As the world gears up through the prosperity and connectivity of Industry 4.0, e-commerce has had the best journey. The number of internet users is increasing tremendously by the day with more and more efforts to make people stay connected online and get things done virtually.
With over 63% of people using the internet across the United States of America, e-commerce has grown by 50% during the pandemic alone. E-commerce, due to the exposure that it provides for small businesses and the visibility that all businesses get even in the remote areas of the country, is getting bigger by the day.
The US is one of the most developed marketplaces for e-commerce companies with this particular segment accounting for more than $1 trillion in annual retail sales across the country.
This article will discuss some popular e-commerce companies in the USA based on their market share. Most of these companies or not only popular in the USA but are also the best globally.
Amazon
Walmart
Apple
eBay
Target
The Home Depot
Best Buy
Costco
Carvana
Kroger
Wayfair
Chewy
Macy’s
Amazon
| Founded | 1994 |
|---|---|
| Headquarters | Seattle, Washington, US |
| Revenue | $513.98 Billion (2022) |
| Website | amazon.com |
Amazon is the undisputed leader in the industry with a market share of 41% as per the reports that came in the year 2022. They have a whopping 2.1 billion visits on January 2022 which they proudly flaunt. Amazon was founded in the US in the year 1994 as an online marketplace for books from where it has expanded into a multinational technology company that focuses on e-commerce, digital streaming, and artificial intelligence.
It is one of the big five American information technology companies at par with Alphabet, Apple, Meta, and Microsoft. Jeff Bezos owns this e-commerce company, which generates revenue of $470 billion, and employs more than 15,44,000 people globally. Amazon is often referred to as "one of the most influential economic and cultural forces in the world”.
Walmart
| Founded | 1962 |
|---|---|
| Headquarters | Bentonville, Arkansas, US |
| Revenue | $570 Billion (2022) |
| Website | walmart.com |
This American multinational retail corporation was in fact the world's largest one of its kind that operates a plethora of departmental stores, grocery stores, and hypermarkets.
Headquartered in Bentonville, Arkansas, Walmart was founded by Sam Walton and James Walton in 1962. They account for 6.3% of the market share to gain $393.25 billion in 2022 from $369.96 billion in 2021. Not surprisingly, they were also the world’s largest private employer with 2.2 million people working for them.
Apple
| Founded | 1976 |
|---|---|
| Headquarters | Cupertino, California, US |
| Revenue | $394.328 Billion (2022) |
| Website | apple.com |
Apple.com, the retail store by Apple Inc, holds 3.9% of the market share through its net sales across its online store. They sell a range of their products from personal computers, smartphones, tablets, digital media players, etc. The first Apple store was opened in 2001 by Apple CEO Steve Jobs.
Apple proudly holds its online retail stores as it was widely speculated that these stores would fail. Decades after its launch, apple stores continue to be one of the top e-commerce companies across the globe and in the United States of America.
It also became the fastest company to make more than 1 billion in sales within three years of its launch to be the first company to do so. Their success as top-tier online retailers becomes sweeter due to the fact that they only sell Apple products.
eBay
| Founded | 1995 |
|---|---|
| Headquarters | San Jose, California, US |
| Revenue | $10.8 Billion (2021) |
| Website | ebay.com |
Since its inception in 1995, eBay has never had to look back as it continued to expand its business globally in more than 20 countries. It was founded by an Iranian American named Pierre Omidyar and the first item to be sold on the auction website was a broken laser printer.
They were in fact the pioneers of the e-commerce segment. This California-based company allows both consumer-to-consumer and business-to-consumer sales through its website. It holds 3.5% of the market share in the US.
Target
| Founded | 1902 |
|---|---|
| Headquarters | Minneapolis, Minnesota, US |
| Revenue | $26.12 Billion (2022) |
| Website | target.com |
Headquartered in Minnesota, Target is a big box department store that is considered the seventh largest retailer in the United States of America. Their e-commerce segment was launched in 2010 when they partnered with Amazon before independently launching itself.
In 2020 alone their business grew by 144.7 %. They hold 2.1% of the e-commerce sale in the country as of June 2022. It was established as a discount division of the Dayton department store in 1962. This Fortune 500 listed company has 1948 stores across the USA.
The Home Depot
| Founded | 1978 |
|---|---|
| Headquarters | Atlanta, Georgia, United States |
| Revenue | $151.2 Billion (2022) |
| Website | homedepot.com |
Home Depot is an online platform for all sorts of home improvement needs including appliances, bathroom decorating ideas, kitchen remodeling, patio furniture, and so on. They have employed more than 500,000 employees globally.
They have been able to significantly integrate the nuances of both online and offline shopping by providing a seamless customer experience. They hold 2.1% of the US e-commerce market. In the financial year 2021, they achieved the milestone of making $150 billion in sales.
Additionally, its personalized omnichannel strategy and revamped investments in areas like artificial intelligence and augmented reality have further improved its online presence.
Best Buy
| Founded | 1966 |
|---|---|
| Headquarters | Richfield, Minnesota, US |
| Revenue | $51.761 Billion (2022) |
| Website | bestbuy.com |
Founded by Richard M. Schulze and James Wheeler in 1966, Best Buy was initially an audio specialty store that grew into a multinational consumer electronics retailer. They are the largest specialty retailer in the consumer electronics retail industry.
It holds 1.6% of the market share and was ranked number 17 in the Fortune 500 list of the top state corporations in the United States based on the total revenue generated. They have also integrated virtual shopping experiences into their midst to improve customer experience further. They hope to enrich the lives of people through the innovative and efficient use of technology.
Costco
| Founded | 1983 |
|---|---|
| Headquarters | Issaquah, Washington, US |
| Revenue | $226.954 Billion (2022) |
| Website | costco.com |
Costco was first opened in 1976 in a converted airplane hangar in San Diego. It used to be a small endeavor that served only small businesses. In fact, Costco was the first company that got a whopping $3 billion in sales within six years.
As of 2020, Costco Wholesale is the fifth largest retailer in the world and holds 1.6% of e-commerce sales in the USA. As of today, Costco is an American multinational corporation that operates a chain of membership-only big-box retail stores.
They are listed as one of the Fortune 500 companies and continue to grow through its strong entrepreneurial drive for excellence and a strong backbone cemented by employees who are highly loyal to the company due to their excellent workplace culture which attracts energetic, positive, and talented employees.
Carvana
| Founded | 2012 |
|---|---|
| Headquarters | Tempe, Arizona, US |
| Revenue | $3.386 Billion (2022) |
| Website | carvana.com |
Founded in 2012, Carvana has emerged as the most online growing used car retailer in the United States. It was started by Ernest Garcia III, Ryan Keeton, and Ben Huston and is most popular for its multi-story car vending machines.
As of 2021, Carvana operates in over 250 markets across the United States and has become one of the largest used car retailers in the country. Being a young company, Carvana was able to get its name featured in the Fortune 500 list (2021) and is known to hold 1.5% of the total e-commerce market share in the US.
Kroger
| Founded | 1883 |
|---|---|
| Headquarters | Cincinnati, Ohio, U.S. |
| Revenue | $137.888 Billion (2022) |
| Website | kroger.com |
Introduced in 1883, Kroger is an American retail company that operates supermarkets and multi-department stores in the United States. Kroger holds 1.4% of the total e-commerce market in the US.
Kroger's headquarters are placed in Cincinnati, Ohio. Today, Kroger operates over 2,700 grocery stores in 35 states under various brand names, including Kroger, Ralphs, Fred Meyer, and Fry's. In addition to groceries, Kroger stores offer a range of products and services, including pharmacy services, fuel stations, and online shopping options.
The company is also known for its private label products, which are sold under various brand names, such as Simple Truth and Private Selection. Kroger is committed to sustainability and has implemented several initiatives to reduce waste, conserve energy, and promote social responsibility.
Wayfair
| Founded | 2002 |
|---|---|
| Headquarters | Boston, Massachusetts, US |
| Revenue | $13.708 Billion (2021) |
| Website | wayfair.com |
Previously known as CSN stores, Wayfair is an American e-commerce company that specializes in selling furniture, decor, home goods, and other household items online. It was founded by Niraj Shah and Steve Conine in 2002 with its headquarters being placed in Boston, Massachusetts. The company holds 1.1% of the total e-commerce market share of the United States.
Wayfair operates through several online retail websites, including Wayfair.com, Joss & Main, AllModern, and Birch Lane. Its website offers 14 million items from more than 11,000 global suppliers. Wayfair has operations in North America, Europe, and Australia, and as of 2021, employs over 16,000 people.
Chewy
| Founded | 2011 |
|---|---|
| Headquarters | Plantation, Florida, US |
| Revenue | $8.891 Billion (2022) |
| Website | chewy.com |
Chewy was introduced in 2011 by Ryan Cohen and Michael Day with the name "MR. Chewy". The company was later on acquired by PetSmart in 2017. Chewy is an American online retailer of pet food and supplies that offers a wide range of pet-related products, including food, treats, toys, medication, and accessories for dogs, cats, birds, fish, and other small animals.
The company operates through its e-commerce website, Chewy.com, which offers a variety of search options and filters to help customers find the products they need.
Chewy has grown rapidly in recent years and as of 2021, Chewy has 13 fulfillment centers across the US. It also holds % of the total market share of the US e-commerce market.
Macy’s
| Founded | 1858 |
|---|---|
| Headquarters | New York City, US |
| Revenue | $25.292 Billion (2022) |
| Website | macys.com |
They are an American chain of high-end department stores with a long legacy that can be traced back to 1858 since its launch by Rowland Hussey Macy. They account for 0.9% of the US commerce retail sales.
Headquartered in New York, Macy’s is known for its high-quality products with a nationwide footprint which gives a hassle-free shopping experience to the customers. They believe in and strive towards creating a brighter future with bold representation.
Conclusion
E-commerce industries are sprouting up not only in the USA but also across the world at a fast pace. Tracing the patterns of the top e-commerce companies, it can be understood that two things that all successful e-commerce companies did were to provide excellent customer service and cater to all their needs.
As long as the customers are happy the company can rest assured of its growth. However, there is no doubt that e-commerce industries offer a plethora of opportunities for young entrepreneurs to make their mark.
FAQs
What is the top US e-commerce company?
Undoubtedly, Amazon is the top US e-commerce company.
How many online retailers are there in the US?
As per the data shared by Zippia, the US is home to around 1.8 million online retailers.
Which country is number one in e-commerce?
China is number one in the e-commerce sector owing to its large population providing the opportunity of having the biggest marketplace.
How big is the US e-commerce market?
The US e-commerce market is the second largest e-commerce market in the world with a revenue of 862.4 billion in 2021.
