Xavier Garambois, who has been running Amazon’s European retail operations for the past eight years, is leaving the company. According to The Telegraph, he will be replaced by Jorrit Van der Meulen, Amazon’s vice president for Europe, who has also been in charge of Amazon Devices (Alexa, Vesta, etc.) outside the U.S.
Garambois started to run Amazon’s European operations in 2012 after working for its French subsidiary for ten years, the last eight as its general manager. His departure is taking place at a time where the German Cartel Office is investigating Amazon’s pricing policies on its Marketplace. The issue is discussed by Jochen Schäfer, legal advisor to the World Federation of the Sporting Goods Industry (WFSGI), in an opinion piece posted on our website.
Garambois’ exit also comes shortly after Doug Gurr, Amazon’s general manager for the U.K., announced his departure. He is now running the Natural History Museum in London, and his position has been taken by John Boumphrey, formerly vice president of Amazon Fashion Europe. In the U.S., Amazon said that Jeff Wilke, global consumer chief, said last month that he was going to “retire” early next year to be replaced by Dave Clark, senior vice president of retail operations. Wilke has been described as the “lieutenant” of Jeff Bezos, founder and chief executive of the group.
Whatever the reasons for these executive changes, it’s interesting to note that the profit margins generating by Amazon outside the U.S. exploded during the second quarter ended June 30. The operating results of its international operations turned around to a profit of $345 million from a loss of $601 million, in spite of higher operating expenses. International sales went up by 35 percent to $22.7 billion.
The Seattle e-commerce giant continued to book higher profits of $2,141 million from its North American operations and of $3,357 million from its Amazon Web Services (AWS), whose revenues increased by 43 percent to $55.4 billion and by 29 percent to $10.8 billion, respectively.
On a consolidated basis, the company’s net income nearly doubled to $5,243 million in the quarter on 40 percent higher net sales of $88.9 billion, indicating that Amazon benefitted a lot from the Covid-19 pandemic.