EP243 - Amazon Q3 2020 Earnings Recap  In this episode, we break down Amazon’s Q3 2020 earnings (PDF) results. Don’t forget to like our facebook page, and if you enjoyed this episode please write us a review on itunes. http://jasonandscot.com Join your hosts Jason "Retailgeek" Goldberg, Chief Commerce Strategy Officer at Publicis, and Scot Wingo, CEO of GetSpiffy and Co-Founder of ChannelAdvisor as they discuss the latest news and trends in the world of e-commerce and digital shopper marketing. Episode 243 of the Jason & Scot show was recorded live on Thursday, October 29th 2020. Transcript Jason: [0:24] Welcome to the Jason and Scott show this is episode 243 being recorded on Thursday October 29th 2020 I’m your host Jason retailgeek Goldberg and as usual I’m here with your co-host Scot Wingo. Scot: [0:40] Hey Jason and welcome back Jason Scott sure listeners. In today’s episode we are going to go into what is one of our more popular series where we do a hot take on Amazon’s Q3 results, I’ll give you one word to summarize them they were bonkers. Jason: [1:05] Sun News new your margin is their opportunity. Scot: [1:12] Before we dive in and take you through the highlights of the results let’s just set the stage a little bit so, if I was there in front of you on the Whiteboard I would draw Q 1 Q 2 Q 3 q 4 in a row, and because the pandemic and Q2 we saw a cross e-commerce super elevated growth rate of 45 percent. Prior to that e-commerce was growing at about 15% so we have this step function from q1 2020 up to Q 2 of a 3 x acceleration of growth from 15 percent 45 percent. [1:45] Kind of looking back to Q2 Amazon grew about 43 percent then so that was kind of the the day that we had in Q2 this kind of. Yeah 45 percent growth rate Amazon was in line with that. [1:59] Then we had a bunch of companies that grew faster or some degree a little bit slower but generally you know we had just this really tremendous quarter, a lot of folks thought you know that’s unsustainable and Q3 it’s going to come down pretty dramatically. And then just in the last week you heard it here first on the show as an exclusive we had emarketer released their fourth quarter holiday forecast for 2020. And they’re forecasting 38% for the holiday period, and then Salesforce just came out with theirs and they are looking at 34% and then Adobe just came out with theirs and they’re looking at 33%. So we have this kind of interesting bracket if you will over on one side we have q to that was at 45% and then over on the other side we have Q4, which you know if we look at kind of this range of 33 to 38 percent will call it 35 percent on average if we kind of triangulate on the three forecast there. So what you’re seeing is the pontificate errs are kind of seeing that we’re going to drift from this high Watermark of 45% you to to 35% you for. So that’s the stage that had me very interested to see where does Q3 come in because if we. Maybe if we are below that 35 percent growth rate that’s that’s interesting and if we’re way above it maybe those holiday forecast are a little on the conservative side. [3:24] So that that’s kind of the the macro stage coming into this quarterly release we did have a couple you just kind of the way the earnings results fall we had three folks. In the in this kind of e-commerce cohort before Amazon did today so let’s see I think first we had eBay and they were at 26%. So that would that would indicate you would just had that one data point you’d say oh wow we must have seen a really big acceleration eBay has been lagging the market already so that one’s not a huge surprise, and in fact they their growth rate came down to points so they were at like 28 percent from revenue, in the second quarter there your growth rate and then they ticked down slightly to 26 percent. [4:07] Then we had let’s see I think next was at Sea and they came in at a hundred and twenty eight percent year-over-year and what’s really interesting about Etsy is they saw