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Amazon’s effort to become the “Everything Store.”

Amazon's effort to become the Everything Store.
Amazon’s effort to grow the number of private label brands is the clearest sign yet of how far it wants to go in its quest to become the “Everything Store.” But that’s stoking more fear and concern among sellers and brands that sell on Amazon’s website, as they have to go head-to-head with the e-commerce giant in a growing number of categories.

Amazon.com isn’t America’s biggest company. By market cap, it trails Apple. Measured by number of employees, it’s behind Walmart. By revenues, it’s a distant eighth on the Fortune 500 list. But measured by importance to modern life and ability to shape the American economy in its own image, Amazon is second to none.

Jeff Bezos, president and CEO of Amazon and owner of The Washington Post, speaks at the Economic Club of Washington DC’s “Milestone Celebration Dinner” in Washington, U.S., September 13, 2018.
Joshua Roberts | Reuters
Jeff Bezos, president and CEO of Amazon and owner of The Washington Post, speaks at the Economic Club of Washington DC’s “Milestone Celebration Dinner” in Washington, U.S., September 13, 2018.
Sellers and brands may not like it, but Amazon is clearly doubling down on its private label business. This is where Amazon sells its own branded products, or products with third-party brands that are sold exclusively on Amazon.

Private label brands benefit Amazon in many ways. They expand product selection while giving Amazon better profit margins. Supply chain management becomes easier too. It can also pressure bigger brands to cut prices on Amazon to stay competitive.

Last week, CNBC reported that Amazon is more aggressively growing its private label business, having launched a new “accelerator” program for third-party sellers to become part of the “Amazon family of brands,” and a special feature that promotes its own brands at the bottom of competitor listings. That followed recent reports of Amazon having significantly ramped up the number of private label brands sold exclusively on its website.

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