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Amazon Takes Half of US E-Commerce

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Amazon will clear $258.22 billion in US retail sales in 2018, amounting to just over 49% of all spending online throughout the country, according to data from eMarketer.

Already subject to antitrust investigations, the e-commerce giant has been reinforced by numerous third-party sellers, an expanding range of products, and added benefits in the form of a Prime membership.

However, there are concerns that Amazon are reaching a tipping point, with its nearest competitor eBay well behind with just a 6.6% share of the market. Apple, by comparison, is worth just 3.9%.

Mare Straetmans explores how start-up organisations are transforming the sector in a recent Port Technology technical paper

Amazon’s Marketplace, where third-party sellers and retailers offer their goods, has facilitated the company’s meteoric rise and dominance over the supply chain. Worth 68% of all sales, Amazon Marketplace’s share is likely to overtake Amazon’s own by the end of 2018.

Andrew Lipsman, eMarketer principal analyst, said: “The continued growth of Amazon’s Marketplace makes sense on a number of levels.

“More buyers transacting more often on Amazon will naturally attract third-party sellers. But because third-party transactions are also more profitable, Amazon has every incentive to make the process as seamless as possible for those selling on the platform.”

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