Online Marketplaces An analysis of the top 100 most popular sports products on Amazon and Zalando - Diffusion Sport

Page created by Jessica Douglas
 
CONTINUE READING
Online Marketplaces An analysis of the top 100 most popular sports products on Amazon and Zalando - Diffusion Sport
European
        Decision
        Makers

Online
Marketplaces
An analysis of the top 100 most popular
sports products on Amazon and Zalando
Online Marketplaces An analysis of the top 100 most popular sports products on Amazon and Zalando - Diffusion Sport
Online Marketplaces

Table of contents

Introduction		3

Summary		4

Method		5

Platform comparison: by product segment		6

Brands with products in the top 100 listings across all categories		8

Ranking: brands with the highest number of reviews		                      10

Ranking: leading brands by product segment – all marketplaces             12

Top 10 brands across all categories on each platform                      14

Conclusions                                                               15

© 2020 EDM Publications GmbH I gominga eServices GmbH                       2
Online Marketplaces An analysis of the top 100 most popular sports products on Amazon and Zalando - Diffusion Sport
Online Marketplaces

Introduction

      The relevance of online market-             within short time frames. Incumbents
places has increased significantly over           across all consumer goods industries
the past years. Besides the industry’s            need to catch up and become quicker
pioneers, Amazon and eBay, many other             in adopting these new marketplace
companies have jumped on the band-                strategies and tactics.
wagon of today’s platform economy. To-                  In 2020 we have seen an accele-
gether with the rise of social media, this        ration of these trends due to the Co-
has also led to the importance of user-           rona pandemic. According to a recent
generated content (UGC).                          survey by Territory Influence (Bertels-
      E-commerce platforms have trans-            mann Group) “The Power of Ratings
formed the traditional retail industry            and Reviews” (Aug. 2020), the days of
and pose opportunities and threats for            Covid-19 lockdowns and quarantines
both incumbents and new players. For              have caused people to shop online
consumer brands it is vital to learn and          even more and to pay even closer at-
play by the new digital rules, e.g. how to        tention to online reviews. Brand manu-
best manage products on Amazon.                   facturers will need to play an active role
      As markets are flooded with cheap,          in managing reviews for their products
non-branded products, consumers are               if they want to maintain the advantage
beginning to rely more on product re-             they have over their competition.
views, which help them determine the                    This research paper demonstrates
best value for their money. Those (often          the importance of product reviews. It
Asian) sellers perfectly understand the           shows both the significant reach many
Amazon e-commerce system and pose                 non-branded manufacturers have des-
a real threat to traditional brands. Simi-        pite their lack of traditional branding,
larly, new direct-2-consumer brands               and branded manufacturers’ remar-
focus on digital marketing and digital            kable opportunity to improve their pro-
sales and have shown great success                ducts’ current market position.

© 2020 EDM Publications GmbH I gominga eServices GmbH                                     3
Online Marketplaces An analysis of the top 100 most popular sports products on Amazon and Zalando - Diffusion Sport
Online Marketplaces

Summary

●●   Nike, Adidas, and Puma have the highest number of products among the
     Top 100 listings across the four platforms examined: AmazonDE, AmazonUK,
     AmazonFR and ZalandoDE.

●●   Big brands are present across all researched sporting goods categories and
     countries, whereas non-branded producers typically appear in just one cate-
     gory or on one country’s platform. Hence, those could be called “category
     killers” as opposed to firms with a wide products assortment.

●●   The majority (61.5% for all four platforms, 75.7% with Zalando excluded) of all
     top 100 products across the four categories are sold by non-branded manu-
     facturers, especially on Amazon. Here, single no-name manufacturers sel-
     ling their goods on just one platform, most frequently AmazonUK, become
     more visible, showing that they manage to generate lots of reviews and sales
     without a brand name to rely on.

●●   Fitness is the product category with the highest review volume.

●●   There are many non-branded products represented in the top 100 list,
     especially on Amazon, proving that there is room for branded products to
     improve their position when focusing more on review management.

© 2020 EDM Publications GmbH I gominga eServices GmbH                             4
Online Marketplaces

Method

     Data was pulled from the top                 as Zalando does not have a bike ac-
100 most popular products (i.e. the               cessories category. Sports accesso-
top 100 by browse node) on three                  ries were pulled from ZalandoDE as a
Amazon       platforms    (AmazonDE,              comparable product category.
AmazonFR, AmazonUK), and from                           After removing duplicate product
Zalando Germany (ZalandoDE). The                  listings, the total number of products
product list was generated by pulling             came to 1,520.
all product review data from across                     We have then focused on products
each platform that fell into one of the           with “reviews”, i.e. those that have a star
four categories for:                              rating plus a review text.
                                                        Star ratings without review texts
     •   sports and outdoor shoes                 have been excluded from our analy-
     •   sports and outdoor clothing              sis, because they do not give users ad-
     •   fitness products                         ditional information on products and
     •   bike accessories                         because companies cannot analyze
                                                  them for insights into the strengths
     The bike products were only pul-             and weaknesses of their products.
led from the three Amazon platforms,

© 2020 EDM Publications GmbH I gominga eServices GmbH                                      5
Online Marketplaces

Platform comparison:
by product segment

      All three Amazon country plat-              reviews compared to AmazonFR, but
forms have the lowest number of re-               less than AmazonUK. AmazonDE and
views for the shoe category, followed             ZalandoDE user ratings are generally
by clothing, with bike accessories and            more positive. There are nearly twice as
fitness/sports accessories being the              many reviews for shoes on ZalandoDE
categories with the most reviews.                 as there are on AmazonDE. Both plat-
      ZalandoDE has the most re-                  forms have roughly the same number
views for the shoe category, with                 of reviews for apparel, but AmazonDE
more reviews than any of the three                has about twenty times the number
Amazon platforms. In sports apparel,              of reviews for accessories compared
the ZalandoDE numbers are rough-                  to ZalandoDE.
ly comparable to AmazonDE, while                        Nike, Adidas, and Puma have
in sports accessories they have the               products within the top 10 across
fewest reviews of any product cate-               three categories: shoes, clothing, and
gory across all platforms.                        accessories.
      AmazonFR has the lowest num-                      JAKO, HEAD, Asics, Toplus, COFIT,
ber of reviews, ranging from 6.000 for            Oakley, Under Armour, Uvex, BaF, and
shoes to 14.000 for fitness. AmazonUK             Proworks have products that are in the
has the highest number of reviews,                top 10 for two of the four categories.
with between 34,000 and 77,000.                         Interestingly, the average rating
      Supposedly, AmazonFR has fewer              per category is 4.4 stars for each of
visitors and/or users that either buy             the four examined. There are only
less or tend to rate their purchases less         minor differences per category on
frequently than those on AmazonDE                 individual platform level. The average
and AmazonUK. AmazonFR users                      rating on ZalandoDE is exactly the
also give lower ratings on average.               same as on AmazonDE for the res-
AmazonDE and ZalandoDE show a                     pective product group.
relatively high volume of ratings and

© 2020 EDM Publications GmbH I gominga eServices GmbH                                   6
Online Marketplaces

                  Table 1: Review volume per product category

                        Fitness                                   Sports clothing
      100000                                         50000
        80000                                        40000
        60000                                        30000
        40000                                        20000
        20000                                        10000
              0                                           0

                     Sports shoes                                 Bike accesories
      60000                                          60000
      50000                                          50000
      40000                                          40000
      30000                                          30000
      20000                                          20000
      10000                                          10000
          0                                              0

   Note: the figures in the table above represent only reviews with user-written texts on the res-
   pective country platforms (i.e., no review syndication and no reviews with a star rating only).

     For brands and retailers alike,                  This means there are still niches that
the volume figures especially show                    both incumbents and new players
that there are significant differences                can focus on to be successful.
in each market segment and country.

© 2020 EDM Publications GmbH I gominga eServices GmbH                                                7
Online Marketplaces

Brands with products
in the top 100 listings
across all categories

      The majority of the top 100 pro-                 ZalandoDE is more selective in
ducts are sold by non-branded manu-               its vendor and seller selection pro-
facturers or smaller, less well-known             cess, therefore the entire product
players, often from Asia. Out of the              range is from branded producers.
overall examined data set of 1,520 pro-                As one might expect, the
ducts, 61.6% of products in the top 100           German heavyweights Adidas and
lists are not from well-known spor-               Puma are much preferred by shop-
ting goods brands such as Adidas or               pers on AmazonDE. The most popular
Nike. However, the non-brand manu-                brand on AmazonFR is Nike. British
facturers tend to concentrate more                shoppers do not show a strong prefe-
in specific product segments and do               rence for any particular brand. Under
not seem to offer a wide assortment.              Armour, the most popular brand on
Accordingly, they do not have many                AmazonUK, has only 11 products in
products within the top 100 lists in              the top 100 on AmazonUK. In com-
total. The only non-branded manu-                 parison, Puma and Adidas have 25
facturers ranking in the top 10 are               and 22 products on AmazonDE’s
Saguaro and IceUnicorn. In contrast,              top 100 product list, and Nike has 21
big brands are present across all ca-             products on AmazonFR’s top 100.
tegories and countries.

© 2020 EDM Publications GmbH I gominga eServices GmbH                                 8
Online Marketplaces

                Table 2: Top 10 brands with multiple products
                   within top 100 lists across all categories
                        # products in   # products in   # products in   # products in     Total #
                           top 100         top 100         top 100         top 100       top 100
         Brand           AmazonDE        AmazonFR        AmazonUK        ZalandoDE      products
     1   Nike                 8              21               9              75           113
     2   Adidas              22               7               6              66           101
     3   Puma                25              11               5              36            77
     4   Oakley               -               -               -              37            37
     5   Under Armour         4               -              11              16            31
     6   Asics                3              12               -              14            29
     7   SAGUARO              9               2               4               -            15
     8   IceUnicorn           7               -               5               -            12
     9   Champion             -               2               1               8            11
    10   Salomon              3               2               1               5            11

© 2020 EDM Publications GmbH I gominga eServices GmbH                                               9
Online Marketplaces

Ranking:
brands with the
highest number of reviews

     Nike, Adidas, and Puma have                      on Amazon for the analysed data set.
a high volume of reviews. Howe-                       Further, there is a large gap between
ver, the data is heavily skewed by                    the few review champions on top
ZalandoDE. Here, top brands such as                   and the large number of “followers”
Nike and Adidas have 42k and 25k                      with relatively few reviews. This
reviews, respectively. Maybe surpri-                  group includes both branded and
singly for some, the review quantity                  non-branded products and leaves
on ZalandoDE is much higher than                      room for improvement for many.

                       Table 3: top brands by review volume

           Brand              AmazonDE      AmazonFR      AmazonUK      ZalandoDE        Total
       1   Nike                 2,772          623          1,198         42,766        47,359
       2   Adidas               7,821          785           797          25,253        34,656
       3   TEMINICE               -             -           9,442            -          9,442
       4   Physix                 -             -           7,988            -          7,988
       5   Puma                 5,172         1,252          724            638         7,786
       6   Under Armour          912            -           3,201         3,404         7,517
       7   Fitbit                 -             -           6,914            -          6,914
       8   Ultrasport            880           928          5,009            -          6,817
       9   Beast Gear           1,678          342          4,398            -          6,418
      10   Gritin                686           802          3,903            -          5,391

   Note: the figures in the table above represent only reviews with user-written texts on the res-
   pective country platforms (i.e., no review syndication and no reviews with a star rating only).

© 2020 EDM Publications GmbH I gominga eServices GmbH                                                10
Online Marketplaces

      This second chart, which repre-                 on a well-known brand name. This chart
sents the same data but only featuring                also shows that non-branded manufac-
Amazon’s platforms, shows that non-                   turers have a higher rate of success sel-
branded manufacturers can generate                    ling on AmazonUK than the other two
lots of reviews and sales without relying             Amazon platforms.

       Table 4: top brands by review volume (without ZalandoDE)

                  Brand              AmazonDE      AmazonFR      AmazonUK         Total
             1    TEMINICE               -             -           9,442          9,442
             2    Adidas               7,821          785           797           9,403
             3    Physix                 -             -           7,988          7,988
             4    Puma                 5,172         1,252          724           7,148
             5    Fitbit                 -             -           6,914          6,914
             6    Ultrasport            880           928          5,009          6,817
             7    Beast Gear           1,678          342          4,398          6,418
             8    Gritin                686           802          3,903          5,391
             9    Shock Absorber         -            430          4,922          5,352
            10    Gildan               4,844           -             -            4,844

   Note: the figures in the table above represent only reviews with user-written texts on the res-
   pective country platforms (i.e., no review syndication and no reviews with a star rating only).

© 2020 EDM Publications GmbH I gominga eServices GmbH                                                11
Online Marketplaces

Ranking:
leading brands
by product segment –
all marketplaces

     The following data reveals which             accessories, on the other hand, are
manufacturers have products with                  dominated by non-branded manu-
the most reviews across all platforms             facturers, with only three brands re-
in each category. The top 10 products             presented in the top 10.
of each of the four platforms have                     In the following charts, brand
been combined in one list and then                names highlighted in green repre-
ranked by the number of times their               sent brands present in the top 10 list
products were rated.                              on all four platforms.
     Clothing and accessories have                     As the data originates from a
the highest cross-brand appeal with               “most popular product” ranking crea-
products from 13 brands achieving                 ted by Amazon and Zalando, it is pos-
the most reviews across the four plat-            sible for products that were purchased
forms’ top 10 list. The shoe category             but not rated to appear on this list with
had products from seven brands                    zero reviews.
that ranked across all platforms. Bike

© 2020 EDM Publications GmbH I gominga eServices GmbH                                   12
Online Marketplaces

           Table 5: top brands by review volume, category split

                       Fitness     Sports clothing   Sports Shoes   Bike accessories
               1     TEMINICE            Nike            Get Fit         Balhvit
               2        Gritin         Regatta            Nike            nean
               3      Maximo           Adidas            Adidas        Proworks
               4        Fitbit          Puma            Saguaro      BeskooHome
               5       Toplus          Bonjour            Nalu        king do way
               6     Proworks         ShinyStar        Havaianas        Sportout
               7    BLACKROLL           HEAD              Asics        Vandorm
               8     KG Physio      ONLYuniform      SOLLOMENSI             SKS
               9       Trideer        YouShow           Axcone          BEEWAY
              10      POWRX              Asics            JAKO           WD-40
              11        HEAD            Toplus        IceUnicorn          Diyife
              12         Nike      Urban Classics         ECCO             Ion8
              13       HZONE            COFIT             Teva          LEMEGO
              14    BODYMATE             JAKO           WHITIN           Cocoda
              15      FITFORT          ARKIM           TQGOLD          HYDRATE
              16      OMERIL           HMIYA              Puma           Fischer
              17   MQIAOHAM            Guba®             hiitave           Beto
              18      WOTEK            Ueither         BRONAX           ADORIC
              19      iClosam          Sienna          Lakeland           COFIT
              20       Adidas         YOUCHAN          Salomon        720°DGREE
              21   Yogasearcher        Diadora          Mabove         Looxmeer
              22        Casall      Love & Green        JIASUQI          Jooheli
              23       Sveltus         Oakley         PAGCURSU            Grsta
              24       Oakley          Ellesse          Merrell        QueenNa
              25    Ultrasport     Under Armour        populalar        EXTSUD

© 2020 EDM Publications GmbH I gominga eServices GmbH                                        13
Online Marketplaces

Top 10 brands
across all categories
on each platform

     AmazonDE has the highest                      this metric – although, as has been
presence of branded manufacturers                  noted, rating activity is lower on
across the three platforms, followed               AmazonFR than on other platforms.
by AmazonFR. Again, it appears                          Zalando again shows only
that UK customers have slightly less               branded manufacturers.
brand aff inity than their European                     The non-brand manufacturers
counterparts. It should be noted                   appear with generally a much higher
that the highest-ranked brand in                   review activity, especially in the UK,
AmazonFR, WD-40, is there with                     where review activity is higher in
only one product, showing that a                   general, showing the need for brand
broad range of products is not ne-                 manufacturers to catch up.
cessary to achieve a high ranking in

         Table 6: Top brands across platforms by review volume

                   Rank    AmazonDE    AmazonFR     AmazonUK   ZalandoDE
                     1       Adidas      WD-40      TEMINICE      Nike
                     2        nean        Gritin     Get Fit     adidas
                     3     SAGUARO       Axcone       Gritin      ASICS
                     4    BLACKROLL       COFIT     Proworks      ECCO
                     5       HEAD       LEMEGO       Maximo       Teva
                     6        JAKO        Puma       Regatta   SALOMON
                     7       Toplus      Cocoda       Fitbit     Merrell
                     8      POWRX      Proworks      Balhvit     PUMA
                     9      Sportout    TQGOLD        Nalu      Diadora
                    10         SKS      BRONAX       Toplus      Oakley

© 2020 EDM Publications GmbH I gominga eServices GmbH                                  14
Online Marketplaces

Conclusions

     As Territory Influence (Bertels-             branding than on knowing how to
mann Group) showed in their survey                read the right metrics and optimize
“The Power of Ratings and Reviews”,               the respective online accounts. It has
people are paying more attention than             become apparent that brands will
ever to online reviews when shopping.             need to improve their endeavours in
Our analysis underlines that product              this regard and focus more on review
reviews are a major factor for success            management. This includes:
on the examined marketplaces:
                                                   •    Generating a certain volume of
 •   Users read reviews.                                reviews
 •   Platform algorithms take volume               •    Analysing reviews in order to
     and star ratings into account.                     identify strength and weakness
 •   Reviews influence buying deci-                •    Responding to individual reviews
     sions across the customer journey.                 and product questions in order
                                                        to engage with consumers.
    We see that many smaller com-
panies and new market participants                     In our study we see that Adidas
know to play by the new online rules in           and Nike are positive examples among
a better way than many incumbents.                the big brands at least in terms of re-
Success on marketplaces such as                   view volume but that there is room for
Amazon depends less on traditional                improvement for many others.

© 2020 EDM Publications GmbH I gominga eServices GmbH                                  15
Paradiesstrasse 10         Atelierstrasse 1
80538 München              81671 München
Germany                    Germany
+49 (0)89 127 108 22       +49 (0)89 122 234 777
info@edmpublications.com   info@gominga.com
www.edmpublications.com    www.gominga.com
You can also read