Amazon Sellers Facts and Statistics You Need to Know in 2024

January 26, 2024
Reading time: 7 min

Amazon is the largest online selling platform globally, with more than 300 million registered customers (RC). These potential buyers are what convinced every seller not to ignore this platform. Online shopping is drastically increasing based on Amazon statistics, mainly because of the Pandemic. It is expected this increasing continuing in the coming years. It is essential to assess your past performance, predict future business practices, and effectivity of your leading your Amazon business. Statistical data enables you to evaluate these factors for your Amazon store. Today is known as the information age, so it is clear how vital is statistics in eCommerce. Having insight into the Amazon marketplace will be helpful for you. Below, some of the Amazon facts and statics are outlined to help you improve your business campaign.

General Statistics of Amazon in 2024

There are many Amazon statistics available on the internet. It could be overwhelming for you to which ones are practical. We choose 10 Amazon stats among all and narrow them down below:

66% of consumers start their online research for products on Amazon
There are more than 200 million Amazon Prime subscribers worldwide
Spending through all eCommerce sites in the U.S. reached $11.2 billion on Prime Day 2021
Amazon’s revenue on Prime Day 2021 was 29% higher than on an average day in June 2021
About 50% of the entire eCommerce Gross merchandise value (GMV) in the U.S. goes to Amazon
Amazon has more than 90% of the market share in five categories:
- home improvement tools (93%)
- skin care (91%)
- batteries (97%)
- golf (92%)
- kitchen and dining (94%)
The total Amazon revenue was $469.8 billion in 2021
There are about 300 sales every second on Amazon during the Christmas season
Roughly 3,700 new sellers join Amazon every day
About 89% of Amazon sellers use FBA
In 2021, 60,000 Amazon sellers surpassed $1 million in sales
Top 3 Amazon Global Marketplaces where third party sellers plan to expand are: United States, Canada and United Kingdom

3700 new users register daily on Amazon.

There are some fantastic stats about other alternative online platforms for Amazon sellers:

About %28 of Amazon sellers are also selling on eBay. At the same time, 15% are also choosing Shopify. Esty attracts about 13% of Amazon sellers. Besides, the Facebook marketplace that worthy of mention as 12% of Amazon third-party sellers use each of them. Last but not least, the platform that about %12 of sellers use is Walmart.

Amazon Product & Categories Statistics

You, as a seller, need to know what the customers buy to become successful in your business. Here, the top 10 Amazon product categories for SMB sellers are listed based on the stats of the Amazon Seller Report in 2021:

Clothing and jewelry is the most selling product category on Amazon.

Here are Amazon’s stats for the 10 least competitive categories:

Category	Percentage of Sales
Automotive Parts & Accessories	7%
Handmade	6%
Apps & Games	6%
Industrial & Scientific	5%
Computers	5%
Video Games	4%
Collectibles & Fine Art	4%
CDs & Vinyl	3%
Luggage & Travel Gear	3%
Musical Instruments	2%

You should know that sellers can sell in multiple categories simultaneously and provide products from different sources. China remains the leading source of providing goods for the U.S., especially for private label Amazon sellers. Because of the Pandemic, the global supply chain has been strained in recent years.

2021 is known as a uniquely challenging year for sourcing. Events like hurricanes in the coastal, U.S.flooding in Western Europe, and the Suez Canal blockage impacted freight transport capacity. Below is a chart of the top global supplier countries for Amazon products:

Summarized percentages exceed 100% because of many sellers source products from multiple countries. Sellers self-identified supplier countries, including Taiwan and Hong Kong. Other sourcing countries include Vietnam, Belgium, Bangladesh, Pakistan, and Turkey.

It is good to know that 88% Amazon sellers sell 50 or fewer products, while about 19% of them have only one item in their inventory list.

The State of Amazon Sellers in 2024

The term “Amazon seller” is often used to refer to the third-party or “3P” sellers who sell the others’ brands and products. There are also “first-party” or “1P” sellers who sell their own products to Amazon as a vendor. Finally, Amazon itself is a seller, too.

Below are three demographics of Amazon sellers based on location, gender, and education.

Location: Among all Amazon sellers, 47% live in the United States, 9% in Canada, 6% in the United Kingdom, and 4% in India.

Gender: There has been a constant trend over the years that two-thirds of all sellers on Amazon identify as male.

Education: 85% of sellers have some level of post-secondary education, whether it’s an associate degree or a Ph.D.

See the following graph to understand which business model is the most common and favorite one on Amazon.

Private label is the most popular business model between Amazon sellers.

The following state of Amazon Sellers is about choosing the fulfillment method among FBA and FBM.

In 2021, 89% of Amazon sellers used FBA, and 32% used FBM. The sum is more than 100% because some sellers use both methods.

In 2020, Amazon put some restrictions on FBA inventory, which caused many sellers to start using FBM. This jump was nearly 10% compared to previous years.

Besides, Amazon adds a 5% fuel and inflation on U.S. merchants, effective 18th April 2022. This announcement means Amazon will charge an average of 24 cents more per unit it stores and ships through its Fulfillment by Amazon (FBA) service. It is expected that more people in 2022 will use FBM.

Know More About Amazon Top Sellers in the World

Sales and Profitability of Amazon Sellers

The spectrum of profits is broad and depends on the business model, the sellers’ level of experience in eCommerce, and the size of the business.

Building a lucrative business is a dream of every seller. The spectrum of profits is broad and depends on the business model, the sellers’ level of experience in eCommerce, and the size of the business.

Actually, the sales and profitability of amazon sellers vary from $500 to $250,000 monthly. An average of $42,000 is what new sellers annually can earn.

Nearly 22% of Amazon sellers make under 500$ per month.

With increasing years of experience on Amazon, the number of sales will increase. 22% of small and medium-sized businesses (SMBs) make over $10,000 in average monthly sales. In 2022, 66% (two-thirds) of sellers earn profit margins higher than 10%, and nearly one-third (32%) earn profit margins above 20%.

In 2022, 66% of sellers earn profit margins higher than 10%, and nearly one-third earn profit margins above 20%.

Do You Know How Much Money Do Amazon FBA Sellers Make?

10 Challenges of Top Amazon Sellers in 2024

Sellers face various obstacles while starting a business on Amazon. They progress through their selling journeys and solve these challenges. The most severe difficulties that top Amazon sellers will encounter in 2022 are:

Getting Customer Reviews
Finding a Product to Sell
Managing Advertising Strategy & Budget
Protecting Their Business from Counterfeiters and Other Risks
Conducting Market Research
Finding a Supplier
Finding Relative & High Quality Keywords
Importing Products
Optimizing Product Listing
Branding Their Business/ Product

Final Thought

At the time of writing this post, Amazon has been the biggest name in the eCommerce industry and is known as a market leader. Regularly, millions of buyers use Amazon to make day-to-day purchases. So, it has considerable potential for new sellers to list their products on Amazon. It is critical to follow the Amazon sellers’ facts and statistics to do a profitable business. Moreover, to find profitable online arbitrage deals, you need to do product research and analyze the market.

FAQs about Amazon Sellers Statistics

In Which Countries Are Amazon Marketplaces Active for 3rd Party Sellers?

Amazon has a total of 20 global marketplaces, including the United States, Canada, United Kingdom, Germany, Mexico, France, Spain, Australia, Italy, The Netherlands, India, Japan, Sweden, Poland, United Arab Emirates, Singapore, Brazil, Saudi Arabia, Turkey. Find more detail about this question by reading the following link: https://oabeans.com/sell-internationally-on-amazon/

How Much Time Does It Take to Launch a Business on Amazon?

55% of sellers set their Amazon business within 3 months. It takes 3-6 months for 23% of sellers to do this, and the rest launch the business in more than 6 months.

How Much Time Should Amazon Sellers Spend on Their Business?

About 64% of third-party sellers manage their Amazon business with fewer than 20 hours per week, and 25% of them spend 21-40 hours weekly.

How Much Time Does It Take to Turn a Profit on Amazon?

In general, 64% of sellers are profitable within a year of launching their business. In detail, about 24% of sellers take 3-6 months to turn a profit on Amazon. In comparison, less than 21% make a profit within 3 months. However, 19% become lucrative between 6 months to 1 year.

Sources:

[1] https://www.junglescout.com/amazon-seller-report/

[2] https://www.statista.com/statistics/788109/amazon-retail-market-share-usa/

[3] https://www.bigcommerce.com/blog/amazon-statistics/

[4] https://fashiondiscounts.uk/amazon-statistics/