Amazon reports its Q1 2013 results after the bell this week on Thursday, April 25th 2013. eBay and Google had mixed results, both citing non-domestic slowness as key headwinds and mobile/US as key tailwinds.
The following table details the usual key metrics we track in Amazon’s results for sellers/retailers that we think most illustrate how not only Amazon is doing, but most importantly for readers of this blog, the health of the third-party (3P) marketplace.
Out of all these metrics, what I look at most closely to get a pulse on the Amazon marketplace:
- 3P unit growth -Q4 was 40% y/y growth which will be hard to maintain given the EU malaise and the bad Feb weather. I imagine this will come down a bit in Q1.
- % of units from 3P – Q4 was 39% 3P units. Amazon has been shifting substantially from 1P to 3P, so we look to see that trend continue.
- Active users – eBay has seen acceleration on this metric due to mobile. It will be interesting to see if Amazon sees this as well. Q4 grew at a 22% y/y clip, we will see if Amazon can keep up this pace, or if it accelerates or decelerates.
What else to look for?
Additionally, we will be keen to hear anything about:
- Any Prime/Fire updates – Prime is the turbo-booster of Amazon and we’re always keen to see if there are any interesting new tidbits that Amazon shares. The Kindle Fire family of devices include a 30-day Prime trial and we suspect a good up-take from that offering which accelerates the Amazon flywheel, so we’ll be listening closely to any new information there.
