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Apparel brands account for 88% of Amazon’s private labels, but only 1% of private-label sales, according to a report by Jungle Scout, an Amazon Product Finder and Research Tool. Largely womenswear, 80% of these apparel private labels sell fewer than 100 items each month. Instead, technology is driving the company’s private-label sales: Echo devices comprise 35% of Amazon’s private-label sales—contributing to Amazon’s domination over the U.S. smart speaker market—and Fire tablets account for 22%. Amazon has attempted to mitigate its private-label fashion woes with services like Prime Wardrobe, Amazon Scout, and its SnapChat visual product search—last week, it also launched a London fashion pop-up, but instead of singling out its private labels, it interspersed them with brands offering similar price points. But with more competition in the apparel category, Amazon is falling behind other mass retailers like Target, which continues to see strong performance across its private-label fashion brands—in 2016, these brands accounted for 30% of the company’s total revenue, many attaining more than $1 billion in annual sales.

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