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Amazon Releases Impact Report Showing Significant Growth for Canadian Sellers [Exclusive]

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The number of Canadian sellers on Amazon who surpassed $1 million in sales grew by more than 38 per cent this year and nearly 240 Canadian sellers surpassed $1 million in sales for the first time, according to the 2021 Amazon Canada Impact Report

“Our presence now extends from coast to coast to coast, and the benefits of our investments are enjoyed by more Canadians than at any time in our history,” said the report.

“We know that our investments bring broader responsibility—and can unlock opportunity. Our facilities help revitalize cities and neighborhoods. Amazon.ca creates virtual shelf space for more than 40,000 third-party sellers from each province and territory—up from approximately 35,000 during the same period last year—most of which are local small-and medium-sized businesses.”

In its report, William Chu, of West End Coffee Roasters in Vancouver, said: “Amazon allows us to focus on what we do best— roasting fresh specialty coffee, sourced from all over the world, and providing an amazing coffee experience. By handling order fulfillment with fast and free delivery services to our customers, we have been able to share great coffees with all the coffee enthusiasts in Canada. It allows us to stick to our roots and continue to provide fresh and high-quality products for our active customers who like to enjoy great-tasting coffee at work and at home.” 

Stella Benson, of Benols Beauty in Calgary, said: “I was previously in the finance industry but am now a mother of three with a husband who travels a lot as an engineer. In 2017 I started searching for a business opportunity that would allow me to set my own schedule so I could have more flexibility and freedom to be with my family. After researching, we found ASM (Amazing Selling Machine), joined it, and started selling on Amazon in June 2017. We decided to offer products that would provide a flawless look, with bold, beautiful eyes and face in minutes. Additionally, we wanted to focus on products that are high-quality, all at an affordable price.” 

Image: 2021 Amazon Canada Impact Report

Key highlights from the Amazon report include:

  • Canadian sellers sold almost 110 million products (209 every minute);
  • Almost 4,000 Canadian sellers had over $100,000 in sales, up nearly 24 per cent year over year; 
  • More than half of all Canadian sellers took advantage of Fulfillment by Amazon;
  • It now employs 39,500 Canadians in addition to the indirect jobs the retail giant creates across industries including construction, logistics, retail, healthcare, and food services;
  • In 2020, Amazon donated more than $10 million to charities focused on “Right Now Needs” (such as food, shelter, and basic goods for children and families) and computer science education for underserved and underrepresented students. Charities it supports include Breakfast Club of Canada and the organizations affiliated with Amazon Future Engineer, including Canada Learning Code, Kids Code Jeunesse, TakingITGlobal, and FIRST Robotics.

“Since 2003 Amazon.ca has made its virtual shelf space available for small- and medium-sized businesses (SMBs) to reach millions of customers, build their brands, and grow their businesses. Amazon helps SMBs sell their products online, use the cloud to launch and scale their businesses, create voice apps, and publish their own books. Amazon Web Services (AWS) helps tens of thousands of Canadian startups, customers, and partners enrich their communities and the world,” said the report.

“In 2020 Amazon invested over $700 million (USD) and employed more than 10,000 people globally to protect our stores from fraud and the abuse of customers and sellers. Our investment led to some of the lowest fraud rates in the industry and protected sellers from frivolous and unsubstantiated claims.

“Amazon recently launched the Intellectual Property Accelerator (IP Accelerator) in Canada, making it easier and more cost effective for SMBs to obtain trademarks, protect their brands, and tackle infringing goods both in Amazon’s stores and the broader marketplace.

“Available to any brand selling in Amazon’s stores, IP Accelerator directly connects Canadian SMB owners with a curated network of local law firms charging reduced, pre-negotiated rates on key services, giving SMBs access to expert legal and general IP advice that may otherwise be cost- prohibitive or hard to find.” 

Amazon employs 10,000 full and part-time people in British Columbia and 22,000 in Ontario. There are also 1,400 employees in Quebec and 4,000 in the Prairies. 

Its two tech hubs are growing and now employ 3,500 people in Vancouver and 2,000 in Toronto.

The company’s first local delivery station opened in Dartmouth, N.S. in September.

Amazon has also announced  two major renewable energy projects in Canada: 

  • An 80 megawatt (MW) solar project in the County of Newell in Alberta. Once complete, it will produce over 195,000 megawatt hours (MWh) of renewable energy to the grid, or enough energy to power more than 18,000 Canadian homes for a year; and 
  • In June 2021 Amazon announced its second and largest renewable energy project in Canada—a 375 MW solar farm in Vulcan, Alberta. When it comes online next year, the project will bring Amazon’s solar energy capacity in Canada to more than 1 million MWhs, which is enough to power more than 100,000 Canadian homes for a year. 

The company said its DYB2 delivery station in Nisku (Edmonton), Alberta, is its first onsite Amazon solar rooftop in Canada, with 211 kilowatt photovoltaic to offset 35 per cent of the building’s energy consumption. 

“Amazon is committed to building a sustainable business for our customers and the planet. In 2019 Amazon co-founded The Climate Pledge—a commitment to be net-zero carbon across our global business by 2040, 10 years ahead of the Paris Agreement,” said the report.

In Canada, Amazon currently has 17 fulfillment centres, six sortation centres, two tech hubs, 35 delivery stations, two AMXL Delivery Stations, three corporate offices and one AWS region.

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Article Author

Mario Toneguzzi
Mario Toneguzzi, based in Calgary, has more than 40 years experience as a daily newspaper writer, columnist, and editor. He worked for 35 years at the Calgary Herald covering sports, crime, politics, health, faith, city and breaking news, and business. He is the Senior National Business Journalist with Retail Insider in addition to working on his own as a freelance writer and consultant in communications and media relations/training.

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