Consumers are rational—over time, a platform either delivers value or it dies. For Amazon, user stickiness boils down to three things: lower prices, better quality, faster delivery. Their delivery network? That's their real moat. No one else in the US comes close (not Walmart, not Temu—trust me, I've tested both).

But here's what most sellers miss: Amazon's using everyday consumables—paper towels, batteries, pet food—to drive repeat visits. Those low-margin, high-frequency items are the hook. Get a customer in the ecosystem, and they'll almost always buy higher-margin stuff too (I've seen this with my own pet supply brand).

This is where third-party sellers fit in. Amazon wants branded sellers who offer good value in niche categories. They'll give you traffic if you build a real brand with quality products. The days of generic reselling are fading.

Don't get me wrong, Amazon has plenty of issues. But it's still the best bet for long-term brand building. So what does this mean for sellers in 2026?

  • Commodity products (no differentiation)? You're competing on price alone—and Temu'll eat your lunch.

  • Building a real brand with differentiated products? Amazon is still the best place to scale.

Amazon's Prime ecosystem (video, music, shipping) creates lock-in that Temu and TikTok can't easily replicate. Those platforms are great for discovery and impulse buys, but they don't have the fulfillment infrastructure or the trusted brand equity for big-ticket purchases.

That said, the competitive landscape has shifted. Temu's GMV hit $200B+ in 2025. TikTok Shop exploded. Walmart+ is growing. But Amazon still holds ~40% of US e-commerce. That's not changing overnight.

For sellers, the smart play is multi-channel. But if you have to pick one platform to build a long-term brand? I'm still betting on Amazon.

Curious to hear your takes—are you diversifying away from Amazon, or doubling down? I've been on the fence lately, so any real-world experience helps.