Recently, according to foreign media reports, Amazon is re-positioning the Israeli market and has hired a person in charge for its Israeli business to set up a team to restart local sales. Amazon has also reportedly contacted Israeli sellers to assess the feasibility of resuming operations.
After more than three years, Amazon has once again focused on the Israeli market.
Amazon returns to the Israeli market: adjust strategy and meet new challenges
In 2019, Amazon launched its first Hebrew e-commerce website, allowing local sellers to settle in and provide local delivery, while charging an 8% commission. However, the initial operating model-the self-delivery (FBM) model-faced many challenges. Sellers need to manage warehousing and transportation by themselves, which leads to high commodity prices, slow delivery, poor consumer purchasing experience, and weak competitiveness. Coupled with the impact of the epidemic, Amazon finally suspended its business in Israel in 2021.
Despite this, Amazon did not completely abandon the Israeli market. In order to re-attract consumers, Amazon launched a policy of free delivery for every order from the United States to Israel over $49. This move has been warmly responded to by Israeli consumers and laid the foundation for its return to the market.
At present, it is still unclear whether Amazon will sell products directly to consumers or set up distribution centers in the local area. However, industry insiders generally believe that this attempt is different from the past, and Amazon is likely to adjust its operating model and pay more attention to market demand in order to gain a place in the highly competitive market.
Small place, big market
Israel has a small geographical area and a population of only 9.55 million. Therefore, whenever it comes to the Israeli e-commerce market, everyone will inevitably feel that it is a bit "niche" because its market size and population base are not large.
However, Israel's economic strength cannot be ignored. In 2023, GDP reached 518.89 billion US dollars, and per capita GDP reached 49,000 US dollars, an increase of 6,950 US dollars over the previous year. This income level is far higher than the world average. The huge economic size and excellent consumption level make Israel's business market more attractive.
According to the forecast of the research center Statista, the revenue of Israel's e-commerce market will continue to grow from 2024 to 2029, totaling 4.5 billion US dollars. After the seventh consecutive year of growth, the indicator is expected to reach 11.31 billion US dollars, setting a new high in 2029.
For Chinese cross-border e-commerce sellers, the Israeli market is undoubtedly a target with great potential. As one of the world's largest e-commerce platforms, Amazon's return to the Israeli market means that more merchants and consumers will join this market. In order to quickly occupy the market, high-quality and stable logistics services have become the key competitiveness of merchants.
U-Speed, helping Chinese sellers quickly enter the Israeli market
As a professional cross-border logistics service provider, U-Speed provides comprehensive and efficient logistics solutions for cross-border e-commerce sellers to help merchants quickly and efficiently enter the Israeli market. The following are several key services we provide to help Chinese sellers seize the opportunity of Amazon's return to the Israeli market:
1. Cross-border small package service
U-Speed provides China-Israel cross-border small package service, which supports the transportation of various types of goods such as general goods, electric goods, pure electric goods, sensitive goods, etc. Regardless of your product type, U-Speed can provide you with customized logistics solutions to ensure timely delivery and safe arrival of goods.
2. Israel B2B air and sea delivery to door service
Our B2B air and sea delivery to door service can deliver goods directly to Amazon warehouses or other third-party warehouses in Israel. This service will greatly improve the efficiency of the supply chain, save transit time, simplify the logistics process, and allow your products to enter the Israeli market faster, thereby increasing sales speed.
3. Israel overseas warehouse one-stop delivery service
U-Speed has its own overseas warehouse in Israel, providing sellers with one-stop warehousing and distribution services. Through our overseas warehouse one-stop delivery service, you can store your products directly in the Israeli warehouse. After the customer places an order, the goods will arrive the next day at the earliest, ensuring the fast delivery of goods and improving customer experience.
4. Israel SII certification service
Goods sold in the Israeli market need to pass local certification requirements, especially electronic products. U-Speed provides certification services such as Israel SII to help you successfully complete product certification, avoid delays in goods warehousing due to certification issues, and ensure that your products can enter the Israeli market smoothly.
Opening up new opportunities in the Israeli market
With Amazon re-entering the Israeli market, competition in cross-border e-commerce will become more intense. For Chinese sellers, it is crucial to choose a reliable and efficient logistics partner. With many years of cross-border e-commerce logistics experience, U-Speed provides comprehensive logistics services to help sellers enter the Israeli market efficiently and seize market opportunities.
Now is a great time to join the Israeli e-commerce market. U-Speed will be your best partner to expand the market and increase sales. Whether it is logistics transportation, warehousing services or certification support, we can provide you with all-round support to ensure that your products enter Israel smoothly and are delivered to customers in a timely manner.
Act quickly, seize the opportunity, and move towards the brilliant future of the Israeli market with U-Speed!
