There are three high-potential categories on Amazon Europe

There are three high-potential categories on Amazon Europe. How to make them more fragrant in the peak season at the end of the year?

With the European autumn and winter promotion approaching, Amazon Germany, the second largest platform after Amazon America, announced that it will provide logistics, sorting, and

The distribution center recruits more than 10,000 seasonal workers to cope with the surge in parcels during peak seasons.

The German e-commerce market, the fourth largest economy in the world, has been growing rapidly thanks to its high network coverage and smartphone penetration rate. Catalyzed by the epidemic in 2020, German e-commerce e-commerce sales increased by 14.6% year-on-year to 83.3 billion euros.

According to trend calculations, it is estimated that by 2024, this value will reach 120 billion euros, or even higher 141 billion euros. The rapid development of the German e-commerce market has also spawned some top high-potential categories.

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There are three high-potential categories on Amazon Europe(图1)
Three high-potential categories, how to make them more fragrant in the peak season at the end of the year? There are three high-potential categories on Amazon Europe. How to make them more fragrant in the peak season at the end of the year?

01. Toys & mother and baby

2020 is the most significant year for the German toy industry in 10 years, with a total growth rate of 9% and sales of 3.7 billion euros.

In terms of platform sales, in the category of toys & mothers and babies, Amazon Germany, which has a large group of sellers, ranks first with sales of 792 million US dollars. German local e-commerce toys and children's mother and baby products shopping website myToys It followed closely with 376 million U.S. dollars.

Three high-potential categories, how to make them more fragrant in the peak season at the end of the year? There are three high-potential categories on Amazon Europe. How to make them more fragrant in the peak season at the end of the year?

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With the arrival of the holiday season at the end of the year, it can be expected that the toy track under the new consumption of mothers and children will usher in a new round of outbreaks. Online hot-selling products such as Lego blocks, educational toys, and blind boxes will become the "main force" in the toy category.

In addition, baby clothing, safety seats and other maternal and child products have also become a gift-giving choice for many Germans. On the whole, "just-needed" maternal and child consumers are still optimistic about the future.
There are three high-potential categories on Amazon Europe(图2)
02. Fashion category: clothing & footwear

The fashion category, as a “top student” in cross-border selection of products, has been consistently ranked among the best-selling categories of major e-commerce platforms. According to a survey study by the trading portal MyDealz, the epidemic has stimulated the passion of German consumers for online shopping. This is particularly evident in the growth of fashion orders, which has increased by as much as 35%.

The demand for women's clothing in Europe, led by Germany, is also rising.

From the perspective of hot-selling products, comfort-oriented home clothing and footwear have become the favorites of many German consumers.

At the same time, as a large number of clothing and footwear orders returned to China from Southeast Asian and South Asian countries, domestic factories have taken on most of the global fashion category. China's mature export and foreign trade clothing industry belt has given women's clothing to Germany a natural advantage.

03. Household products

The normalized home isolation has made German residents spend more on home furnishings. As one of the most advantageous categories in the cross-border market, household products made in China have become necessities of family life in Germany and even Europe and the United States due to their practicality and high cost performance.

For Chinese sellers with supply chain advantages, they have more market opportunities than overseas sellers in household sub-categories such as lamps, bedding, and decorative items.

In recent years, with the popularization of smart home life, overseas demand for small kitchen appliances and clean small appliances has continued to increase. According to incomplete statistics, about 19% of top sellers in Germany are mainly engaged in kitchen and household products.

4 major overseas strategies to help the year-end sales promotion

In addition to analyzing popular selections and summarizing past experience of sellers going overseas, sellers entering the German market should also pay attention to the following 4 points in terms of operation:

1. Market localization, product compliance is inevitable

At present, Germany and the entire European market have higher requirements for cross-border e-commerce operations and product specifications, including taxation, legal affairs, import and export declarations, product certification, and so on. Correspondingly, the barriers to entry for cross-border products have also been raised. For enterprises going overseas, sufficient preparations must be made in the above aspects to prevent disadvantages.

2. Localization of services to increase customer stickiness

Localization of services is an inevitable trend in the development of cross-border markets. Taking cross-border logistics as an example, many cross-border companies have changed from the original direct mail model to the overseas warehouse model. While shortening the logistics timeliness, it is also equipped with a local after-sales team to advance the service and increase the stickiness of products and customers.

3. Brands go overseas to enhance product value-added products

In recent years, cases of domestic brands such as Xiaomi and Huawei have opened another channel for cross-border sellers to go overseas: overseas consumers' enthusiasm for high-quality domestic brands will be transformed into rising purchasing power. For cross-border companies, if they want to obtain higher product prices, product branding is inevitable.

4. Product is king, focusing on high cost performance

Regardless of the market, "product is king, focus on cost performance" is an eternal truth.

It is worth noting that according to a survey of 816 top sellers on Amazon by the German consumer organization SWR, it is found that Amazon generally charges higher commissions to sellers on its platform than other platforms, which is also the main reason for the higher prices of some products.

For those platform sellers with product advantages, taking into account the product cost-effective dimension, they can choose a multi-platform coverage strategy, select the "boutique platform" that fits their own business categories, and cover more precise consumer groups.

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