Making Third-Party Sellers More Attractive : the Case of Amazon

Faculty/Professorship: Operations Management and Logistics  
Author(s): Straubert, Christian  ; Sucky, Eric  ; Felch, Vanessa  ; Karl, David  ; Altewischer, Delia
Title of the compilation: Proceedings of the 56th Hawaii International Conference on System Sciences
ISSN: 2572-6862
Conference: 56. Hawaii International Conference on System Sciences, January 3-6, 2023, Maui, Hawaii
Publisher Information: Honolulu : University of Hawaiʻi
Year of publication: 2023
Pages: 3838-3847
ISBN: 978-0-9981331-6-4
Language(s): English
We provide an analysis of third-party sellers on Amazon’s online marketplace from a customer’s viewpoint. While Amazon as a retailer sometimes directly competes with third-party sellers, Amazon is also interested in making the Amazon marketplace attractive for third-party sellers and making third-party sellers attractive to customers. Based on a large-scale survey (n=772) of Amazon customers in the U.S., we examine how much they like to buy from the different seller types (Amazon itself, third-party sellers with/without the Prime logo, i.e., with/without Fulfillment by Amazon). Among other results, we can show that the Prime logo on the seller side combined with a Prime subscription on the customer side significantly increases trust in a third-party seller, ultimately increasing third-party sales on Amazon’s online marketplace. Furthermore, third-party sellers are implicitly incentivized to use the Fulfillment by Amazon service, which generates additional logistics service revenue for Amazon.
GND Keywords: Amazon Web Services; Bezugsquelle; Externe Beziehung; Business-to-Business-Marketing
Keywords: B2C e-commerce, third-party seller, online marketplace, Amazon
DDC Classification: 650 Management & public relations  
RVK Classification: QR 760   
Peer Reviewed: Ja
International Distribution: Ja
Open Access Journal: Ja
Type: Conferenceobject
Release Date: 27. January 2023