Considering Data Implications of Selling on Amazon

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This chapter examines the importance of data in the decision to sell on Amazon, highlighting the challenge of limited access to customer data imposed by Amazon. The comparison is drawn between traditional and digitally native brands in terms of their familiarity with direct customer information.

It’s a dilemma facing more and more brands: Should your business sell on Amazon?

It’s the most visited e-commerce platform in the U.S. and the dominant retailer in 28 other countries. But that reach comes at a price. Harvard Business School associate professor Ayelet Israeli says there are downsides for many Amazon sellers, like costs, competition, and the lack of data.

In this episode, Israeli offers a scorecard that can help you decide, step by step, whether or not the Amazon marketplace is right for your business.

Key episode topics include: strategy, innovation, leadership, scaling, Jeff Bezos, long-term thinking, customer focus.

HBR On Strategy curates the best case studies and conversations with the world’s top business and management experts, to help you unlock new ways of doing business. New episodes every week.

· Listen to the full HBR IdeaCast episode: Why Companies Decide to Sell on Amazon—or Not (2022)

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