June 16, 2021

Distributors ‘caught in the middle’ of Amazon’s B2B expansion

Michael Nelson, a Managing Director with Corporate Performance Improvement in Chicago, was interviewed by Houston Daily and gave his take on the risk to distributors in light of Amazon expanding into B2B.

“If you look at most of the growth projections, the biggest chunk is coming actually in the business-to-business space, and that’s the space that a lot of distributors play (in),” Nelson said. “The way Amazon looks at that is if they can pick off certain parts that have margin to them, they are so efficient at how they can turn store and ship parts, they can take that business away from the distributors pretty darn quickly.”

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