Amazon’s Share Of All Retail Sales Could Reach Nearly 10% In Two Years
Amazon should continue to grow at an “amazing” rate, with the e-commerce giant set to capture nearly 10 percent of total retail sales by 2020, according to Telsey Advisory Group, which initiated coverage at outperform. “Amazon’s customer-centric approach, relentless pursuit of efficiency in existing and new businesses, strong and growing Prime membership base, and advanced technology platforms have differentiated the company and made it a preferred shopping destination,” analyst Joseph Feldman wrote in a note to clients Monday. “The ongoing consumer spending shift to e-commerce and greater share of wallet via expansion in new and existing categories, such as apparel, grocery, home, healthcare, and media, should help,” he added. That spending shift will put Amazon’s retail industry market share at 9.6 percent by 2020, the Telsey analyst wrote, saying that much of the growth will come from its investment in the grocery business following the acquisition of Whole Foods Market in 2017. Its share at the end of 2017 was 5.6 percent. Read more at CNBC.
