What share of US e-commerce spending goes to Amazon?
Amazon captures 37.6% of all U.S. retail e-commerce spending as of 2024, according to the latest verified market data from Forbes Advisor and Analyzify. With total U.S. e-commerce sales reaching $1.19 trillion in 2024, Amazon’s share represents approximately $447.4 billion in online retail revenue. This figure is based on actual sales data rather than projections, making it the most reliable current measure of Amazon’s market dominance.
The 37.6% figure represents a slight decline from 37.8% in 2023, indicating that while Amazon maintains its commanding lead, competitors are beginning to capture incremental market share in specific categories.
Numbers at a glance
- 37.6% — Amazon’s verified share of U.S. e-commerce spending in 2024
- $447.4 billion — Amazon’s estimated U.S. e-commerce revenue in 2024
- $1.19 trillion — Total U.S. e-commerce market size in 2024
- 6.4% — Walmart’s e-commerce market share in 2024 (closest competitor)
- 3.6% — Apple’s e-commerce market share in 2024
- 16.1% — E-commerce as percentage of total U.S. retail sales in 2024
- 8.1% — Year-over-year growth in total U.S. e-commerce sales
How Amazon’s market share has trended since 2020
Amazon’s dominance in U.S. e-commerce has shown steady growth over the past five years, with the most significant gains occurring during the pandemic period before stabilizing at current levels.
Amazon’s U.S. E-commerce Market Share Trend (2020-2024)
Amazon’s share peaked at 41.8% during the 2021 pandemic surge, then stabilized around 37-38% as shopping patterns normalized.
The data reveals a clear pattern: Amazon’s share peaked during the pandemic disruption, then normalized as shopping patterns stabilized and traditional retailers strengthened their digital capabilities.
Year-by-year market share progression
| Year | Amazon Share | Total U.S. E-commerce | Amazon Revenue (Est.) |
|---|---|---|---|
| 2020 | 38.7% | $861.1 billion | $333.2 billion |
| 2021 | 41.8% | $933.3 billion | $390.1 billion |
| 2022 | 37.8% | $1.03 trillion | $389.3 billion |
| 2023 | 37.8% | $1.10 trillion | $415.8 billion |
| 2024 | 37.6% | $1.19 trillion | $447.4 billion |
The pandemic initially accelerated Amazon’s growth as consumers shifted to online shopping, but the company has maintained a stable position even as retail patterns normalized. Amazon’s share peaked at 41.8% in 2021, then settled into the current 37-38% range as competitors invested heavily in their digital capabilities.
Amazon vs. key competitors in 2024
Amazon maintains a commanding lead over all competitors, with its market share being nearly six times larger than its closest rival.
Top 10 U.S. e-commerce retailers by market share
Top 10 U.S. E-commerce Retailers by Market Share (2024)
Amazon’s market share is nearly 6× larger than its closest competitor, Walmart, demonstrating the company’s dominant position in U.S. e-commerce.
Traditional retailers have made significant investments in e-commerce capabilities, but Amazon’s infrastructure advantages and marketplace network effects continue to provide substantial competitive moats.
Walmart continues to show strong growth in e-commerce, with sales increasing 23% year-over-year in 2024. The retailer has invested heavily in same-day delivery, grocery pickup, and marketplace expansion, making it Amazon’s most credible long-term competitor.
Apple maintains its position primarily through direct sales of high-value electronics and services, while eBay continues to serve the used goods and auction market effectively.
Category breakdowns — where Amazon dominates
Amazon’s market share varies significantly across product categories, with particularly strong positions in books, electronics, and general merchandise.
Amazon’s Market Share by Product Category (2024)
Amazon maintains strongest positions in books/media and electronics, while facing more competition in apparel, grocery, and automotive categories.
Understanding these category-level dynamics helps explain Amazon’s overall market position and identifies areas where competitors have maintained stronger footing.
Amazon’s estimated share by major product category (2024)
- Books & Media: 65%+ market share
- Consumer Electronics: 42% market share
- Home & Garden: 35% market share
- Health & Personal Care: 28% market share
- Apparel & Accessories: 25% market share
- Grocery & Food: 22% market share
- Automotive Parts: 18% market share
Electronics and books remain Amazon’s strongest categories, leveraging the company’s origins and logistics advantages. The company’s early focus on these categories created lasting competitive advantages.
Grocery represents significant growth potential despite Amazon’s current 22% share, as online grocery adoption continues expanding post-pandemic. Amazon Fresh and Whole Foods delivery are key growth drivers.
Apparel remains highly competitive with specialized retailers like Shein, traditional department stores, and direct-to-consumer brands maintaining significant market presence.
Drivers behind Amazon’s dominance
Several structural advantages enable Amazon to maintain its commanding market position despite increased competition from well-funded traditional retailers.
Logistics and fulfillment infrastructure
Amazon operates 185+ fulfillment centers across the United States, enabling same-day or next-day delivery for over 90% of the U.S. population. This logistics network represents billions in infrastructure investment that competitors struggle to match at scale.
The company’s delivery network includes over 750,000 robots supporting approximately 75% of U.S. orders, creating operational efficiencies that translate into faster delivery times and lower costs.
Prime membership ecosystem
With an estimated 180+ million U.S. Prime members paying $139 annually, Amazon has created a loyalty program that drives repeat purchases and higher spending. Prime members spend an average of $1,400 annually on Amazon versus $600 for non-Prime customers.
Prime’s value proposition extends beyond free shipping to include video streaming, music, and other services, creating switching costs that help retain customers.
Third-party marketplace flywheel
Third-party sellers account for approximately 60% of Amazon’s unit sales, creating network effects where more sellers attract more customers, which attracts more sellers. Amazon collects fees from these transactions while avoiding inventory risk.
This marketplace model allows Amazon to offer an “endless aisle” of products without the capital requirements of traditional retail inventory management.
Headwinds and competitive threats
Despite its dominant position, Amazon faces several challenges that could impact future market share growth.
Intensifying competition from traditional retailers
Walmart’s digital transformation has accelerated significantly, with the retailer investing heavily in e-commerce fulfillment, same-day delivery capabilities, and marketplace expansion. Walmart’s e-commerce growth rate exceeded Amazon’s in 2024, though from a much smaller base.
Target’s omnichannel strategy leverages its physical store network for buy-online-pickup-in-store and same-day delivery, creating competitive advantages Amazon cannot easily replicate.
Emerging international competitors
Temu (owned by PDD Holdings) and Shein have gained significant traction in the U.S. market, particularly among price-conscious consumers seeking direct-from-manufacturer goods. While their overall market share remains small, they’re growing rapidly in specific categories like fast fashion and consumer electronics.
These platforms leverage different business models and supply chain approaches that can offer lower prices than traditional U.S. retailers.
Regulatory scrutiny and antitrust concerns
The Federal Trade Commission’s ongoing antitrust case against Amazon, filed in September 2023, could limit the company’s ability to expand through acquisitions or implement certain competitive practices.
Increased regulatory attention on marketplace practices, seller fees, and competitive behavior could constrain Amazon’s strategic options going forward.
Market maturation effects
As e-commerce penetration reaches 16.1% of total retail sales in 2024, the pace of online shopping adoption is slowing, making market share gains more difficult to achieve through overall market growth.
Future growth will increasingly depend on taking share from competitors rather than benefiting from category expansion.
Outlook through 2027
Industry analysts expect Amazon’s U.S. e-commerce market share to remain relatively stable, with modest growth potential in specific categories rather than dramatic overall gains.
Projected market share trajectory
Most credible analyses suggest Amazon’s share will fluctuate between 37-39% through 2027, rather than the dramatic growth some earlier forecasts predicted.
Growth opportunities: Continued expansion in grocery delivery, healthcare products, and B2B sales through Amazon Business represent the most promising avenues for market share gains.
Limiting factors: Increased competition from traditional retailers’ digital investments, regulatory constraints, and market maturation will likely prevent significant share expansion.
Category-specific dynamics: Amazon is likely to gain share in grocery and healthcare while potentially losing ground in apparel and consumer electronics to specialized competitors.
The company’s focus on operational efficiency and logistics innovation should help maintain its competitive position even as growth rates moderate.
Sources & references
- Forbes Advisor — E-commerce statistics and Amazon market share data (37.6% figure)
- Analyzify — U.S. ecommerce statistics and market share verification
- U.S. Census Bureau — Quarterly retail e-commerce sales reports and total market size
- Digital Commerce 360 — Amazon Q4 2024 earnings analysis and competitor data
- Amazon Investor Relations — Q4 2024 earnings report and annual results
- Sellers Commerce — 2024 e-commerce market analysis and competitor benchmarking
- PYMNTS — Q4 2024 e-commerce penetration data
