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Amazon is taking over the eCommerce platform. If you don’t believe it, you need to read these Amazon FBA facts.
Read the facts about amazon and make the most out of it. Millions of people are making heavy profits every day. These facts can help you to understand Amazon in a better way and then you can make the best of it.
Amazon started in 1994 inside a garage and has now become the second company ever to hit a $1 trillion mark.
If you are planning to start your business on Amazon, then this article can definitely give you some motivation and direction.
Amazon Statistics and Facts (2022-2023)
1. With sales of $513 billion in 2022, Amazon was the world’s third-largest company by revenue.
2. 15% of those sales came from Amazon Web Services.
3. In 2022, Amazon had its first annual financial loss in seven years, $2.7 billion.
4. Amazon Prime has 220 million members worldwide, with 168 million customers in the US alone. In 2022, Prime Music had 74 million subscribers.
5. Amazon Revenue: In terms of sales, Amazon is the third largest publicly traded company in the world, trailing only China’s State Grid and Walmart. Revenue is increased by 9.1% to $513 billion in 2022.
6. Amazon Profits: After seven years of net profit, Amazon turned to loss-making in 2022. In 2022, Amazon’s parent company faces an annual net loss of over $15 billion.
(Data Source)
Amazing Amazon FBA Facts (2021-2022)
1. Amazon’s Share of the US Ecommerce Market is 45%
2. Almost 1 in 3 Americans Have a Prime Membership
3. Amazon Sales Per Second, Minute, and Hour in 2021
- Each second, Amazon records $4,722.
- Each minute, those sales amount to $283,000.
- And in an hour, that averages more than $17 million.
4. Amazon is Most Leading brand worldwide in 2021, by brand value (683 billion USD)
5. Most visited multi-platform U.S. web properties 2021
Most popular multi-platform web properties in the United States in June 2021, based on the number of unique visitors of 270.15 million.
6. Total global visitor traffic to Amazon.com 2021
Worldwide visits to Amazon.com from January to June 2021 (in billions). In June 2021, Amazon.com had over 2.7 billion combined desktop and mobile visits, up from 2.3 billion visits in February 2021. The platform is by far the most visited e-commerce business in the United States.
7. Around 244 million people visit Amazon every month.
8. Amazon’s revenue in 2020 was 38 times higher than eBay’s.
9. There are 142 million Amazon Prime members.
10. An Amazon Prime member spends around $1,968 on the platform every year.
11. Alibaba is growing faster than Amazon.
12. 80% of sellers on Amazon also sell on other platforms.
13. Ex-CEO Jeff Bezos owns 10.3 percent of Amazon and is the wealthiest person on the planet as of May 2021 (Forbes)
14. Amazon has sold between 20 and 90 million Kindle e-readers since its launch (Goodreader)
15. Amazon also witnessed an increase of 48% from last year’s income in Q2 2021
16. Number of websites using AWS in January 2021: 16 million (Builtwith)
17. Percentage of paid units sold by third-party sellers on Amazon platform as of 2nd quarter 2021 (Statista)
18. In 2021, Amazon stood at the 11th position in global internet traffic engagement
19. In the first quarter of 2021, 55% of the sales were done by third-party sellers.
20. Amazon’s share of the eCommerce market is projected to increase to 50% in 2021.
21. Almost 90% of consumers are more likely to purchase a product from Amazon than any other website.
22. 70% of all Amazon consumers do not browse the second page of the search results, and 35% of them look and click on the top search result.
T0p 10 Amazing Amazon FBA Facts (2020-2021)
1. NUMBER OF AMAZON PRIME MEMBERS
Amazon is popular for its Prime membership program that comes with many benefits for the sellers. Amazon’s Prime membership program reaches an increasing amount of online shoppers. There are currently 150 million prime subscribers which is a 50% increase from 100 million in April 2018.
2. AMAZON REVENUE
The latest fiscal numbers from Amazon show that the company made $75.5 billion in sales revenue in the first quarter of 2020, these numbers were beating the forecast of $73.61 billion. Out of the total revenue, the net income generated was $2.5 billion.
As the sales of the global eCommerce platform continue to grow, it is no surprise that Amazon is the top eCommerce company in the world earning the highest amount of profit.
3. THERE IS NO SALES QUOTA
Many people think that as Amazon is a big eCommerce platform so it must be charging monthly charges for being a part of the Amazon FBA business plan but that is not the case.
Amazon understands that not all products have equal demand and sometimes the sales of a product take time. Amazon also offers opportunities for small and medium-size entrepreneurs. There are a lot of facilitates for sellers to start their Amazon online business smoothly.
4. FBA ISN’T MANDATORY
The best thing about selling on Amazon is it is very convenient for all types of sellers. You can be a big entrepreneur with a heavy investment or you can be an entrepreneur with zero investment, everyone can start their online business with Amazon.
Amazon FBA service is the service provided by Amazon to its sellers which stands for fulfillment by Amazon, under which Amazon provides the shipment, pick, pack, and drop service for the Amazon customers which is chargeable.
But the best thing is that it is optional and if the sellers want to make the delivery of the product on their own they can do it.
5. YOU CAN FULFIL ORDERS THROUGH OTHER CHANNELS USING FBA
One of the biggest attractions of FBA is that it fulfills the orders made by websites other than Amazon too.
Many people think that FBA is a part of Amazon so it only provides services to the orders made by Amazon but FBA services can be taken by sellers selling on different platforms too.
6. YOU STILL HAVE TO PAY FOR SHIPPING TO AMAZON FULFILMENT CENTERS
Although your shipping cost to customers is baked into FBA cost, you’ll still need to fork over some cash to get your products to the fulfillment center.
So you need to pay a very little amount for shipping as Amazon has Partnered Carrier options that enable sellers to ship products to Amazon fulfillment centers at a dramatically reduced cost.
7. THERE ARE NO LIMITS ON INBOUND TRANSPORTATION TO A FULFILLMENT CENTER
There is no limit or restrictions set by Amazon to how many products can be sent to the fulfillment center. This is a beneficial thing for the sellers as on the other platform the costs and charges vary on the number of products.
8. AMAZON USES THE FIFO METHODS TO DETERMINE STORAGE FEES
FIFO method is the first in first out method which means the orders will be fulfilled on the basis of the time the order reached the fulfillment center and also depends on the time of the order received and once the products are done they will not be subject to the storage fees.
9. AMAZON CHARGES LONG TERM STORAGE FEES
This simply means that if your inventory moves very slow, you might have to pay the extra storage charges for keeping it for the long term. A particular time period is decided for it. It includes the FBA and fulfillment fees.
10. FBA ACCOUNT SUSPENSION
Not following the amazon policies and guidelines can lead to the suspension of your Amazon FBA account. So these are some of the things that can suspend your FBA account:
- Having more than one seller account
- Manipulating or falsifying reviews
- Poor quality products
- Violating intellectual property laws
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Top 20 Mind-Blowing Amazon Facts (2019-2020)
1. AMAZON SOLD 175 MILLION ITEMS DURING AMAZON PRIME DAY IN 2019.
Amazon reportedly sold 175 million items during its two-day sale event called Amazon Prime day. The volume of the products sold during the event was over a billion dollars.
Amazon prime the name by which the event was named is a premium subscription service under which customers get benefits such as free faster delivery on some items, access to Amazon Music, and Prime Video.
2. 206 MILLION PEOPLE VISIT AMAZON EVERY MONTH
As we know that Amazon sells it’s products globally and people visit amazon around the world. So according to a report, over 206 M people visit amazon around the world.
It is quite a big number and this clearly shows the popularity of Amazon around the world.
3. AMAZON GENERATED 232 BILLION DOLLARS IN NET REVENUE IN 2019
Amazon’s generated a 12 months revenue for the month ending March 31, 2019, was $241.545 billion, which was a 25.03% increase year over year. Most of its revenue was generated from the online sales of electronics and other products of the marketplace.
4. AMAZON EMPLOYS OVER HALF A MILLION PEOPLE.
According to Amazon’s 2019 report for shareholders from the last year, Amazon employs 647,500 employees from all over the world. It can be understood as the population of Iceland. So Amazon provides employment to a large number of people.
5. AMAZON IS ONE OF THE MOST VALUABLE COMPANIES IN THE WORLD
Recently, Amazon has been ranked as one of the most valued companies in the market. Previously, there were some big names in the market which were considered as the most valued company like Apple, Google, etc but now amazon is also considered as one of them.
Amazon has shown immense growth in the last few years and is a part of that group as it has grown over $ 900 billion in recent years.
6. CUSTOMERS TRUST AMAZON
For any seller to sell his products customer trust is very important and Amazon customers trust amazon. This has been proved in a market survey.
Based on a survey of more than 2000+ US customers, 89% of buyers agree that they are more likely to buy products from amazon than other eCommerce platforms. Amazon has become a popular and trusted eCommerce platform for its customers. Also, providing the best amazon customer service.
7. THE MOST POPULAR AMAZON PRODUCT CATEGORY
Out of all the product categories available on Amazon, the electronics category is the most popular category on amazon purchased by US customers.
In 2019, 45% of US customers Amazon shoppers have purchased their electronics from Amazon. After the electronics items, the most purchased items were clothes, shoes, and jewelry were 43% and home and kitchen items were 39%.
8. AMAZON USAGE BY DEVICE
As we know that with the progress in technology over the past few years people have started using mobile phones more than desktops. But in a study, it has been found out that most Amazon customers prefer desktop over mobile while making a purchase. 67% of Amazon customers shop use desktop, computer, or laptop for shopping.
9. NUMBER OF ITEMS SOLD ON AMAZON PER MINUTE
Millions of small and medium-size business sellers work on Amazon due to a number of reasons like easy account creating, starting a business on Amazon with very less investment, the popularity of the platform, etc. But the recent study shows us a bigger reason for this.
On average, SMBs located in the US sell more than 4000 items per minute (Amazon, 2019). And most of the items sold by Amazon worldwide are from small medium enterprises.
10. NUMBER OF SELLERS ON AMAZON
Amazon is a popular platform and sellers join Amazon to sell its products to reach millions of customers with a trusted brand name.
According to a study, Amazon has more than 2.5 million sellers selling on Amazon. There are roughly 25,000 sellers on Amazon with more than $1 million in sales, and 200,000 sellers with more than $100,000 in sales. Every year millions of new sellers join Amazon which makes it a big e-commerce platform. Read more about amazon authorized suppliers.
Wrapping up
These were the interesting facts about the biggest eCommerce platform called Amazon. We hope this will help you to get a better understanding of shopping or selling product on Amazon.
Time to take your online business to new heights. Contact our Amazon fba consultant today for eCommerce product research.
