Amazon is growing at the expense of Quebec merchants

Amazon continues to gain ground in Quebec, for the benefit of local merchants. Nearly half of Quebecers’ online purchases are made on the American giant’s platform.

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This is revealed by a study published Thursday by the Academy of Digital Transformation (ATN), affiliated with Laval University.

No less than 48% of the $16.1 billion spent online by Quebecers in 2021 was on Amazon, or nearly $7.8 billion. In 2020, the giant captured 41% of purchases.

“Amazon takes even more space, more weight in the portfolio of online purchases,” says the director of the study, Claire Bourget.

In comparison, Quebec merchants collect 19% of the dollars spent on the web in 2021. A drop of 6% compared to 2020.

If we compare to the year [2020]the 7 percentage points that Amazon wins, it is the Quebec merchants who have lost it, ”analyzes Ms. Bourget.

Only 11% of Quebec cybershoppers say they make no purchases on the American giant’s platform, while 35% never buy online from merchants here.

Bonus even more popular

In addition to increasing its market share, Amazon is also gaining a large following in Quebec.

“In the Quebec population, one in three adults is a member of Amazon Prime, it is still something. In 2019 it was 12% and we have reached 34%”, underlines Claire Bourget.

Subscribing to Amazon Prime allows you to have free delivery and in less than 48 hours for almost all items.

According to Ms. Bourget, the fact that Amazon’s video-on-demand service is included in the $79 per year subscription contributes to its growing appeal.

The study notes that a quarter of online shoppers made more than 75% of their purchases on Amazon.

“With Prime, you buy loyalty. If I become a member, I want to make the cost I pay each month profitable, so of course that encourages me to buy more on Amazon,” explains the specialist.

It’s not just Amazon followers who are spending more online, notes Claire Bourget.

“We are still growing for online purchases. Regardless of the site, 57% of people told us that their online purchases had increased or increased a lot,” she says.

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