Despite high inflation in the German retail sector, prices in online commerce, particularly on the Amazon Marketplace, have remained largely stable. A recent price analysis by e-commerce service provider Remazing for Handelsblatt shows that the impact of inflation on online shopping is hardly noticeable.
"We were surprised that the price development on the Amazon Marketplace lags significantly behind the overall inflation trend and that prices have remained almost constant," says Emil Beck, co-founder of Remazing. The analysis tracked the price development of products from over 100 major brands, including Under Armour, Schöffel, Leifheit, Henkel, and Beiersdorf, for a period of one year. The results suggest that the inflation effects felt in the overall economy do not affect Amazon. In some categories, prices in March even declined compared to the previous year.
For example, the average price for baby products decreased from €75.68 to €73.05, and beauty and personal care products also saw slight price decreases. On the other hand, online prices for household goods and furniture increased significantly from an average of €134.45 to €147.01.
It should be noted that the analysis did not consider the impact on fresh food, which is less frequently sold online. This finding is consistent with a study by software provider Adobe for the US market, which found a decrease of 1.7% in online prices compared to the previous year, while the general consumer price index increased by 5% during the same period.
High price transparency and intense competition prevent significant price increases.
According to Beck, several factors contribute to the limited impact of inflation in e-commerce, especially on Amazon. Amazon's algorithms are also very sensitive to price adjustments and immediately reduce the visibility of products in case of price increases.
Adrian Meili, CEO of renowned brand manufacturer Zino Davidoff, confirms this observation: "Marketplaces provide transparent price information that helps customers compare different offers. For this reason, Davidoff only implemented sporadic price increases in online direct sales last year.
Beck attributes the ability of e-commerce companies to maintain stable prices despite general inflation to their lean structures and lower costs compared to traditional retail.
While the retail sector experiences noticeable inflation, the online market, especially Amazon, is largely shielded from these effects. This is due to factors such as price transparency, intense competition, and efficient processes in the e-commerce industry.