By on February 4, 2021

Amazon

Amazon’s founder and CEO Jeff Bezos announced today that he will transition to Executive Chair in the 3rd quarter of 2021, with Andy Jassy to replace him as CEO at that time.

In a statement about the progression, Bezos said, “Amazon is what it is because of invention. We do crazy things together and then make them normal. We pioneered customer reviews, 1-Click, personalized recommendations, Prime’s insanely-fast shipping, Just Walk Out shopping, the Climate Pledge, Kindle, Alexa, marketplace, infrastructure cloud computing, Career Choice, and much more. If you do it right, a few years after a surprising invention, the new thing has become normal. People yawn. That yawn is the greatest compliment an inventor can receive. When you look at our financial results, what you’re actually seeing are the long-run cumulative results of invention. Right now I see Amazon at its most inventive ever, making it an optimal time for this transition.”

Amazon

“I find my work meaningful and fun. I get to work with the smartest, most talented, most ingenious teammates. When times have been good, you’ve been humble. When times have been tough, you’ve been strong and supportive, and we’ve made each other laugh. It is a joy to work on this team.”

Amazon

“As much as I still tap dance into the office, I’m excited about this transition. Millions of customers depend on us for our services, and more than a million employees depend on us for their livelihoods. Being the CEO of Amazon is a deep responsibility, and it’s consuming. When you have a responsibility like that, it’s hard to put attention on anything else. As Exec Chair I will stay engaged in important Amazon initiatives but also have the time and energy I need to focus on the Day 1 Fund, the Bezos Earth Fund, Blue Origin, The Washington Post, and my other passions. I’ve never had more energy, and this isn’t about retiring. I’m super passionate about the impact I think these organizations can have.”

Amazon

While sellers of automotive parts and accessories maintain that Amazon is a behemoth in the industry, according to JungleScout, an Amazon sales support services company in their 2021 State of the Amazon Seller report, automotive is not among their top product categories. Automotive parts and accessories ranked 18th, and account for only seven percent of their sales. Not surprising is that 78 percent of all products sold on Amazon originate in China, with the U.S. coming in second at 25 percent.

Why Amazon isn’t the sales channel that some manufacturers and many retailers think it is can be found in the average price paid for a product, with 51 percent of their sales between $11 and $25. Not many auto parts can be bought at retail in that price range, which should come as a relief to many brick-and-mortar retailers and installers. Less than 4 percent of Amazon’s sales are for items priced higher than $100, dispelling the notion that there are millions of automotive products being sold through Amazon. Only one in five, or about 19 percent, have had more than $1 million in lifetime sales through this channel.

As the head of Amazon Web Services (AWS) since its inception in 2003, Jassy joined Amazon in 1997 as a marketing manager. In 2003, he and Bezos created the cloud computing platform that became known as AWS, which launched in 2006. April, 2016 marked Jassy’s ascent from senior vice president to CEO of AWS. He is also one of the minority owners of the newest National Hockey League franchise, the Seattle Kraken.  Will Amazon change direction under Andy Jassy’s watch? Just wait and see.

[Images: Amazon, Wheel Pros]

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36 Comments on “Amazon’s Bezos Transitions to Exec Chair and Names New CEO...”


  • avatar
    rando

    “Automotive parts and accessories ranked 18th, and account for only seven percent of their sales.”

    Is that possible? For auto to be 18th, there would need to be 17 categories with more than 7%. I imagine 1st place would have more than 7%.
    Even if it were an 18 way tie (unlikely) 17*7% = 119%.

    I think it means something else, like 7% of sellers carry automotive products. From the link:

    Top Amazon Product Categories for Third-Party Sellers
    1. 1. Home & Kitchen – 40%
    2. 2. Sports & Outdoors – 21%
    3. 3. Toys & Games – 19%
    4. Beauty & Personal Care – 19%
    5. Health, Household & Baby Care – 18%
    6. Kitchen & Dining – 16%
    7. Office Products – 15%
    8. Garden & Outdoor – 14%
    9. Tools & Home Improvement – 14%
    10. Pet Supplies – 13%
    11. Clothing, Shoes & Jewelry – 13%
    12. Books – 12%
    13. Grocery & Gourmet Food – 12%
    14. Arts, Crafts & Sewing – 12%
    15. Electronics – 12%
    16. Baby – 12%
    17. Industrial & Scientific – 8%
    18. Automotive Parts & Accessories – 7%
    19. Appliances – 5%
    20. Cell Phone & Accessories – 5%
    21. Handmade – 4%
    22. Video Games – 4%
    23. Apps & Games – 4%
    24. Luggage & Travel Gear – 3%
    25. Computers – 3%
    26. Musical Instruments – 2%
    27. CDs & Vinyl – 2%
    28. Collectibles & Fine Art – 1

    • 0 avatar
      Luke42

      Either they can’t do math, or a product may be in more than one category at a time.

    • 0 avatar
      spookiness

      I skimmed the report and took it to mean “40% of Home & Kitchen products are sold by third-party sellers who sell their stuff on Amazon, vs. the 60% which is sold by Amazon itself”

      I’m too lazy to research further to see if that means 40% of total number of products available for sale, or sales volume. I think it just means product selection per category.

  • avatar
    Land Ark

    “Not surprising is that 78 percent of all products sold on Amazon originate in China, with the U.S. coming in second at 25 percent.”

    [dog head tilt.jpg]

    My current job has me working closely with Amazon from without. Specifically with AWS in Northern VA. I can safely say that Amazon is a terrifyingly big company.

    • 0 avatar
      28-Cars-Later

      We used to have these things called anti-trust laws but it was decided those were just too 20th Century.

      • 0 avatar
        jkross22

        28-cars, Yup. It’s a shame too, because those anti-trust laws are batting 1000. Each time they were used, they had the intended effect (or is it affect?).

        Unfortunately, we consistently elect the equivalent of the Cowardly Lion from Oz, people with no courage and even worse, no integrity.

      • 0 avatar
        CaddyDaddy

        When votes don’t matter, just consolidating power with a govt./big business partnership; it all works much smoother at the top!

      • 0 avatar
        CaddyDaddy

        When votes don’t matter, just consolidating power with a govt./big business partnership; it all works much smoother at the top!

        • 0 avatar
          FreedMike

          Oh, stop…like Amazon became this big as the result of the last election?

          Nope. Last I checked this is the same Amazon that was around on January 21, 2017, and aside from b*tching about how nasty and unfair the Washington Post (which Bezos owns) was to him, three words describe how much Trump did about Amazon:

          1) Zero
          2) Zip
          3) Nada

          But, hey, it appears as the result of the last election, Amazon is now Taking Over The World, or sapping and impurifying all our precious bodily fluids, causing bad table manners, and all manner of societal ills. LOL…Trump Derangement Syndrome indeed.

          • 0 avatar
            CaddyDaddy

            Freed Mike… Who mentioned Trump?? and why is it that the Left is now the champion of Big Business working in hand with Big Govt. oh wait stop, there is your answer. Unfortunately, too many people are happy to purchase underpriced goods with subsidized slave labor in China, 0% money from the FED and taxpayer subsidized postal rates. Amazon main source of Income is derived from Data hosting the US Govt.

          • 0 avatar
            FreedMike

            Ah, so all the sudden, in the last two weeks, Amazon and “the left” have teamed up? Okay, I’ll play. You say that big government and big business teaming off to make money off each other is bad. I’m sure your next move is to call your congressman and tell him/her to stop sending money to defense companies…right?

            Sorry, that’s been going on a LONG time. The only reason “the right” has a problem with this being done with Amazon is that Jeff Bezos doesn’t like Trump (yep, there’s that name again).

            “Unfortunately, too many people are happy to purchase underpriced goods with subsidized slave labor in China,”

            Absolutely correct, but is Amazon the only company doing this? How much Chinese crap can you buy at Wal-Mart – which, by the way, is owned by a family that is a bunch of MAJOR Republican backers? Come on. This isn’t a “left wing buying stuff from China problem” – it’s a “EVERYONE buys too much stuff from China” problem. And if we want to mention the former president, then fine – what, exactly did he do to change this? Not much, far as I can tell…unless, of course you count “hey, Xi Jinping, can you please take a break from terrorizing Uyghurs and oppressing Hong Kong to investigate Joe Biden?” Yeah, that worked fine, I’m sure.

            “Amazon main source of Income is derived from Data hosting the US Govt.”

            OK, but a) that didn’t happen in the last two weeks, b) other companies are certainly free to bid for the government’s business, and c) if this was a problem, why didn’t the former president do anything about it?

            It IS very much about Trump.

          • 0 avatar
            Old_WRX

            FreedMike,

            “Trump Derangement Syndrome indeed.”

            Seems to me it’s the dems who suffer from trump derangement syndrome.:-) Y’all seem obsessed with him. He’s gone, OK? Time to let it go.

          • 0 avatar
            FreedMike

            So says the the who’s riding the “stolen election” train, LOL…

          • 0 avatar
            Lou_BC

            It was under Ronald Reagan that antitrust laws were dismantled. It was also under him that “truth in broadcasting” laws were neutered.
            Give all of the wealth, power, and voice to the elite few.
            That’s why we’ve seen the rise of populist nationalism. The uneducated middle-class got stripped of income, and the media fed them lies.

      • 0 avatar
        FreedMike

        Is this really something antitrust laws would cover, though?

        The case can be made that Amazon is too big, and that it’s size is a problematic.

        But I think viewing this through an antitrust/monopoly lens is also problematic because that’s not the way this company got so big – it got that way because it had a whole series of good ideas and executed them incredibly well.

        When I think “monopoly,” I think AT&T prior to 1980. They literally owned almost all of the telephone lines in the country, and the nature of the telephone business was that anyone who wanted to compete with them had to basically duplicate their local and long distance networks, which was impossible. No one had the capital to duplicate their networks. As a result, unless you lived in certain rural areas, you literally had to buy service (and the equipment!) from them. THAT is a monopoly.

        Now, if I want to buy stuff online, do I *have* to buy it from Amazon? No. They have real competition in every area of their retail business. The difference is that Amazon is far more efficient at getting stuff to its customers than its’ competitors are. That’s why no one has broken the company up.

        As far as the “they buy too much stuff from China” argument is concerned, yep, they do. So does every other company, including Mom ‘N Pop’s Corner Store. It’s an issue, but it’s not an “Amazon issue” – it’s a “too much stuff is bought from China” issue.

        The only real problem area I see is in their AWS architecture. But I’m not knowledgable enough about that to really comment.

        • 0 avatar
          CaddyDaddy

          FreedMike… Man I rented some space in your head. CaddyDaddy does not shop at Walmart and yes, I have called my congressman to object to “Defense” spending. It’s a bloodbath for all involved except for those at the top. I buy from Estate Sales for most of my non-food goods. I Recycle and buy top-quality Made in USA goods.

          • 0 avatar
            FreedMike

            Good for you. But the fact remains that Amazon and the zillion other companies who specialize in selling cheap Chinese goods do it because there are hundreds of millions of people who either a) don’t care, or b) don’t want to spend on higher-priced American-made goods, or c) can’t AFFORD to spend on higher priced American-made goods. And I’d say it’s mainly b) and c).

            But either way, regardless of what motivates people to buy cheaper stuff from China, that’s what the market wants right now. We’re really going to give Amazon crap for delivering it cheaper? I don’t see the point.

        • 0 avatar
          Old_WRX

          FreedMike

          “So says the the who’s riding the “stolen election” train, LOL…”

          Election over. Ancient history. You need to come up with something more current. Time to stop blaming the past admin for everything and start looking at what the current admin is doing. Or keep blaming orange man for everything wrong in the world. Whatever.

          • 0 avatar
            golden2husky

            The election may be over but Trumpism is alive and well. And the Republican party is choosing not to sever the ties from him. Quite the opposite in fact. That is painfully obvious. Just look at the treatment of Liz Cheney – a textbook traditional Republican. *That* Republican Party is on life support.

          • 0 avatar
            Lou_BC

            @golden2husky – agreed. tRumpism has a firm hold on the Republican party.

            @Old_WRX
            As far as “get over it the last election is over” rhetoric, the vast majority of Republicans believe tRump should still be president. You still do.

          • 0 avatar
            Old_WRX

            golden2husky,

            “Trumpism is alive and well.”

            If people wnat to cling to Trump they will cling to Trump. That’s their problem. I have no illusions about Trump coming to save the country.

            Lou_BC,

            “You still do.”

            Nope. Over. Done. History. If you think I still do, that’s your illusion.

          • 0 avatar
            Lou_BC

            @Old_WRX – well then, it looks like your posts painted the incorrect picture. Kinda like anything tRump has said.

        • 0 avatar
          tonycd

          Freed, yes, Amazon very much is an antitrust question. “Amazon Marketplace” has become the de facto Internet bazaar where their smaller competitors have to sell in order to reach most consumers. Not only is this a monopoly setup on its face, it’s a situation Amazon has exploited to the max by gathering all the information on both the customers and the third-party products, then bringing out its own knockoffs and underpricing them, crushing the smalls.

    • 0 avatar
      Old_WRX

      Lou_BC,

      “it looks like your posts painted the incorrect picture.”

      I was a bit disgruntled about the election at the time, but not surprised. But, it’s not going to change, water under the bridge.

      Neither party has a great track record when it comes to truthfulness.

  • avatar
    mcs

    This kind of crap has no business on an automotive site. Sure, I can just not read the article, but the real problem is that you’re not spending time and effort on automotive content. There’s plenty going on in the automotive world and you seem to not have an interest in it and would rather publish unrelated business/political news. Readers interested in politics are going to go to political sites and anyone interested in automotive content will see the political/business stuff and go elsewhere.

    • 0 avatar
      FreedMike

      I disagree.

      “…sellers of automotive parts and accessories maintain that Amazon is a behemoth in the industry…”

      Plus, Amazon is a MAJOR purchaser of commercial vehicles, which are produced by the automotive industry. Amazon is also going heavy into electrified delivery trucks, and electrified trucks are going to be a massive development for the auto industry.

      That’s why it’s news on this site.

      My only complaint is that this is a day late (I believe Bezos announced this yesterday).

  • avatar
    cimarron typeR

    vertiscope purposely make posts for the clicks political banter brings. $. Fine with me. Here’s my click, now go spend the money on more Rare Rides. In the meantime my serious auto reading goes to Hemmings.

    • 0 avatar
      Tim Healey

      We don’t do any editorial posts solely for clicks. We do news posts — including those that report on politics — to provide you with industry news. If we write an op-ed that’s “political”, it’s because someone has something they want to opine about.

      Clicks are a nice benefit, IF we get them. They’re not a given. And while the potential engagement of any one post is something we think about when deciding what to cover, it does not solely drive the choice.

  • avatar
    ToolGuy

    • Amazon is pretty good and getting better for car parts. The “Your Garage” feature is extremely helpful, as is the searchable purchase history [i.e., didn’t we just change the front brake pads on the Liberty? I guess mountainous terrain makes a difference – time to step up to “severe duty” brake pads]. The application information could be improved (rockauto’s is pretty much flawless), but the reviews are helpful.

    • Amazon is extremely good for tools, including refurbished power tools. The reviews are priceless when it comes to specialized tools.

    • Amazon is pretty much unbeatable right now for things like brake cleaning fluid ($3.97 shipped for a can of CRC Brakleen? yes please) or 3M masking tape.

    • Importantly (as Bezos points out), Amazon has spurred other companies to step up their game. I ordered copy paper from Walmart+ yesterday morning and received it… yesterday morning [sooner than promised]. Is this because of ARPANET in the 1960’s, or is it because Amazon scared the crap out of Walmart in 2019? (I have my opinion.)

  • avatar

    I despise Bezos because he is a moron. But I am a big Amazon fan and Amazon Prime member and I do not care about Parler or Twitter. But what that idiot Bezos did is dramatically increased visibility of Parler. And by banning 45 Twitter helped to improve his image since spared us from his idiotic tweets every morning (which I did not read anyway but was force fed by TV) and increased his popularity and made him a martyr. Now they will crucify him and cement his heroic image for decades to come. And remember 2000 years later JC is still most popular superstar on the planet.

    • 0 avatar
      Old_WRX

      Inside Looking Out,

      “made him a martyr.”

      They really did/are, aren’t they? If they were smarter they’d stop yammering about orange man all the time. Amerikan memory/attention span is very short — people would forget him in about two days. I guess they want to use him for the two minute hate on the telescreen. Maybe someday the left will finally realize that he’s not POTUS anymore.

    • 0 avatar
      Imagefont

      WHat Twitter did by banning Trump and what Amazon did by refusing to host Parlor… was do the right thing. 45 needed squelching for lying all the time and inciting insurrection, the actual morons are the low IQ weekend warrior “patriots” who believed him. And even Facebook did the right thing. And in all cases these persons / entities simply broke very reasonable and logical and boring and mundane terms of use rules, repeatedly and knowingly. I thought it was funny.

      • 0 avatar
        Old_WRX

        Imagefont,

        “WHat Twitter did by banning Trump and what Amazon did by refusing to host Parlor… was do the right thing.”

        a) You read way too much CNN or NYT or equivalent. b) If you are in favor of censorship based on political bias you’re pretty far down the road to perdition. c) If you don’t believe that those two sleazy actions were censorship based on political bias see item “a)”.

        When exactly did the left (I won’t call them “liberals” because they aren’t) become anti-free speech? Is that really what you want? Big tech and or government deciding what you can say and what you can’t? Do you want them deciding what is “true”?

        • 0 avatar
          Lou_BC

          @Old_WRX – lying incessantly to the point where a march turned into a riot of the USA capital is why he was banned.

          The majority of Republicans believe those lies and therefore believe the USA election was rigged.

          Free speech does not mean the freedom to lie your orange azz off to the point where people actually believe it.

          Free speech is a right but every right comes with responsibility. You have to use it in a manner that does not cause harm. Lies from a position of power causes harm.

  • avatar
    Jeff S

    I have ordered many auto parts and supplies from Amazon. I ordered a new rear bumper for my 2008 Ford Ranger which came within 2 days along with front and rear mud flaps and side window deflectors which were considerably less expensive than the auto parts store or other online auto parts sites. Having Amazon Prime I also watch Amazon programs. Yes Amazon is big but they are meeting a need that traditional retailers have not.

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