This Week in eCommerce – News at a Glance
Amazon & eBay Lead UK eCommerce Market; Account for 40% of Online Sales
Amazon and eBay top the UK ecommerce market. This year, the two ecommerce giants have a market share in the United Kingdom of 39.9 percent. Especially Amazon is way ahead of all other online retailers.
In the UK, Amazon is way ahead of its competitors. The company witnessed a surge in its ecommerce market share in the United Kingdom. Last year, it was 28.8 percent, but this year it has grown to 30.1 percent, keeping way ahead of local retail giants such as Sainsbury’s and Tesco.
eBay is the next big player with a 9.8 percent share of the online market. It’s followed by Sainsbury’s (4.6 percent), Tesco (4.5 percent), Walmart/Asda (3.9 percent) and John Lewis (3.6 percent).
Yahoo eCommerce Launches Cash-back rewards
Yahoo has added cash-back rewards to its recently launched shopping platform powered by Japan’s Rakuten. The rewards will be available for about 50 online retailers in the portal. Users of Yahoo’s email service will also see alerts in their inboxes intended to push them toward specific high-value promotions in specific areas of the site.
Additionally, Yahoo email users now have an embedded tool within their mail app that allows them a dedicated “deals” view that filters all coupons users receive and notifies them of the most valuable offers before they expire, according to an announcement.
The deals view now features a bar that shows users their cash back balance and which retailers are available for the program.
Amit Patel, CEO Rakuten Americas and Rakuten Rewards, noted that the inclusion with Yahoo gives Rakuten access to an entirely new global audience for its rewards offerings.
Cards are Preferred Payment Method in Europe
Cards are the preferred payment method in Europe, for both consumers and merchants. The use of cards has increased over the past few years, with 87 percent of European consumers feeling comfortable paying by card.
According to Payments Europe, the payments space of Europe keeps evolving and although new players have entered the market, cards still provide more added value than any other payment method.
Almost nine in ten consumers in Europe feel comfortable paying by card, while 90 percent of retailers say the benefits of card payments outweigh any associated costs. For consumers, benefits include convenience (49%), speed (35%), complementary insurance (36%), retailer acceptance (40%) and cash back on purchase (35%).
For merchants, the main benefits of card payments compared to other methods are guaranteed payment (53%), increased sales (44%) and access to a broader customer base (38%).
Amazon Blames Winter Storms and High Demand for Delayed Deliveries
Ecommerce giant Amazon’s extensive delivery network is experiencing some hiccups as the holiday shopping season continues. The company said that it is experiencing shipping delays as it faces high demand and winter storms this holiday season. Recode first reported the news Thursday.
“We are off to a record-breaking start to the holiday season and on peak shopping days, delivery promises vary and may be longer than normal based on order volume and the fulfillment and delivery capacity available in a given area,” a spokesperson wrote in an email to the press. “The winter storms that swept across much of the country at the same time also extended delivery times in some areas. We will work directly with customers who are experiencing an issue with their delivery.”
The delays come after Amazon started offering one-day delivery on items for Prime members. The company has spent at least $800 million this year to expand the program.
Reportedly, complaints about shipping delays started piling up this week on social media as customers were annoyed. FedEx ended its ground-delivery contract with Amazon in August this year.
Amazon now relies on other delivery partners including UPS and its own Amazon Logistics delivery network