Flowspace

### E-commerce Growth

E-commerce sales initially spurred by the pandemic show no signs of slowing down, [projected](https://www.emarketer.com/content/us-ecommerce-forecast-2021#page-report) to continue to grow by double digits, up 17.9% in 2021 to $933.30 billion.

All that money isn’t just flowing into major retailers, though. Sales on marketplace sites, like those operated by Alibaba, Amazon, eBay and others, [accounted for](https://www.digitalcommerce360.com/article/infographic-top-online-marketplaces/) 62% of global web sales in 2020, with $773 billion sold through U.S. marketplaces alone.

### Rise of Marketplace Aggregators

It’s no surprise then, that a crop of companies has emerged to acquire and scale the most successful e-commerce marketplace brands. In fact, since April of 2020 more than 60 of these aggregators [have raised](https://www.bloomberg.com/news/articles/2021-07-12/bidding-wars-break-out-in-sizzling-market-for-amazon-brands) almost $6 billion in funding, with the aim of applying economies of scale to functions like logistics and advertising.

Many of these marketplace-based brands rely on Fulfillment by Amazon (FBA), and are subject to the limitations of the service, including capacity limits, expensive inventory and long-term storage fees, and a refusal of meltable inventory for more than half the year.

Marketplace aggregators are in need of alternative fulfillment and on-demand storage solutions – like Flowspace – that operate alongside FBA, providing additional flexibility and optionality for seasonal spikes or contingency planning.

### How Flowspace Meets These Needs

**FBA Prep and Replenishment**  
With nationwide network capacity and infinite scale, Flowspace can provide [FBA prep](/content/blog/fba-prep-with-flowspace/index.html) and replenishment in any US geography. With fulfillment centers across the country, replenishments can be made quickly and strategically to avoid additional Amazon storage fees.

**Flexible, On-Demand Storage**  
Flowspace’s distributed network means that storage is available where and when you need it. With no space minimums, e-commerce businesses can avoid overpaying for unneeded space, contributing to an efficient, scalable supply chain.

**Native Integrations for Omnichannel and DTC Fulfillment**  
Flowspace's native integrations with Amazon Seller Central, Shopify, and other e-commerce marketplaces enable direct to consumer fulfillment, providing FBA contingencies and diversification for omnichannel strategies.

**One Partner, One Platform**  
Flowspace is the single partner that manages all relationships with fulfillment center operators, streamlining communication and reducing complications. The [Flowspace platform](/content/technology/index.html) offers a unified dashboard to manage warehousing and fulfillment for all portfolio brands.

Flowspace is the reliable e-commerce fulfillment platform partner that provides stability and control for aggregator companies. Those that plan now for the inevitable disruptions and further innovations in e-commerce will be outselling their short-sighted competitors when the time comes.

For more on Flowspace’s alternatives to FBA, check out [this blog](/content/blog/fulfillment-merchant-flowspace/index.html). To learn more about how Flowspace can help your company scale its supply chain strategies, [click here](/content/quote/index.html).

### Last Updated

July 23, 2021

### Category

Fulfillment

## Start Simplifying Fulfillment with Flowspace Today

Discover how Flowspace can simplify fulfillment and help your brand scale faster, with no long-term contracts or hidden commitments.