A recent survey claims that 87% of Amazon brand owners are hoping to sell to an aggregator – while 49% of FBA businesses are preparing for a sale. However, this site surveyed only a small sampling of sellers, which makes the data suspect. Information like this encourages us to stop and think, and then talk with brand owners we know to see if they are planning to sell – or if they will be continuing to grow their brand on their own.
London, United Kingdom–(Newsfile Corp. – February 21, 2022) – A new survey by ecommerceaggregators.com reveals why Amazon’s largest third-party sellers ($1m+ revenue) are keen to exit their business in 2022 and uncovers the motivation behind selling to an Amazon aggregator.
Almost half (49%) of the surveyed individuals have started to prepare their Fulfillment by Amazon (or FBA) business for sale. At the same time, 43% have already spoken with a broker or Amazon aggregator since the beginning of 2022.
Although the majority (74%) of respondents are optimistic about the long term viability of selling physical products on Amazon, finding a buyer for their existing brand emerges as the top priority this year.
A whopping 87% of survey respondents would prefer to sell to an Amazon Aggregator, citing a perceived higher valuation (64%) and speed of process (55%) as the primary factors, when compared to selling via a traditional business broker.
“The past 18 months have been extremely challenging for Amazon’s third-party sellers, due to issues with supply chains and COVID,” said Richard Turnbull, Co-Founder of ecommerceaggregators.com. “As we enter a period of rapid consolidation in the Amazon FBA space, our research shows that highest-earning sellers are more motivated than ever to cash out.”
“Amazon aggregators offer sellers the chance to exit their business quickly, often in less than 60 days. If your revenue and margins fit the profile, we have seen some incredible multiples paid by aggregators since the turn of the year.”