The world has gone completely digital and almost every aspect of our lives can now be automated. Businesses are not left out, more people are setting up online businesses. In the same vein, most people have ditched physical stores for online marketplaces. Have you considered setting up an online business? Want to discover the best place to shop online? Here’s a list of the top online retailers for 2022. We’ve also compiled some statistics to guide your decisions.
Top Online Retailers: Where Do Consumers Love to Shop?
There are several marketplaces for consumers to shop. But statistics show that these are the most preferred stores for 2022.
Amazon has the highest traffic inflow, with eBay coming right after. Based on the above results, other online retailers are not top choices among consumers. Still, let’s take a look at the performance of their physical outlets.
Source: Jungle scout
Which Retailers Gained or Lost Customers?
Based on the above statistics, some marketplaces have declined in growth. For instance, Best Buy, Kohl’s, Ikea, and Home Depot rank low. Amazon, eBay, Walmart, and Target have remained on top of the chart.
If monthly visits are anything to go by, these are the most popular marketplaces as of April 2021.
Which Marketplaces Have Gained the Most Popularity Since 2020?
Compared to already popular marketplaces, some other online retailers have gained more popularity. They are not on the above infographic, but they have gained more customers since the last quarter of 2020. They are:
- Instagram Shop – a 152% growth
- Houzz – up by 122%
- Albertsons.com – recorded a 93% growth
How Often Do People Shop Online?
To shop in-store or buy from online retailers is one dilemma every consumer must have faced. It may seem as though a majority of people shop from online retailers, which is true. But how often do these people shop?
In 2020, about 80% of consumers in the world shopped online (Source: Statista). People, especially those based in the U.S say that they shop from online retailers at least once a day. But this isn’t the entire population so what do the numbers say?
|Shopping Frequency||Percentage of Consumers|
|At least once a day||20%|
|At least once a week||63%|
|At least once a month||96%|
Amazon was the most frequently used online store in 2020. At least 60% of U.S consumers chose Amazon as their first port of call. Walmart was second in line with less than 15% picking it as the first choice.
Amazon and Walmart happen to be the top choice among online shoppers. You certainly would like to know more about these online retailers. So, how often do consumers buy from Amazon and Walmart?
The majority of those who buy from Amazon are Prime subscribers. This is as a result of the free same-day or two-day delivery incentive.
|At least once a day||16%|
|At least once a week||52%|
|At least once a month||89%|
|At least once a day||14%|
|At least once a week||43%|
|At least once a month||78%|
Source: Jungle Scout
Shopping on Amazon
Here are some reasons why customers preferred shopping on Amazon.
- Free same-day shipping for Prime subscribers.
- Smooth return process
- Excellent customer service
- Trusted brand (Consistency in packaging and product quality)
Shopping on Walmart
15% of people preferred to shop at Walmart. Here’s why:
- 50% of Walmart customers like the prices
- 39% of shoppers are familiar with the products
- 36% feel it’s a faster place to get the items they need.
Where Do Consumers Search For Products?
There are a plethora of ways through which consumers search for products online. Search engines like Google top the list, followed by Amazon and others. Here’s a breakdown of where consumers search for products online.
Where Do Consumers Search For Pre-owned Products?
Not all online retailers stock up on pre-owned products. Amazon is particularly known for selling high-quality, brand-new items.
The top online retailers for pre-owned merchandise include Amazon, eBay, and Facebook Marketplace. There are other marketplaces where sellers check for these items, so let’s see some of them.
|Online Retailer||% of U.S Consumers|
Source: Jungle Scout
The others category covers all other online retailers that you can think of.
Where Will Consumers Be Buying from in the Future?
Online shopping is certainly not coming to an end anytime soon. Jungle scout’s survey of the top online shopping destinations gave the following results.
|Category||Walmart (in-store)||In-store excluding Walmart||Amazon.com||Walmart.com||Another online retailer||Won’t buy|
|Arts, Crafts & Sewing (paints, ceramics, etc.)||16%||10%||20%||18%||11%||26%|
|Automotive Parts & Accessories||14%||10%||23%||17%||10%||26%|
|Beauty & Personal Care (cosmetics, shaving kit, etc.)||21%||15%||23%||20%||12%||10%|
|Books (print or digital), Magazines & Newspapers||14%||10%||26%||17%||12%||22%|
|Electronics (TVs, smartwatches, etc.)||16%||9%||23%||21%||11%||22%|
|Exercise/Fitness Supplies (at-home gym equipment, etc.)||13%||6%||20%||17%||10%||34%|
|Garden & Outdoor (patio furniture, plants, etc.)||19%||15%||18%||17%||10%||22%|
|Home & Kitchen (furniture, coffee makers, etc.)||16%||11%||23%||18%||11%||21%|
|Office Supplies (laptop stands, printer paper, etc.)||19%||11%||23%||18%||10%||19%|
|Pet Supplies (cat/dog food, toys, etc.)||18%||13%||19%||18%||12%||20%|
|Tobacco, Pipes & Accessories||12%||9%||14%||15%||9%||41%|
|Toys & Games (board games, children’s toys, etc.)||14%||8%||22%||17%||11%||28%|
|Vitamins & Dietary Supplements||21%||16%||21%||19%||12%||12%|
Source: Jungle Scout
Amazon had the highest votes in this survey. This shows that Amazon tops the list of the best online retailers by almost every metric.
Top Online Marketplaces To Sell On
Starting an online business is not as difficult as it is often made to seem. All you have to do is pick one of the many online retailers that we have considered and sign up. There are a plethora of options available. Here are our top five.
Globally, Amazon is the largest marketplace. Almost anyone can make money on Amazon thanks to its 300 million users and 2 million active sellers. Having a customer base on Amazon is a great start, but it’s not the only reason you should sell there.
Besides offering a huge customer base, the platform offers growth opportunities. Amazon controls 50% of the market for eCommerce. Also, about 84% of its sellers are profitable.
The second-largest retailer is Walmart. Walmart had revenue of $514 billion last year. Walmart also operates more than 11,100 stores in 27 countries. Walmart started out as a physical store, it has now become one of the world’s biggest online retailers.
Walmart’s venture into the eCommerce world hasn’t been for too long. Still, it has grown in popularity over time.
As opposed to Amazon, eBay began by selling used items. The platform has metamorphosed into a popular marketplace for a wide range of items. The website allows sellers to offer both used and new merchandise for sale.
eBay is one of the most popular online retailers. This platform offers a good amount of sales due to its 689 million visits per year.
The Etsy marketplace specializes in handcrafted and vintage goods. The marketplace specializes in niche products. As a result, its visitors are mainly related to this niche. If you’re not interested in selling items in this category will have to use other online retailers. In other words, Etsy may be your best bet if you want to sell customized handmade items.
Facebook has a huge following on social media, but its customer base is small. This is partly because the platform is new to the eCommerce terrain. A seller who wants to sell brand new items may also find it difficult to sell on eBay.
Which Of These Is The Best Marketplace To Sell On In 2021?
Amazon is the best marketplace for new sellers in 2021. The platform boasts over 300 million customers. There are also over 2.5 million sellers on the marketplace.
Here are a few statistics to further buttress our point:
- Majority of Amazon’s Customers Are Ready To Buy
Most people go to AMZ in search of deals, reviews, and product comparisons. A Big Commerce survey shows that this applies to at least 90% of AMZ’s customers. Third-party sellers can leverage customers’ already made-up minds. Prices are a major determining factor.
Some customers go on AMZ to find inspiration or compare prices with that of other brands. Amazon is the first place 23% of online shoppers go when they aren’t sure what to buy. (Episerver, 2019).
- Amazon Prime Subscribers Spend Without Holding Back
Amazon Prime is the place for a different category of AMZ customers. Prime members are those who trust the brand enough to make paid subscriptions. The reward for having a prime membership is free and fast shipping. Usually same-day or two-day delivery. You can already tell that this is enough reason for anyone to want to shop as much as they can.
As of now, there are over 150 million Prime subscribers. What this means is that selling on AMZ not only gives you access to regular shoppers. You also gain access to loyal Prime subscribers if you’re willing to offer free delivery.
However, not everyone can sell to Prime subscribers. Only third-party sellers with the Prime badge can. Sellers under SFP (Sellers Fulfilled Prime) and FBA (Fulfillment by Amazon) are Prime-eligible.
- Customers Shop On Amazon With Their Eyes Closed
No one shops with their eyes closed. But, the trust that AMZ customers have for the brand would make anyone feel as though that were possible. Customers trust Amazon and for good reason too.
89% of buyers say that they’re more likely to shop on AMZ than other online retail stores (Source: Feedvisor).
98% of those who buy daily and 99% of those who buy a few times a week agree that they prefer Amazon to its competitors. Source: Oberlo.
AMZ is a well-known and trusted brand. Customers are assured of prompt delivery and quality products. Hence, the continuous growth of the platform. Third-party sellers, especially those who use FBA can maximize AMZ’s brand reputation.
- Third-Party Sellers on AMZ Can Also Sell On Other Marketplaces
No one wants to put all their investment in one place. Diversifying is the spice of investing. With AMZ, you do not have to be stuck selling on just one platform. Selling on one marketplace makes you prone to making losses if anything ever goes wrong.
Third-party sellers on AMZ can sell across other platforms like eBay, Etsy, and the likes. This doesn’t stop them from using FBA. AMZ offers multi-channel fulfillment through FBA. This simply means that all orders will be packaged and shipped by AMZ on your behalf. If this isn’t enough reason to sell on AMZ, we don’t know what is.
Why You Should Sell On Amazon
Selling on Amazon comes with several benefits. But there are three that stand out for us. They are:
Low Start-Up Capital
Setting up an AMZ business is not as capital intensive as most people assume. With AMZ, you only need a little upfront financial investment. You can sign up for free and even start with items that you already own.
There’s also the retail arbitrage option. This option allows you to buy items from physical retail stores and resell them on AMZ at a higher price. You also do not need too many tools. A computer, printer, paper, and a smartphone to take product pictures will do for a start. Other AMZ Fees can be paid as you go along and they won’t be anything too draining.
Related: Amazon FBA Fees Explained
You Won’t Have To Build A Website From Scratch.
Selling on AMZ means that you get to list your products on the website and leverage AMZ’s traffic. You will not have to worry about the extra cost of building a website or directing traffic to your website.
All you need is to sign up on AMZ and list your products for sale. However, selling via AMZ’s website means that you play according to their rules. If you don’t, you risk having your account suspended. If this happens, you lose all your investment and any customers you have gained.
This is aside from the fact that AMZ has so many restrictions and guidelines that may be difficult to adhere to. So, if you can bear the cost of building a website from scratch, by all means, do. Better safe than sorry!
AMZ Businesses Can Be Automated
Almost every online business owner juggles several business activities. For AMZ sellers, this will no longer be the case. AMZ sellers can automate their business processes using FBA and AMZ software. FBA or Fulfillment by Amazon is AMZ’s fulfillment service to third-party sellers.
Sellers who opt for this service will have AMZ store, package, and ship their products fast. AMZ also manages refunds and returns. They also provide 24/7 customer service on behalf of sellers. This takes a significant part of the burden of fulfillment off sellers’ shoulders.
AMZ software is software designed for sellers to automate major business processes. AMZ businesses cannot run without adequate product or keyword research and listing optimization. With AMZ software, sellers will have access to a wide range of tools to execute these tasks.
There are several AMZ software available on the market right now. But there’s only one we can trust.
ZonBase is the best AMZ software for sellers who want to scale their business without stress. The software offers a versatile set of seller tools that cut across various aspects.
There are tools for product research, keyword research, and even listing optimization. The software also offers mentorship, a photo enhancer, and a sales estimator tool. New and existing sellers who would like to outsource on a budget will find this tool helpful.
These statistics show that online retailers are here to stay. Even the not-so-popular ones will not be off the scene anytime soon, so the earlier you jump on board, the better.
If you decide to sell on Amazon, you already have all the information you need. AMZ is a goldmine and if you maximize your resources and start soon, you’ll be grateful you did.