Amazon Sales Growth (2020–2025)
With a market cap of more than $1.5 trillion at the end of 2023, it should come as no surprise that Amazon is the largest ecommerce company in the United States and one of the biggest retailers worldwide.
How much does the company make in annual ecommerce sales in the US and what percentage of online sales is Amazon responsible for? In this post, we take a close look at Amazon’s sales growth in recent years and its share of total US ecommerce sales.
Amazon sales growth and US ecommerce market share: Table
|
Year |
US Amazon retail ecommerce sales |
Percentage of total retail ecommerce sales |
|
2020 |
$309.48 billion |
37.9% |
|
2021 |
$364.55 billion (+17.8%) |
38.0% |
|
2022 |
$398.13 billion (+9.2%) |
38.3% |
|
2023 |
$444.76 billion (+11.7%) |
39.6% |
|
2024 |
$491.65 billion (+10.5%) |
40.4% |
|
2025 |
$540.29 billion (+9.9%) |
40.9% |
Amazon sales by year: 2020–2023
Newly released data on Amazon’s sales growth shows that the ecommerce giant has demonstrated impressive sales growth in recent years. In 2020, Amazon's US ecommerce sales reached $309.48 billion, constituting 37.9% of the total US ecommerce sales for the year. The following year saw a significant jump of 17.8%, bringing the total to $364.55 billion. This upward trajectory continued in 2022, with sales hitting $398.13 billion, marking a 9.2% increase. In 2023, Amazon's sales grew by 11.7%, totaling $444.76 billion.
These numbers underscore Amazon's robust presence in the ecommerce market. Despite facing challenges, Amazon has consistently expanded its market share, proving its resilience and adaptability in a competitive landscape.
Amazon sales: 2024
By analysts’ estimates, Amazon is expected to continue its growth streak in 2024. Experts forecast that Amazon will account for 40.4% of US retail ecommerce sales this year, amounting to a total of $491.65 billion. This growth is driven by several factors, including Amazon's sustained innovation in delivery logistics, its expanding product range, and a strong emphasis on customer satisfaction.
However, despite its dominance in the ecommerce sector, Amazon will represent only 6.6% of total US retail sales this year. This relatively small percentage highlights the vast potential for further growth in the retail sector.
One of Amazon's main competitors, Walmart, is growing its ecommerce sales faster than Amazon, with a projected growth rate of 13.6% in 2024 (compared to Amazon’s 10.5%). Analysts say this can be attributed to Walmart's advancements in digital grocery sales, which continue to present a significant challenge to Amazon, particularly as the online grocery market expands.
Amazon growth projections: 2025
As we look toward 2025, Amazon's growth projections remain positive, albeit with a slightly slower growth rate. The company is expected to hit US ecommerce sales of $540.29 billion, a 9.9% increase from 2024. By this time, Amazon's share of US retail ecommerce sales is forecast to reach 40.9%. In other words, more than 40¢ out of every $1 US shoppers spend online will be on Amazon.
Additionally, Amazon’s percentage of retail sales in the US is expected to grow to 7%, indicating a gradual but steady increase in its influence over the retail market.
According to analysts, Amazon may struggle to maintain the ecommerce growth momentum it’s been enjoying in recent years. The company will need to fend off rising competition from emerging players like Temu and Shein in the fashion category. This is as competitors like Walmart and Instacart continue to dominate the digital grocery scene. Walmart currently holds the biggest online grocery market share (ranked by company), with 25.7%. Even though Amazon has the second-largest market share, at 22%, it is just slightly ahead of Instacart’s 21.6%.