in the US in 2018, while B2C ecommerce sales only amounted to $524 billion last year. There are several reasons why Amazon Business might succeed in the B2B ecommerce market in the near future – it is estimated to be growing faster than other key Amazon segments. RBC estimates that Amazon Business’ compound annual growth rate (CAGR) over the last 3 years was 115%, which is far faster than Amazon’s retail business’ performance of 28% and Amazon Web Services’ 48% improvement over the same period.
Become a member
Join the Ecommerce Forum South Africa and benefit from industry insights in South Africa and Africa.
Sign up to newsletter
Sign up to our newsletter and stay informed of the progress we are making at the Ecommerce Forum South Africa with government during Coronavirus.