Amazon, Alibaba leave rivals behind during pandemic
While online retail across the globe has seen a significant shot in the arm during the last year, Amazon and Alibaba surged ahead of the competition during Q3 2020, according to research firm GlobalData.
Together, the pair of businesses make up approximately half of total market capitalisation reported by the top 25 global retailers, with physical lockdowns providing a strong environment for online retail to thrive.
According to GlobalData business fundamentals analyst Keshav Kumar, Amazon saw its online retail revenue jump 47 per cent during Q2, while Alibaba saw it grow 33 per cent in Q1.
“Amazon and Alibaba’s strong e-commerce platforms benefitted the companies in 2020,” said Kumar.
“Meanwhile, other major e-commerce retailers such as JD.com, Pindoudou and eBay reported declines in their [market capitalisation] during Q3, mainly due to lower than expected e-commerce revenues and profit booking by investors in the latter part of the quarter.”
According to GlobalData, pharmacy retail declined during the third quarter by 10 per cent – impacted by Amazon’s launch of a prescription drug market with Amazon Pharmacy.