Summary

By implementing a hybrid strategy in the Corona crisis,


1) the overall vendor revenue decline of about 34.1% on average was reduced to an average of 18.5% (April vs. March) and 2) the average Amazon bestseller rankings were improved by an average of 11.5% compared to April vs. January. Since approx. the beginning of May, Amazon started to order again regularly and thus, because of these measures, sales will increase by about 62.4% in May (May vs. April).

Situation

In the period March-April, IFC figured out that Amazon had stopped orders for selected items. This has led to an average increase in the RepOOS% (non-availability ratio) of 730bps.

Result

62,4%

Sustainable increase in sales

11,5%

Ranking Optimization

Development of sales compared to the previous month







IFC Procedure

To reduce 1) the drop in sales and 2) to defend the item rankings (based on the Amazon bestseller rank), IFC has launched a hybrid model (Seller and Vendor) with selected customers at short notice. Through the Seller Account, the top sellers were listed twice to the Vendor offer and if Amazon did not have stock, the availability could be secured via self-shipping.




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