Most retailers struggle to replicate Amazon's success in transitioning to a third-party marketplace model.

From Financial Modeling Prep: 2025-06-23 07:19:00

Retailers worldwide have struggled to replicate Amazon’s success as a third-party marketplace. Bernstein analysis reveals limited financial success in transitioning to a Retail-as-a-Service (RaaS) model, despite companies like Ocado and Zalando investing in e-commerce infrastructure.

Amazon’s dominance stems from extensive technology and logistics investments, unmatched category depth, and a fragmented supplier base. Competitors lack the resources and category breadth needed to make the RaaS model profitable.

RaaS offers operating leverage but not high margins, with operational costs from managing inventory. The European RaaS market is small, with only 60 apparel retailers fitting the target profile, limiting growth potential.

Monitor retail giants’ financial health and platform shifts with the Full Financial as Reported API. This tool tracks CAPEX, margins, and earnings drivers, providing accurate company-level disclosures for informed decision-making.



Read more at Financial Modeling Prep:: Why Most Retailers Fail at Copying Amazon’s Platfo…