‘Fulfilled by Amazon’ – Aggregator Razor Looking Sharper

Founded in Berlin in 2020, Razor buys cottage industries or small-scale businesses that sell successfully on Amazon and builds them up into brands. For the ‘Fulfilled by Amazon’, or FBA, seller, pretty much everything except production itself is handled by Amazon, and aggregators, also known consolidators, acquire the ones with promising metrics. FBA is a vibrant market, and many products being pushed on Amazon come from such ‘next-generation’ consumer goods businesses being led by aggregators. Global operator Razor is one of the biggest of these brand-builders and has bought up 25 businesses in the first half of 2022. It is also big enough to buy up competitors, such as Factory 14 in 2021. We have already reported on Berlin Brands Group, another company in this space, and the business model works so well that it is backed by heavy-weight investors. Tech.eu has just announced that Blackrock and Victory Park have put another $400 M into Razor. It is unclear what Razor intends to use these fresh funds for, to buy more brands or swallow up more competitors.