44% of 2017 U.S. e-commerce Sales Came from Amazon

0
27

Amazon is dominating the e-commerce scene in the United States. It has accomplished this feat through drastic improvements in various categories while also maintaining market leadership in categories that it already has market leadership in. 

Its luxury cosmetics sales are one of its best improved categories with a 47% increase from last year’s numbers or roughly $400 million in sales. Their pantry category grew by 38% or $500 million in sales while the grocery and furniture categories both posted a 33% year-on-year growth worth $1.5 billion. 

They keep their dominance where they already usually perform well in. Consumer electronics remain as their top performing category with over $8 billion in sales. Their home & kitchen and publishing departments are tied with over $5.5 million and their sports & outdoors are settled nicely in fourth place.

Their acquisition of Whole Foods created an environment that resulted in a 35% annual growth in their consumables sales efforts. This purchase gave birth to the e-commerce giant’s second largest brand, 365 Everyday Value which is expected to raise the company’s revenue in the coming years.

All of these translates to Amazon having 44% of total e-commerce sales in the United States. It is equivalent to 4% of all the retail sales in the country.

Amazon’s success can be attributed to their ability to turn a roughly 50% share in total product internet searches into sales. This is enough to make Google and Facebook lose some advertising and retail revenue to the e-commerce behemoth. Experts attribute this high conversion of click-throughs to sales to Amazon’s focus on selling to the right people through its investments in marketing automation.

LEAVE A REPLY

Please enter your comment!
Please enter your name here