EL SEGUNDO, Calif. , Jan. 18, 2023 — Extensiv (formerly 3PL Central), which provides omnichannel software answers for warehouse, stock, and order control, announced a summary of key findings from its Q4 2023 Market Insights study. The insight shows a significant 65% year-over-year expansion in third-party reseller order volume on Amazon, while Shopify volume has increased to 19% and all other third-party marketplaces are holding steady.
Launched in 2020, the Extensiv Market Insights online page provides order volume trends for major vendors like Amazon, Shopify, and a consolidation of dozens of other smaller marketplaces. For Extensiv trend data, visit www. extensiv. com/market-insights.
Extensiv Market Insights monitors changes in order volume per merchant processed through leading vendors such as Amazon and Shopify to show:
– Year-over-year volume trends. Extensiv Market Insights provides a macro view of year-over-year order volume trends starting in 2020.
– Week-over-week volume trends. Extensiv Market Insights also shows adjustments in order volumes from one week to the next. This makes it possible to compare its own effects with seasonal adjustments in the broader e-commerce landscape.
January 2024 In-Depth Market Highlights:
– Amazon dominates Black Friday: Detailed data shows that Amazon saw a 111% year-over-year increase in order volume for Thanksgiving/Black Friday, compared to a 16% increase for Shopify and a 3% increase for everyone else. Week-over-week increases for Thanksgiving and Black Friday showed increases of 34% for Amazon, 65% for Shopify, and 31% for all other marketplaces. Amazon said grocery shopping from Nov. 17-27 was the busiest yet. , and consumers buy more than a billion items, adding up to more than 500 million from independent sellers.
– Amazon booming, others suffering Cyber Week: During the week after Thanksgiving (also known as Cyber Week, November 26 to December 2, 2023), year-over-year order volume increased by as much as 63% for Amazon and 11% for Shopify. However, it was down 3% for other markets. Weekly data showed an 18% increase in order volume for Amazon, but a 26% cut for Shopify and a 2% cut for other marketplaces.
– Third-party distributors drive Amazon: Deep insights show a 34% increase in volume consistent with merchant promotion on Amazon in the fourth quarter compared to the third quarter and a 65% year-over-year increase in the fourth quarter of 2023. Additional industry knowledge indicates that third-party distributors continued to account for 60% of all market sales in the third quarter of 2023. Amazon reported $34. 34 billion in third-party distributor installations in the third quarter, up 20% year-over-year from $28. 67 billion in 2022.
– Average Shopify order volume has increased: Average Shopify order volume increased by 19% year-over-year in 2023 and saw a 20% increase from Q3 to Q4. In November 2023, Shopify reported 25% year-over-year. year accumulating profits to $1. 7 billion. Consensus estimates from inventory analysts expect a steady 16. 8% gain consistent with the year for Shopify.
– Other markets remain strong for the year with near-term gains: All other markets analyzed through Extensiv Market Insights remained strong for the year but increased during the quarter. Average order volume for all other markets increased 1% year over year. In 2023, however, it recorded a 31% increase from the third to the fourth quarter.
“The 2023 holiday season revealed Amazon’s strength and appeal to third-party distributors looking to succeed in the broader customer base and capitalize on Amazon’s record order volume,” said David Miller, vice president of strategy at Extensiv. With the announcement of FedEx and Amazon’s continued Fdx expansion into distributor compliance, we anticipate those marketplaces will attempt to control the business and compliance aspect of the business. This can lead to a relief in features and flexibility for brands that traditionally deserve to have been “With some uncertainty around the economics and the strength of visitor spending in 2024, brands and 3PLs deserve to compare how to most successfully and cost-effectively manage their fulfillment methods to ensure an exceptional visitor experience. “
About Extensiv
Extensiv, formerly 3PL Central, is a visionary generation leader focused on creating long-term omnichannel fulfillment. We collaborate with warehouse professionals and enterprise brands to reshape their fulfillment operations in a radically changing world of commerce and customer expectations. With more than 1,500 connected 3PLs and an integrated suite of warehouse control (WMS), order control (OMS), stock control (IMS) and cloud-native integration control software, we enable fashion stores and brands to meet your expectations. Impressive flexibility and scalability without painful platform migrations as they grow. More than 25,000 logistics professionals and thousands of brands depend on Extensiv every day to drive commerce at the speed fashion customers expect. Learn more about www. extensiv. com.