Walmart loses! Amazon becomes the largest apparel market in the United States

Recently, Wells Fargo Bank released a study showing that Amazon has successfully defeated Walmart and become the leader in the US apparel market.

Amazon's apparel and footwear sales hit $41 billion

Data released by Wells Fargo shows that Amazon's sales of clothing and footwear in the United States reached US$41 billion in 2020, an increase of about 15%. Compared with Walmart, it exceeds its clothing retail sales by about 20% to 25%.

Currently , Amazon 's clothing sales account for 11%-12% of the total sales in the United States, accounting for about 30% to 35% of the online clothing and footwear market in the United States . In terms of sales , Amazon's clothing and footwear sales are almost 7 times that of the second largest online retailer , Macy's.

It is expected that Amazon's clothing/footwear sales will exceed US$45 billion in 2021, further expanding in scale.

The pandemic brought an e-commerce boom, and Amazon took advantage of it

The news undoubtedly boosted Amazon's arrogance. For many years, Wall Street analysts have predicted that Amazon may surpass Walmart to become the largest clothing retailer in the United States.

Amazon has been investing in the online clothing sector, inviting more and more brands to join the platform, cooperating with various international brands, and expanding its fashion business. At the same time, it has also opened luxury fashion online stores. Today, Amazon has finally become the leader in the American clothing industry.

Wells Fargo said the pandemic has contributed to the situation, cementing Amazon's dominance in retail.

As consumers stuck at home choose to shop online due to the pandemic, Amazon has become the preferred platform for countless consumers. For example, people will choose essentials such as toilet paper on Amazon, as well as non-essential items such as office supplies, household products and fitness equipment.

At the same time, some consumers are also purchasing products and services on Amazon that they have never bought there before , such as online grocery delivery.

Amazon has achieved tremendous development during the pandemic, with a significant increase in the number of customers and the addition of new sites, such as Poland. Its excellent performance in all aspects has contributed to its top spot this time.

Fakes are prevalent on Amazon, and the consumer shopping experience needs to be improved

Although Amazon continues to expand its fashion section, other problems will arise as the number of brands and products on the platform continues to increase.

In recent years, counterfeit goods have been prevalent on Amazon. Although Amazon has become a top clothing manufacturer and has introduced a number of measures to combat counterfeit products, and the intensity of the crackdown has been increasing, this phenomenon has not been well improved.

This will not only harm the interests of consumers, but also cause some brands with a strong sense of brand protection to withdraw from the Amazon platform, such as Nike and IKEA.

Wells Fargo said Amazon must improve consumers' shopping experience by offering more brands and reducing the proportion of counterfeit products.

Some analysts say Amazon needs to become a platform for partnering with other companies and enhancing their brands .

Walmart

Amazon

Clothing Market