10,000 local jobs: partnership with Amazon strengthens Austrian SMEs

Luxembourg (OTS)

  • The Amazon SME Report 2021 shows that small and medium-sized companies from Austria sold a total of more than 15 million products via the Amazon Marketplace in the period from January 1 to December 31, 2020. That is 3 million products more than in the previous year (plus 25 percent).
  • On average, Austrian SMEs that sold on Amazon achieved a turnover of more than 250,000 euros (previous year: 190,000 euros). 25 SMEs cracked the 1 million euro turnover mark for the first time in 2020.
  • In total, more than 2,000 Austrian-based SMEs use Amazon as an online sales channel. These have created more than 10,000 additional local jobs.

Amazon works with more than 900,000 independent partners across Europe. In addition to sales partners, these are developers, creatives, authors and delivery partners. Small and medium-sized enterprises (SMEs) that sell via Amazon in Europe have created over 550,000 jobs across Europe in 2020 and recorded over 12.5 billion euros in export sales despite the challenges posed by COVID-19. The cooperation with sales partners enables Amazon to offer customers an outstanding shopping experience with a large selection of products at good prices. In return, the companies benefit from access to millions of active Amazon customers worldwide. “Every day we partner with thousands of small and medium-sized businesses helping them expand their business beyond their region”Says Xavier Flamand, Director of Seller Services for the EU at Amazon. “These companies are able to quickly and easily sell their products online and connect with millions of customers around the world. We will continue to innovate for small and medium-sized businesses to provide our customers with a great shopping experience”. The Amazon SME Report 2021 for Austria was published today. This shows how the cooperation pays off for the independent entrepreneurs and to what extent Amazon supports local businesses in becoming even more successful.

Growth for Austria’s SMEs: plus 25 percent of products sold

From January 1 to December 31, 2020, domestic SMEs sold more than 15 million products via Amazon, which corresponds to a growth of 25 percent compared to the previous year (2019: 12 million products). This means that in 2020 more than 30 products per minute were sold by Austrian SMEs via Amazon. More than 500 SMEs achieved a turnover of more than 100,000 euros for the first time. For the first time, more than 25 SMEs generated sales of over 1 million euros. Sales abroad played a central role for the companies: 85 percent of sales related to exports.

From Austria into the world – the most popular product categories

One of the top 5 product categories in which Austrian SMEs sell via Amazon is home, i.e. everything to do with furnishings, furniture, decoration, kitchen utensils or bathroom accessories. The numerous Austrian sales partners who sell successfully in this category include the married couple Julia and Ata Ataberk from Vienna, who sell colorful hammam and bath towels from fair and sustainable production under the LeStoff label: We have been offering our multifunctional bath towels in 33 colors and two sizes on Amazon for over five years. We are very happy that we are successful with LeStoff in both Europe and the USA! The Amazon programs relieve us of a lot of work that we would otherwise have to do internally. ”

Another popular category is toys. For the Carinthian company Piepmatz und Grünschnabel, selling on Amazon is an important lever for reach and growth. Beate Wuggenig founded the company in Feldkirchen in 2012 to provide targeted support to children who suffer from dyslexia or arithmetic weaknesses with educational games: “We want to teach children and adults to play together, which is often neglected in today’s fast-paced world. We have been using Amazon since 2015. Above all, the Fulfillment by Amazon program was a strong growth lever for us thanks to its large reach. The top 5 product categories of Austrian SMEs also include sporting goods, health & personal care and cosmetics.

100 million euros investment in Austria

In Austria alone, Amazon invested 100 million euros in local locations last year – above all in expanding the logistics network. Half of the Austrian sales partners, i.e. over 1,000, use the program Fulfilled by Amazon (Fulfillment by Amazon, FBA). Amazon takes over the entire logistics – from goods storage, shipping, any returns to customer service – for the company. The main advantage here is that the sales partners can concentrate on their core competencies and also benefit from Amazon’s strong infrastructures and simple export opportunities. They also receive Prime Status – a key selling point for many customers.

2.8 billion euros for SMEs across Europe

To help companies become even more successful, Amazon spent a total of more than 2.8 billion euros across Europe in 2020 on logistics, tools, services, programs, training and teams. In total, more than 250 new tools and services were made available in 2020: With these, entrepreneurs can bring new products to the market, increase their sales, analyze their business and protect their intellectual property. “In addition to our investments in Austria, we are continuously developing programs and services that help our sales partners to be even more successful. Among other things, we have this year with Amazon Small Business created its own shop-within-a-shop to make Austrian companies and their products even more visible. Thanks to the growing success of our sales partners, we also indirectly make a valuable contribution to local value creation“, Says Markus Schöberl, Director Seller Services for Austria and Germany. In addition, Amazon founded the knowledge portal in September 2020 together with the German Retail Association and the pro bono initiative “Retailers Help Retailers” Quickstart Online, which sees itself as a contact point for all questions about e-commerce and wants to support SMEs step by step in building a digital pillar. The “Entrepreneurs: Inside the Future” podcast about the Amazon Marketplace shows in regular episodes the opportunities for small and medium-sized companies in e-commerce.

The full Amazon SME Report Austria 2021 can be found here.

To find out more about how Amazon supports small and medium-sized businesses, visit www.unternehmerinnenderzukunft.de.

Via Amazon

Amazon is guided by four basic principles: focus on customers instead of competition, passion for invention, commitment to operational excellence and long-term thinking. Customer reviews, 1-click shopping, personalized recommendations, Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing, Kindle, Fire Tablets, Fire TV, Amazon Echo and Alexa are just some of the products and services that Amazon has pioneered .

You can find more information about Amazon in Austria at: https://blog.aboutamazon.de/at.

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