Amazon launches its own website in Poland

Until now, most customers had to order via German site – competition to Allegro

E-commerce giant Amazon will soon launch its own website in Poland, putting local providers in a spot of bother. The U.S. company has opened nine logistics centers in the EU country since 2014, but Polish consumers have so far had to order products mainly via the German website. The new version of the platform saves costs for users, but is also problematic for competitor Allegro.

“Strong concentration trend”

“In online retailing, as in the entire Internet, a strong concentration trend is taking place right now. Users are overwhelmed by too large a range of providers and stay with the big players like Amazon out of convenience. This is a particular problem for local providers like Allegro. What helps here above all is customer loyalty. Loyal consumers need to be retained through discounts or even emotional appeals. Allegro can also use existing customer data to respond more closely to their wishes,” explains Richard Geibel, Head of the E-Commerce Institute Cologne http://ecommerceinstitut.de , in an interview with pressetext.

In addition to the Polish site, Amazon also plans to open another logistics center in Schwiebus in 2021. This is expected to create more than 1,000 new jobs. Currently, about 18,000 people in Poland work in Amazon’s logistics centers. For Polish Amazon customers, the new website is an advantage because of reduced delivery costs, but it puts massive pressure on the local e-commerce platform Allegro. The site, which was launched in 1999, specializes primarily in classifieds and has held a dominant market position in Poland. However, following the announcement of the Amazon site on Wednesday, Allegro shares fell by more than seven percent.

Source: https://www.pressetext.com/news/amazon-startet-eigene-website-in-polen.html