1. An Overview of the E-commerce Companies in the US (United States of America)
The ecommerce industry is booming in the United States, with more businesses moving their operations online every day. This increased competition has led to some impressive advances in technology and logistics, as companies strive to offer their customers the best possible shopping experience.
The popular notion is that the sun never sets on the American market. Top e-commerce companies in America have been leading the way in establishing global standards in the e-commerce ecosystem. This global standard has been set with the help of high-tech solutions and successful logistics companies.
Contrary to a lot of predictions e-commerce businesses have consolidated even after the pandemic. Now, online ventures are heading towards unprecedented numbers in profit margins and customer base. Furthermore, these online businesses have raised the bar in providing a competitive post-purchase customer experience. And it has been made possible by automation tools and intelligent algorithms, which have managed to replicate successful order fulfillment consistently.
Today, modern tech tools are changing the face of the e-commerce market. Augmented reality, chatbots, big data, voice shopping, AI-powered engines, and multiple payment options are some of the contemporary tools available.
These tools have enhanced the customer experience, providing a personalized touch to the whole shopping routine. Additionally, e-commerce enterprises are trying to utilize drone deliveries and hyperlocal services for fast-tracking last-mile operations in the USA. To further understand the state of America’s e-commerce market here are some statistics and predictions:
- Smartphones are the most used devices for shopping.
- 55% percent of users search online before buying a product.
- Books, music, and video have the highest share in retail.
- Computer and consumer electronics stand at 53 percent.
- 469,245 million USD revenue in the year 2021.
- Estimated to reach 563,388 million USD revenue in 2025.
- Social media accounts for 4.3% of e-commerce sales in 2021.
- Around 65 billion USD was spent on picking, packing, and delivery.
- About 4 billion USD market for same-day delivery.
Now that we have an insight into the penetration of online companies in the market, let us look at the top ecommerce companies in the US.
2. Top 10 Best eCommerce Companies in United States of America (U.S.A.) [2023 Updated List]
The ease and convenience of buying what you need online has made it the preferred choice for consumers around the world. With this in mind, it's no surprise that there are many successful eCommerce companies out there.
In fact, according to recent reports, the United States is home to some of the world's top eCommerce businesses. So if you're an eCommerce business owner or are thinking about starting one, these are the 10 companies you should look up to for inspiration and guidance. Thanks for reading!
2.1) Amazon eCommerce Company In United States
Amazon is an online business and cloud computing company. It was started as an online bookstore and has become the most extensive e-commerce company by revenue in the world. And it acquired a lot of businesses and created partnerships to establish itself as one of the most prominent and diversified online store in the US. Further, Amazon houses a logistics wing of its own.
And in 2021, it increased its in-house delivery capacity by 50%, as the rest was covered by US postal service, UPS, and other logistics services. While Amazon has its own two-day sales festivals with spectacular offers, the average time to complete an order is around 15 minutes, saving a lot of time for its customers. Finally, the company has achieved more than 200 million memberships, estimated to generate 540 billion USD next year.
2.2) eBay Ecommerce Platform In USA
eBay is an American multinational company which offers business-to-business and consumer-to-consumer sales through its website. It functions as an online auction platform as well as an e-commerce store. Like any successful online companies, eBay ventured into partnerships and acquired many businesses to expand its domain with a series of investments. Moreover, as its product category expanded to include any item that was sealed, the business grew and reached a revenue of $10,800 million with 13,300 employees.
And as for shipping, eBay provides multiple choices to sellers; ordinary mail, express mail, or courier service. Finally, eBay provides logistics solutions on a single shipment window by partnering with reputed logistic companies and making deliveries hassle-free for its customers. These partnerships provide competitive prices with seller protection and automated shipping updates.
2.3) Best Buy eCommerce Company In The U.S.A
Best Buy is an American multinational consumer electronics retailer and it was started as an audio specialty store called the Sound of Music. It was later rebranded under the current name as a consumer and home electronics store. It sells various items, including software, video games, music, mobile phones, home appliances with warranty and repair services through its online store.
And after a series of partnerships and acquisitions, Best Buy has moved into other countries with products created by eight in-house brands. Moreover, Best Buy has generated a revenue of 47 billion in the year 2020. This e-commerce platform uses significant carriers like FedEx, UPS, and USPS to manage its logistics services. And finally, Best Buy is estimated to provide 52 billion USD in sales for the year 2023.
2.4) Walmart Ecommerce Service Provider United States
Walmart is a retail chain that operates hypermarkets, department stores, and grocery stores in the US. It rose to global status in the 1990s with expansion to multiple countries in South America and Europe. It is the world's largest retail corporation. Walmart operates an in-house logistics services unit supported by a privately-owned transportation fleet. And it provides last-mile delivery services with GoLocal. It is one of the most diverse ecommerce sites allowing customers to purchase anything from electronics and hygiene products to art and photography products online.
Walmart uses digital inventory and automation tools to maintain an established supply chain network and low-price mega warehouses across the country. Furthermore, Walmart accounts for 16.8 billion in revenue in the year 2021. On top of that, Walmart offers seamless pick-up and delivery services. These services and purchases can be accessed by a Walmart credit card with unlimited free deliveries for its customers.
2.5) Apple eCommerce Company In USA
Apple is a multinational technology company offering consumer and office electronics, computer software, and online services. Apple after a considerable stint in the market went through a whirlwind of management changes and investments. After which it found its way to become one of the world’s most valuable companies with high brand loyalty among its customers.
It is a leading consumer electronics company and one of the big five information technology companies in the US, including Amazon, Facebook, Microsoft, and Google. Furthermore, Apple has enjoyed high success with mobile devices and now has 1.65 billion devices active worldwide. To top that, it has enhanced its digital sphere by investing in music, Apple tv, and media production software. Finally, Apple is estimated to generate a revenue of 405 billion USD in the year 2023. It runs one of the most successful online stores through its website.
2.6) HomeDepot Ecommerce Service Provider In The U.S.A
HomeDepot is the largest home improvement retailer in the US with 70 distribution centers across the country. This online platform created multiple acquisitions and partnerships in the 2010s. Currently, HomeDepot employs 413,000 people with a revenue of $110,225 million in the year 2020. Moreover, HomeDepot has 90 distribution centers across the US to serve 2000 stores.
HomeDepot uses multiple partnerships for logistics services like UPS and FedEx and employs Roadies to offer same-day delivery for 20,000 items in the US. It utilizes google cloud to scale up to cover an unprecedented surge in online demand. And HomeDepot is estimated to generate more than 120 billion USD in revenue next year.
2.7) Costco Ecommerce Platform in United States of America
Costco is an American multinational ecommerce company founded 25 plus years back. It operates a chain of membership-only warehouse clubs providing the world’s largest retailing service. Costco offers household electronics, prime beef, organic foods, rotisserie chicken, and wine. It is a leading retailer specializing in bulk purchases.
And Costco today employs more than 254,000 employees worldwide, with 105.5 million members in its transaction list supported by 804 international warehouses. Moreover, Costco has racked in revenue of 166,761 USD in the year 2020. Furthermore, this top e-commerce platform has fulfilled around 70% of all bulk orders in the US, and it is estimated to generate a revenue of 150 billion USD in the year 2023.
2.8) Target Ecommerce Website In USA
Target is an American retail corporation and its stores were established in 1962. After considerable success for a few decades, Target started providing customized stores according to the local experience since 2006. Moreover, Super Target hypermarkets, Small-format Target, and Target express stores were added over the years to accommodate the evolution of consumer demands and e-commerce markets.
Furthermore, this e-commerce platform also manages private-label products. They also cater to various sectors like grocery products, pet food, personal care products, home decor, clothing, and so on. To top that, Target offers same-day delivery, order pick-up, and drive-up, which is a curbside pick-up service. These versatile features have accounted for more than half of its digital sales. Finally, Target is estimated to generate more than 100 billion USD in revenue in 2023.
2.9) Wayfair eCommerce Company in USA
It is one of the newest companies on this list, and it was started as an e-commerce company that sells furniture and home goods in the US. Wayfair offers 14 million items from 11,000 global supplies on its digital platform. Moreover, Wayfair holds a commendable 12 million square feet of warehouse space in Europe and North America.
After consistent investments in the 2010s, Wayfair went on to generate a revenue of $14.45 billion in the year 2020. Moreover, employs 2,300 engineers and 3,000 customer service representatives to offer a comprehensive supply chain and customer experience. Additionally, it provides state-of-the-art machine learning and data science to assist customers in finding the right products. And finally, to extend their market, they are looking to employ 1000 technologists to engineer its organization globally.
2.10) Kroger Ecommerce Platform In United States
It is an American retail company and one of the oldest in the country. With consistent success for over 100 years, Kroger entered the online arena in the year 2018. That created new revenue and commits to international partnerships. In-house systems execute logistics services, and Kroger operates its own fleet of transport services aided by partnerships with numerous trucking companies.
Moreover, Kroger has its own private label brands that cater to home goods, pet food, fast fashion, floral arrangement, baby products, pharmaceuticals, and so on. Kroger has had more than 1.3 billion digital interactions in the past year and additionally partnered with Drone express to tap into drone deliveries. Finally, Kroger is estimated to generate more than 135 billion USD in revenue over the next year.
3. How to Choose the Best e-Commerce Sites in the United States (USA)?
There are many online platforms out there. When selecting the top e-commerce sites from a long list, it is important to look at some crucial factors. Here is a list of those factors for you to decide the most suitable online platform.
3.1) The number of Areas/Pincode Delivered to
A crucial factor for selecting an e-commerce company is its capacity to deliver to a vast number of areas/pincodes. As consumers we tend to enjoy the leverage of being able to ship to different regions be it remote or international. Additionally it could also be a great facet if the online business can ship orders in bulk.
3.2) Products, Service and Benefits
When it comes to products, the onus is on the e-commerce company to provide a wide range of merchandise. The buck doesn't stop there as top online ventures offer a great package. The products you order might come with a variety of services and benefits. They can include discounts, extended warranties and free services that can prove to be a great buy for a customer. So look out for these deals next time to make a satisfying purchase.
3.3) Delivery mechanisms
The storage, transportation, communication and regular delivery make up the delivery mechanisms employed by an e-commerce company. When ordering, we as consumers are always vary of delivery mechanisms of the online company. The e-commerce platform that practices safe and secure transportation protocols will always win the consumers approval. Especially for protecting sensitive and expensive items. As a result, customers are never apprehensive about purchasing any kind of commodity.
3.4) Delivery Speed
A vital part of the whole post-purchase experience is the delivery speeds provided by the online platform. And consumers are mostly looking for express delivery speeds. Gone are the days where products were delivered in 4-5 days. So, e-commerce platforms are constantly trying to facilitate faster deliveries. They include expedited options like express, same-day, next-day and hyperlocal deliveries. As a result, e-commerce businesses have managed to put the consumer’s mind at ease, reducing cancellations.
3.5) Order Tracking Visibility
Order tracking with end-to-end visibility is a versatile feature that completes a satisfying customer experience. Real-time order tracking with automated updates of various milestones calms the customers nerves. And it is also a nominal requirement in today’s e-commerce practices.
3.6) Proof of Delivery
Top e-commerce businesses have their delivery system validated by proof of delivery. In case of failed deliveries or malpractices, a proof of delivery will be a divisive factor. It will help online platforms attend to customer queries and complaints regarding the condition of the product at the time of delivery. Moreover, proof of delivery will also hold the courier agent accountable for any mistake on their side.
3.7) Returns policy and management
There is always a possibility that you might return the purchased product. In that case, it is important to look out for a clear returns policy before making the purchase. Online companies with concise returns policy and management will make sure the pick-up and reverse logistics of the product is arranged efficiently.
3.8) Reputation and reviews of the e-commerce company
Finally, an important but simple aspect to look at is the reputation and the reviews of the online platform you want to buy from. Many e-commerce sites and blogs provide reviews and information on various e-commerce companies. Those websites can help you in deciding the best online shopping websites for your requirements.
The e-commerce industry is now an $865 billion market in the US, with an estimated 6% annual growth rate. This growth has been supported by logistics companies and social media platforms that have helped to make shopping online more accessible than ever before. Companies like FedEx and UPS are able to use their expertise in delivering goods all over the world.
They have helped small businesses grow through the distribution of products overseas as well. Online businesses also work closely with social media platforms such as Facebook and Instagram. These platforms provide comprehensive marketing for these retailers on their sites; this service alone generates billions of dollars worth of sales annually from just one company! So, this article will guide you in understanding the top 10 best e-commerce companies in the US (the United States of America) with statistics and their effect on livelihoods and the online market.