Amazon is the leading online retailer globally, drawing billions of visitors every month. This highlights the platform’s potential for sellers. But before you start selling on Amazon, it’s important to know the numbers that define success on Amazon.

For that, several important questions must be addressed. These include, what type of sellers succeed on the platform? What’s the profit margin? Which products should you sell to succeed on Amazon? And to answer these questions, we’ve gathered key Amazon statistics for sellers in this blog.

In this blog, we will explore important Amazon seller statistics that highlight the marketplace’s opportunities and dynamics. We have categorized these Amazon statistics into different sub-categories, such as seller demographics, seller performance, and product stats.

This data will help you create better strategies to succeed. And with these Amazon statistics, you can improve your sales and grow your business.

So, let’s then start, shall we?

List of Top Amazon Seller Statistics

We’ve broken down all the important Amazon statistics for sellers into different categories below to help you understand what it takes to thrive on Amazon.

General Amazon Seller Statistics

In 2023, over 60% of Amazon sales come from independent sellers.
This highlights the significant opportunities for entrepreneurs within Amazon’s marketplace.

More than 4.5 billion items were sold by U.S.-based sellers in 2023.
This averages about 8,600 items per minute.

U.S. sellers averaged over $250,000 in annual sales in 2023.
This showcases the revenue potential available through Amazon.

Over 9.7 million sellers are on Amazon globally as of 2024.
This number highlights Amazon’s broad reach and influence in the e-commerce market.

1.9 million sellers are actively selling on Amazon as of 2024.
This highlights that about 20% of all registered sellers are currently engaged in selling on the platform.

Insights

The significant role of independent sellers, who account for over 60% of Amazon’s sales, highlights the vast opportunities available on the platform. With billions of items sold annually, sellers must optimize their listings and pricing to compete effectively.

Amazon Seller Demographics

Amazon Market Share by Country

A bar graph which denotes Amazon Seller Demographics by Country

There are more than 1.1 million Amazon sellers in the U.S. as of 2024.
The United Kingdom and Germany come in second and third positions, with 281,257 and 244,425 sellers, respectively.

CountrySeller CountPercentage of Total (%)
United States1,114,38837.82
United Kingdom281,2579.54
Germany244,4258.3
Italy216,6107.36
France211,8597.19
India205,8846.99
Spain203,4136.9
Japan173,4835.89
Canada163,5955.55
Mexico51,0871.73
Australia24,2270.82
UAE20,8420.71
Brazil15,6050.53
Turkey5,9870.2
Singapore1,7210.06

Types of Sellers

As of 2023, 82% of Amazon sellers use FBA (Fulfillment by Amazon)
FBA sellers send inventory to Amazon for storage and shipping, benefiting from reliable delivery and customer service but incurring additional fees.

As of 2023, 34% of Amazon sellers manage logistics independently (FBM)
Sellers using Amazon Fulfillment By Merchant handle their own storage and shipping, offering more control over operations. However, it requires proper delivery and customer service management.

As of 2023, 54% of Amazon sellers use a private-label business model.
Private label sellers rebrand products to sell under their own logo, requiring manufacturer approval and higher initial costs due to marketing and inventory.

As of 2023, 26% of Amazon sellers use a wholesale business model
Wholesale sellers purchase bulk products at discounted rates and sell them individually on Amazon, testing markets with initial bulk orders.

25% of Amazon sellers used the retail arbitrage business model in 2023.
Amazon retail arbitrage involves buying discounted retail products to resell at a profit on Amazon, facing challenges like cost management and supplier sourcing.

24% of Amazon sellers used the online arbitrage business model in 2023.
Online arbitrage follows a similar approach to retail, sourcing cheaper online products for resale at higher prices on Amazon, with a focus on listing optimization and cost control.

Demographics

A pie chart highlighting the percentage of Amazon sellers by gender

More than 50% of Amazon sellers are male (2024).

This figure has decreased from 63%, reflecting a growing presence of female sellers on the platform.

33% of Amazon sellers are aged 25 to 34 years (2024).

This age group represents the largest portion of Amazon sellers, indicating a strong presence of young entrepreneurs who are actively engaging in the marketplace.

A bar graph highlighting the demographics of Amazon sellers by age

For more detailed demographics of Amazon sellers by age, see the table below:

Age GroupPercentage
18 to 24 years11%
25 to 34 years33%
35 to 44 years31%
45 to 54 years15%
55 to 64 years7%
65 years and older3%

Insights

In the Amazon marketplace, the U.S. dominates with 38% of all sellers, showing a highly competitive environment. The U.K. and Germany follow with significant percentages, reflecting strong e-commerce platforms. Sellers should understand local consumer preferences and regulations to succeed in these regions.

Most sellers prefer Fulfillment by Amazon (FBA), which simplifies logistics but comes with higher fees. About 34% manage their shipping (FBM), offering more control but requiring greater effort. Over half engage in private labeling, which needs upfront investment but can lead to higher profits.

Additionally, the largest age group of Amazon sellers is 25 to 34 years, comprising 33%. This highlights Amazon as a marketplace which is driven by young, dynamic entrepreneurs. Understanding these age demographics can help you, as a seller, tailor your marketing strategies accordingly.

Seller Performance and Profitability

Now, we will be looking at some Amazon seller statistics that share insights into the performance and profitability of Amazon sellers.

Most Amazon sellers report a net profit margin between 15% and 20%, depending on their category.

  • Margins above 20% are viewed as excellent.
  • Margins below 5% are considered unsustainable for e-commerce operations.

30% of Amazon SMB sellers have earned over $50,000 in lifetime profits, with 10% making between $100,000 and $500,000 (2024).

Lifetime ProfitsPercent of Sellers
Under $25,00047%
$25,000 – $50,00010%
$50,001 – $100,0006%
$100,001 – $500,00010%
$500,001 – $1,000,0008%
$1,000,001 – $5,000,0005%
$5,000,000 – $10,000,0001%
Don’t know13%

New Amazon sellers typically earn around $30,000 annually (2024).

  • A substantial portion of sellers, 40%, report monthly sales between $1,000 and $25,000.

In 2023, over 10,000 independent merchants, for the first time, exceeded $1 million in annual sales on Amazon’s platform.

Approximately 57% of Amazon sellers have profit margins exceeding 10% (2024).

  • About 28% achieve margins above 20%.
  • Conversely, 13% of sellers report that their businesses are not yet profitable.

Average Monthly Sales

19% of Amazon sellers earn more than $10,000 through average monthly sales (2024)

  • 30% of Amazon sellers report sales above $5,000 per month.
  • 31% of sellers make under $500 per month when first starting out.

Detailed Monthly Sales Breakdown:

  • Under $500: 31% of sellers
  • $501-$1,000: 17% of sellers
  • $1,001 – $5,000: 22% of sellers
  • $5,001 – $10,000: 11% of sellers
  • $10,001 – $25,000: 7% of sellers
  • $25,001 – $50,000: 5% of sellers
  • $50,001 – $100,000: 4% of sellers
  • $100,001 – $250,000: 1% of sellers
  • $251,000 – $500,000: 1% of sellers

Time to Profit

As of 2024, the majority of Amazon sellers (58%) become profitable within the first year of operations.

  • Profits within 3 months: 22% of sellers
  • Profits within 3-6 months: 16% of sellers
  • Profits within 6 months-1 year: 20% of sellers
  • Profits within 1-2 years: 11% of sellers
  • Profits in more than 2 years: 2% of sellers

Cost of Selling on Amazon

Most Amazon sellers (64%) spent less than $5,000 to start their business, with 25% starting with under $1,000 as of 2024.

Costs

Percent of Sellers

Less than $500

16%

$500 – $1,000

9%

$1,001 – $2,500

16%

$2,501 – $5,000

23%

$5,001 – $10,000

18%

More than $10,000

17%

Don’t know

2%

Insights

From the Amazon seller statistics we saw above related to performance and profitability, we got some valuable insights. These include:

  • Most sellers have net profit margins between 15% and 20%. As a new seller, aim for at least a 10% profit margin to cover costs and earn some profit. Try to eventually reach margins above 20%, which are considered excellent.
  • Typically, new sellers make about $30,000 a year, but it can start slow, often under $500 a month. It’s important to be patient and keep working toward increasing your sales.
  • About 40% of established sellers report monthly sales between $1,000 and $25,000. Aim to grow your sales into this range as you gain more experience and improve your selling strategies.
  • Many sellers start seeing a profit within their first year, with some making a profit as quickly as three months. Focus on strong marketing, good inventory management, and excellent customer service to speed up your path to profitability.

Amazon Product Statistics

Let’s now look at some Amazon statistics for products categories and sales volumes.

As of 2024, Amazon lists over 600 million products, with 12 million sold directly by Amazon.

  • Each minute, about 7,800 items are sold on Amazon.
  • This sales volume allows sellers to average over $230,000 in sales annually.

In 2023, 71% of Amazon sellers in the U.S. sourced their products from China.

“Home and Kitchen” is the leading product category among Amazon SMB sellers in 2024.

Over 35% of small and medium-sized Amazon sellers have listed items from this category.

The following list details the top ten product categories among Amazon SMB sellers as of 2024:

  • Home and Kitchen: 35%
  • Beauty and Personal Care: 26%
  • Clothing, Shoes, and Jewelry: 20%
  • Toys and Games: 18%
  • Health, Household, and Baby Care: 17%
  • Baby Products: 16%
  • Electronics: 16%
  • Sports and Outdoors: 16%
  • Arts, Crafts & Sewing: 14%
  • Books: 14%

Amazon’s private label products, including popular lines like AmazonBasics and Amazon Essentials, represent about 1% of total sales but are gaining momentum, particularly in clothing, where they account for up to 9% of sales.

  • Private label products are typically priced 25%-40% lower than branded products, attracting budget-conscious consumers.
  • The impact is significant in areas like grocery and household items, where consumers often favor cost over brand loyalty.

Insights

If you’re new to selling on Amazon, you might want to start with popular categories like “Home and Kitchen”, “Beauty and Personal Care,” or “Clothing, Shoes, and Jewelry.” These categories are always in demand. Also, consider selling private label products, especially in clothing and household items, where lower prices can attract more buyers.

We will now look at some Amazon consumer trends.

As of 2024, 56% of consumers start their product searches on Amazon.
Amazon has become the primary starting point for many shoppers.

71% of Amazon shoppers looked for the lowest price on their site in Q1 of 2024.
This trend shows the importance of competitive pricing on Amazon.

94% of US consumers head to Amazon to read reviews before purchasing, as of 2023.
This indicates the platform’s role in influencing purchase decisions.

31% of consumers used Amazon’s View in Your Room AR tool and bought something.

Insights

If you’re selling on Amazon, understanding current consumer behavior and shopping trends can significantly boost your strategy. Here’s some advice based on the Amazon Seller statistics discussed above:

  • Optimize for Amazon Search: Since 56% of consumers begin their product searches directly on Amazon, optimizing your product listings for Amazon’s search algorithm is important. Focus on relevant keywords and high-quality images to improve visibility.
  • Focus more on Competitive Pricing: With 71% of shoppers looking for the lowest prices, it’s essential to keep your pricing competitive. Monitor your competitors’ prices and consider using automated tools to adjust your pricing strategies accordingly.
  • Leverage Reviews: Given that 94% of US consumers read reviews on Amazon before making a purchase, actively encouraging satisfied customers to leave positive reviews can significantly influence buying decisions. Good reviews can also improve your product ranking on the platform.
  • Use Amazon’s Innovative Features: Amazon’s innovative features, such as the “View in Your Room” AR tool, have led to purchases by 31% of its users. This tool can enhance the shopping experience by helping customers visualize products in their space before buying, potentially increasing your sales.

Advertising and Marketing on Amazon

59% of Amazon sellers used search engines and paid search for promotion in 2023.
This approach highlights the reliance on digital advertising for Amazon sellers.

In 2023, 41% of Amazon sellers leveraged social media for promotion.
Only 4% used traditional media like TV and print ads.

69% of Amazon sellers had a monthly ad budget of less than $2,500 in 2023. Only 8% spent between $2,500 and $10,000 monthly.

In 2023, a small percentage—1%—of Amazon sellers reached a monthly advertising spend of $100,000.
This small percentage indicates the variation in budget sizes.

The average CTR on Amazon Advertising is 0.35%. This CTR percentage can be considered good as per the industry standards.

The average CPC on Amazon in 2024 is $0.95. This is $0.17 less than last year.

The average conversion rate on Amazon in 2024 is 9.44%.
Amazon sees 7x more conversions than non-Amazon sites.

The average ACOS on Amazon in 2024 is 30.45%. ACOS varies between 25% and 36% during the year.

Amazon’s average daily impressions in 2023 were 82,928,773. This number shows the platform’s high visibility.

The total average daily clicks on Amazon in 2024 is around 267,324.
This metric indicates user engagement.

Average daily conversions on Amazon Ads are 27.90 as of 2024.
Average daily conversions reflect how effective Amazon is as a platform in turning clicks into sales.

The average daily spend on Amazon PPC is $250.80 as of 2024.
While daily budgets vary, this average indicates a typical investment level in PPC.

The ideal average daily revenue from Amazon PPC in 2024 is $927.12.
Revenue is influenced by multiple factors, including impressions, clicks, and product pricing, emphasizing the strategic importance of each.

Insights

  • Use Digital Ads: Since many sellers use search engines and paid search, incorporating these into your strategy can help boost your product visibility. Focus on targeted ad campaigns that don’t break the bank but still bring good results.
  • Manage Your Ad Budget Wisely: You don’t need a large budget to succeed. Most sellers keep their Amazon advertising costs and spending under $2,500 monthly. Analyze your ad performance regularly and adjust spending to ensure it’s cost-effective.
  • Optimize for Higher Conversions: Amazon provides a high conversion rate, so make sure your product pages are attractive and clear. Use great images and competitive prices to turn more visitors into buyers.
  • Keep an Eye on ACOS: Monitor your Advertising Cost of Sale to make sure your ads are profitable. Adjust your strategies based on these numbers to maintain a healthy balance between spending and earnings.

Key Sales Events and Their Impact

Prime Day

Prime Day 2023 generated approximately $12.9 billion in revenue. This event marked the largest sales day ever for Amazon.

Over 375 million items were purchased by Prime members during Prime Day 2023. Sales numbers highlight the event’s popularity among customers.

Black Friday and Cyber Monday

Black Friday 2023 generated 220 million orders. This shows the event’s massive impact on sales.

Cyber Monday 2023 generated 210 million orders. This highlights its importance for both customers and sellers.

The “Buy with Prime” feature increases the likelihood of off-Amazon customers making a purchase by 25%. This demonstrates the influence of Prime membership on buying decisions.

Products in the Subscribe & Save program see up to a 1.8X increase in sales conversion when discounts are applied. Discounts prove effective in driving sales.

Insights

  • Prime Day: Generated $12.9 billion in 2023 with 375 million items sold. Sellers should plan special deals to leverage high traffic and spending.
  • Black Friday & Cyber Monday: Black Friday had 220 million orders, and Cyber Monday had 210 million. Offering strong discounts can maximize sales during these peak shopping days.
  • Leverage Features like Buy with Prime: This feature increases the likelihood of an off-Amazon purchase by 25%. Offering Prime benefits can attract more buyers.
  • Subscribe & Save: Products in this program see up to 1.8X sales increase with discounts. Offering subscription discounts can help sellers secure steady revenue.

Seller Longevity and Success Rates on Amazon

Many top Amazon third-party sellers have been at the top for nearly a decade (2023).
Despite growing competition and increasing fees, they remain successful.

20% of the top 10,000 sellers on Amazon in the U.S. have been at the top for over seven years (2023).
These sellers show that long-term success is achievable.

80% of the top sellers from 2015 couldn’t retain their position, but over 60% are still active today (2023).
Most sellers adapt and continue on the platform.

Insights

Top Amazon sellers show that long-term success is possible, with 20% of the top 10,000 sellers maintaining their position for over seven years. This highlights the importance of adapting to changes and consistently optimizing strategies.

Although 80% of top sellers from 2015 didn’t retain their positions, over 60% remain active, demonstrating the value of perseverance and continuous improvement. Focus on building a sustainable business model, staying updated on trends, and prioritizing customer satisfaction to achieve lasting success.

Amazon Tools, Programs, and Services Stats

Shipping with Fulfillment by Amazon (FBA) costs 70% less per unit than comparable premium options offered by other U.S. fulfillment services.
This significant cost-saving makes FBA an attractive option for sellers.

Sellers and advertisers using Sponsored Products campaigns through Amazon Ads spent 13%-79% less per click compared to alternatives in 2022.
This cost efficiency enhances the appeal of Amazon Ads.

Subscribe & Save products with a 10%-15% discount can drive up to a 1.8X increase in sales conversion on average.
Discounts through this program effectively boost sales.

Basic A+ Content can encourage repeat purchases and increase sales by up to 8%.
This feature helps in building customer loyalty.

On average, brands with an Amazon Store saw 31x more repeat purchases in 60 days.
Creating an Amazon storefront for your products can significantly enhance customer retention.

In 2022, Amazon and its third-party partners lent $2.1 billion to sellers.
This financial support aids sellers in scaling their businesses.

Insights

Fulfillment by Amazon (FBA) significantly reduces shipping costs, and Sponsored Products campaigns are a cheaper way to increase clicks and sales. Sellers should use these options to cut costs and improve their advertising effectiveness.

Additionally, joining the Subscribe & Save program can lead to more consistent sales, and adding A+ Content can help keep customers coming back. Setting up an Amazon Store can also increase customer loyalty, which is key for long-term success.

Lastly, taking advantage of Amazon’s financing could help expand your business.

Important Performance Metrics for Amazon Sellers

Return Rate

As of 2023, on average, 12% of products bought on Amazon are returned.
Casual apparel sees 12-18% returns, electronics 15-20%, and high fashion apparel around 35%.

Inventory Turnover

Amazon’s inventory turnover increased to 9.07 in Q1 2024.
The average inventory processing period decreased from 42 days in Q4 2023 to 40 days in Q1 2024.

Customer Acquisition Cost (CAC)

The average Customer Acquisition Cost (CAC) on Amazon is $8.03.
This is based on an average CPC of $0.77 and a conversion rate of 9.58%.

Lifetime Value (LTV)

The average LTV for a Prime subscriber is estimated at $2,283 as of 2023.
This is more than double the LTV of a non-subscriber.

Cart Abandonment Rate

The cart abandonment rate for e-commerce websites, including Amazon, ranges from 60% to 80% as of 2023.
This indicates a common challenge in converting potential sales.

Buy Box Percentage

As of 2022, many sellers report average Buy Box percentages between 2% to 5%.
Some achieve higher percentages, such as 15% or more, depending on their competitive positioning and product categories.

As of 2024, approximately 82% to 90% of Amazon’s sales occur through the Buy Box.
This statistic highlights the important role of Buy Box in driving sales for sellers.

Insights

Through the Amazon seller statistics discussed above, we get the following insights:

  • Manage Return Rates: Focus on improving product descriptions and customer reviews to reduce high return rates, particularly in fashion and electronics.
  • Optimize CAC and Conversion Rates: Regularly review your advertising spend and conversion metrics to ensure efficient use of your budget and maximize your return on investment.
  • Prioritize the Buy Box: Strive to win the Buy Box by maintaining competitive pricing and excellent seller performance, as the majority of sales are made through this feature.

Sources

The Amazon seller statistics and information used in this blog were taken from the websites listed below:

  • Amazon
  • Helim10 Hub
  • MarketGap
  • JungleScout
  • Adbadger
  • Seller Assistant
  • CSIMarket
  • RevenueGeeks

Conclusion

To conclude, these Amazon seller statistics are essential for anyone looking to succeed on the platform. Amazon statistics for sellers provide valuable insights into market trends, helping you refine your strategies and stay competitive. Whether you’re analyzing Amazon statistics products or broader Amazon statistics, these metrics ensure that you can compete effectively and grow your business.

FAQs

  1. What percentage of Amazon sellers are successful?

Success on Amazon varies, but a significant indicator is revenue: As per Amazon seller statistics, 19% of Amazon sellers earn more than $10,000 in average monthly sales, suggesting a strong performance among a substantial segment of the marketplace​​.

  1. What are the statistics of Amazon FBA?

Amazon FBA (Fulfillment by Amazon) is highly popular among sellers for its efficiency and impact on sales. Currently, 82% of Amazon sellers use FBA, with 64% using it exclusively. It offers considerable shipping cost savings, about 70% cheaper per item compared to other major US carriers. 

Additionally, FBA users are 5.2 times more likely to earn $100,000 in their first year, generating, on average, 6.3 times more sales in their first year than non-FBA users. 

  1. How many sellers sell on Amazon?

Amazon hosts over 9.7 million active sellers globally, reflecting the vast marketplace and diverse range of businesses it supports.

  1. How much do Amazon sellers make?

Income varies widely among Amazon sellers; 45% report monthly earnings between $1,000 to $25,000, while top earners can make more than $250,000 per month​​.

  1. How many new sellers join Amazon each month?

Exact monthly figures are not consistently reported, but Amazon continually attracts a significant number of new sellers each year, enhancing its dynamic marketplace.

  1. What percentage of Amazon sellers are profitable within the first year?

More than 40% of Amazon sellers achieve profitability within their first year​.

  1. What are the average monthly sales for Amazon sellers across different product categories?

Monthly sales can vary significantly, with categories like “Home and Kitchen” and “Beauty and Personal Care” typically seeing substantial revenues​.

  1. How does geographical location affect an Amazon seller’s success?

Geographical factors, such as shipping costs, market preferences, and proximity to distribution centers, can influence success, though specific data on geographical impacts are less detailed.

  1. What is the average cost of starting an Amazon seller business?

Starting costs are relatively low, with 64% of sellers investing less than $5,000 and many starting with under $1,000​.

  1. What impact do sales events like Prime Day have on an average seller’s revenue?

Prime Day significantly increases revenues for many sellers, often equalling or surpassing other peak sales periods, due to the high customer traffic and increased purchasing that occurs during this major sales event.

Author

SaaS content writer for AdNabu. 1.5+ years in the industry. A knack for SEO skills, with expertise in BoFu blogs. Started writing with a romance novel, and currently writing about products.

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