OK, OK, it’s not that dramatic.
But two trends could pose a challenge to online merchants. And they’re coming from the very places brands and customers currently trust the most – marketplaces and influencers.
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50/50 split
Six years ago, Amazon was taking 35% of each sale. It’s been increasing that cut every year since.
And now Amazon has raised its cut to 50% in a bid to tackle rising costs and slower growth.
The fee includes sales, storage, packing, and delivery fees. And it’s cutting into margins and making it difficult for smaller businesses to turn a profit.
Don’t buy that
Meanwhile, the harmony of brands and influencers seems to be getting disrupted by the rise of anti-influencers – creators that tell users which products not to buy.
Yep, “deinfluencers” are making viral videos about trendy products that aren’t worth the money, recommending products to cut from your traveling budget, etc.
If you’re selling a non-essential product, you could get deinfluenced. Just like that.
Why we care
Between Amazon squeezing out every dollar and creators discouraging sales, it looks like another tough year is in store for online merchants.
But don’t panic. If fees are cutting into your margins, you can test alternative markets and channels, or drive traffic to your own store instead of relying on third-party marketplaces.
And if you’re worried about getting “deinfluenced,” try aligning your brand with micro-influencers who can help you promote the strengths of your product.
The right influencer endorsement can still be powerful—especially if that influencer is trusted for their honesty.