If you are a white, mid-40s, female, home owner, earning around $60k per year, and living in a suburban or rural area, then you are probably a typical Amazon customer in the US. On average you would shop on Amazon 72 times per year and spend some $2,662 on the marketplace each year.
That’s according to the latest Numerator Snapshot which reveals that Amazon’s repeat customer rate is somewhere around 99% and that’s on a household penetration of 81%.
The typical Amazon customer in the US also does about 20% of their shopping online and they’re an incorrigible impulse buyer, perhaps because they find ads entertaining.
After GenX, Millennials and GenZ are the most prolific Amazon buyers, and although Boomers outnumber the other cohorts they’re less likely to be Amazon shoppers. Middle income (£40k-$80k) shoppers are where Amazon really win and if they are also a home owner it’s a home run for Amazon.
The real win for Amazon however is the frequency of Amazon shoppers, who buy on average once or twice per week meaning that Amazon is their habitual go to place and with more than 4 billion purchases in the US delivered next day in 2023 – Amazon Prime which offers free next day delivery is a massive income source, with subscriptions (Prime memberships, as well as digital video, audiobook, digital music, e-book, and other non-AWS subscription services) now delivering £1 billion a quarter in revenue and tying customers even closer to the marketplace.
Interestingly, Earnest reveal that while over 96% of Temu customers also shop at Walmart and Amazon only 19% of Amazon customers shop on Temu, which suggests that the marketplace is not currently at serious risk of losing market share – Temu’s market share in the US appears to be coming at the expense of Wish and AliExpress according to Earnest.
