Bezos launched Amazon from his garage in 1994, when he quit his job. Amazon received its first online order in 1995 – a book copy. Amazon sold books in 45 countries and all 50 states within the first month after its launch. In just 30 days, Amazon had already generated sales of $20,000 per week.
Amazon has been around for 25 years and is the largest online retailer in the world. It is a household brand.
Amazon is synonymous with online shopping. It continues to grow through new product development, acquisitions, and different service offerings, expanding its customer base. Amazon has developed its target market to reach as many people as possible. Amazon is doing an excellent job because there’s something for everyone. Amazon is becoming more popular as online shopping grows. People turn to Amazon for everything from every day groceries to seasonal gifts.
If you are looking for ways to make money on Amazon or need inspiration on creating your own store, check out our Amazon Guide. It will teach you the best tactics to get sales.
Amazon is PopularAmazon’s popularity is undeniable, and the numbers speak for themselves. The Amazon shopping app is the most popular in the United States. 98.07 million users use it at least one time a month. It is only a few million behind Walmart’s app for shopping, which is used by 120,000,000 people each month.
Amazon’s app is also used by far more people than Target’s. Target’s app is used by only 17.12 million monthly users, compared to Amazon’s 17.25 million.
Mobile Commerce has become very popular with online shoppers. Mobile retail sales are predicted to reach 431 billion in 2022 in the US. It could be due to the seamless experience shopping apps provide their customers. Online shopping is becoming more and more convenient. It also means customers can buy their favorite products while moving. Online shopping does not require a desktop.
Amazon deserves credit for revolutionizing online shopping. The shopping experience has been made incredibly easy. Amazon allows you to order almost anything. Amazon’s robust customer relationship is another positive factor. More on that later.
Amazon Customers Trusted
Customers trust Amazon. Customers trust Amazon. A survey of over 2000+ US consumers found that 89 percent of respondents agreed they were more likely to purchase products on Amazon than any other ecommerce site (Feedvisor, 2019). Amazon is the most critical ecommerce site. This was especially true for those who regularly purchase products online. Amazon is preferred by 98 percent of customers who buy products on Amazon every day or almost daily and 99 percent of those who make purchases on Amazon several times a week. Amazon is dedicated to providing consumers with a reliable and consistent online shopping experience. Customers know what they are getting into.
Gaining customers’ trust can be a step towards success as a brand or company. Amazon’s trust with customers is built on consistent, transparent product experiences. Forbes has famously said, “Amazon has earned our trust by delivering the products we want, on time, intact, in the same branded brown boxes–consistently.”
You must consider building customer relationships if you are a business or brand. Customer relations will help you attract more customers. By focusing on clear and truthful product information, you can provide a consistent shopping experience for your customers in the age of online retail. Brands need to build trust by delivering the right content and encouraging customer reviews.
This guide will teach you how to sell products on Amazon.
Amazon Prime members
Amazon Prime continues to attract more online shoppers. There are currently 150 million Prime subscribers. This is a 50% increase from April 2018’s 100 million (VentureBeat, 2020).
Amazon Prime is an Amazon-paid subscription service. The program, which was launched in 2005, is available worldwide. Subscriptions include services like free 2-day shipping (or faster), music and video streaming, and other benefits.
Amazon Prime customers in the US tend to shop for electronics, clothing, home and kitchen products, and apparel.
Amazon Prime members are more engaged. In a survey conducted in February 2019, 20% of Amazon Prime members stated that they shop on Amazon at least a few days per week. Seven percent said that they do so (almost daily).
Amazon regularly adds new features to its Amazon Prime subscription. Recently, Amazon extended Prime benefits by including free delivery for purchases made from Amazon Fresh. This would have cost $14.99 per month. Amazon Prime is an excellent option for online shoppers.
Amazon, the world’s largest ecommerce company, has seen its revenues grow in line with global sales.
The latest fiscal numbers from Amazon show that the company made. This is a 44 percent increase from the previous year.
Amazon’s Q4 revenue for 2020 is $7.2 billion. This is more than twice the amount of last year.
Amazon continues to get the bulk of its sales from North America. The region generated sales of $75.3 billion, a 40% increase over the previous year. This compares to $37.5 billion from international sales.
The company expects to see increased sales in the first quarter of 2021. The company has predicted growth between 33 and 40% year-over-year to reach between $100 billion and $106 billion in net sales.
Amazon’s Most Popular Product Categories
Home and kitchen are the most popular categories of products for Amazon businesses. Nearly a third of Amazon’s small and medium enterprises (32%) sell products in this category. (Jungle Scout 2022).
Beauty and personal care is the second most popular category. Amazon SMBs sell 23 percent of their products in this category.
Amazon works constantly to increase the number of products and categories available on its platform. It is growing to reach new customers and different niches.
Amazon’s diverse product range is a key strength differentiating it from competitors. It also explains why many companies need help achieving success on par with Amazon.
By expanding its categories, Amazon is making itself more accessible to a broader audience and continually expanding its market target to reach the most people possible. Amazon maintains quality standards which help to build trust.
The most important factors that influence Amazon’s purchases
Amazon is a popular shopping platform for consumers. What drives consumers’ purchasing decisions on Amazon?
According to a survey, price is the most critical factor in Amazon purchases, with 82% of Amazon shoppers listing it as a significant shopping consideration (Statista, 2019).
According to 70 percent of Amazon customers, low shipping costs are also substantial. Positive product reviews are also considered by 57 percent.
Amazon’s quick shopping and return products are also popular with many customers. These are the most important things to consider when shopping online on Amazon, according to just under half of Amazon customers.
Amazon Prime is growing, but it is not a deal breaker for consumers choosing between products. Over one-third (35%) of shoppers say Prime eligibility is essential.