By Rebekah CarterThe US may no longer be the world’s largest ecommerce market – China now holds pole position and by a sizable margin. However, the US is the global pioneer, opinion leader and trend setter in many respects. It remains, arguably, the world’s most sophisticated.
Ecommerce sales as a proportion of total retail sales have been growing steadily over the years – from 11.1% in 2011 to 15.6% in 2023.
That growth is bound to continue as more businesses create a seamless ecommerce experience and as more people gain confidence in buying products online. Today, many of the best ecommerce companies in the world are in the US.
How We Chose the Best Companies
But how do we determine what best means? We could always go with market cap, market share, sales or visitor traffic.
Market cap is not a good measure of ecommerce capability. Market share and sales would be great metrics but not all companies share their revenues publicly and even when they do, not all of them indicate what proportion of sales can be attributed to ecommerce.
Visitor traffic is for now one of the more balanced and accessible indicators. It does have flaws of its own. For example, not everyone that visits Apple.com is necessarily there to buy a gadget or pay for a service. Some could be looking for customer support or troubleshooting help.
Further, visited traffic is not disaggregated by country though most ecommerce websites that do substantial business in other countries create a country specific domain (e.g. amazon.co.uk for the UK market). Nevertheless, traffic is a fairly good gauge of an ecommerce store’s reach.
Here’s a look at the best ecommerce companies in the US based on monthly traffic. To distinguish ecommerce sites from high traffic general websites, we picked websites that are fitted with standard ecommerce capabilities.
The Top USA Ecommerce Companies in 2024
1. Amazon
Perhaps the least surprising entry on our list and what was certainly going to be number 1, Amazon.com has become a byword for ecommerce and a fixture of everyday life for the average American. With 2.1 billion monthly visits as at February 2024, Amazon.com has been the top ecommerce website in the US for years now.
The company’s 2023 ecommerce revenue stood at $237 billion placing it far ahead of everyone else. A business that started off as an online bookstore, Amazon.com has morphed into a giant online supermarket where you can find almost anything you need.
The 167 million Americans signed up as Amazon represent about half of the country’s entire population.
Its innovative approach has seen Amazon.com disrupt and shape ecommerce industry standards in multiple ways.
Amazon has been most responsible for the drastic reduction in delivery times and delivery charges. Given its order value, the company even started its own logistics company that now covers more than half of all deliveries (the rest taken up by UPS and providers).
2. eBay
This is yet another unsurprising entry in the top two. One of the oldest ecommerce websites in the world (it was launched in 1995), eBay is a virtual auction house where people can sell anything from real estate to celebrities’ food leftovers. Its acquisition of PayPal in 2002 grew both eBay and PayPal.
eBay draws 674 million visits a month and holds unusually high sway among middle aged and elderly Internet users when compared to its competitors, perhaps a byproduct of its decades-long reputation. The ‘Buy It Now’ instant purchase option has made it popular with platform users.
Its gross merchandise volume (successful transactions between the platform’s users) stalled at $80-90 billion between 2014 and 2021 before dropping to $74 billion and $73 billion in 2022 and 2023 respectively. Similarly, the company’s revenue has stagnated and was $10 billion in 2023. Despite these setbacks, eBay remains the second largest player in the ecommerce space. It is unclear how long the company can hold on to its position given the rapid and consistent growth of many of the websites that follow it.
3. Apple
Apple may have lost the title of the largest company in the world by market cap to Microsoft. However, it remains one of the world’s most valuable brands and has a famously loyal customer base. The technology company’s phone launches routinely draw long lines outside its physical stores with many camping hours before opening. So the 446 million visits monthly to Apple.com provides more proof of its products’ appeal. Apple.com has ecommerce net sales of $59 billion per year.
A pioneer of mass market computers and smartphones, Apple.com offers phones, tablets, computers and wearable technology. To bridge the gap between shopping offline and online, Apple.com includes the ‘Shop with a Specialist’ free service where buyers get a live video shopping experience on the website. Shoppers can browse the latest phone models, compare features and consult an Apple Specialist to determine the best deal.
4. Etsy
Etsy.com is a creatives’ marketplace that attracts 430 million visits a month. It has more than 6 million active sellers (the overwhelming majority being small businesses) and in excess of 90 million buyers. The website has gross merchandise sales of $13 billion per year and revenues of $2.75 billion.
Etsy primarily facilitates the sale of handmade and vintage goods including jewelry, home décor, furniture, clothes and children’s toys. The goal is to make available unique items that stand out in a market dominated by new, machine-made goods. Majority of Etsy sellers are artists, craftsmen and collectors. Vintage items must be at least 20 years old.
The site’s recent growth can partly be attributed to a growing consumer trend that shows preference for buying from small, independent businesses. That said, not a marketplace that leaves growth to organic traffic alone, Etsy.com has splurged on digital marketing including Google Ads, Meta Ads and Pinterest.
5. Walmart
The world’s largest retailer has made great strides in its ecommerce strategy. Already wielding unmatched offline brand recognition and an expansive physical presence, Walmart has been building on that competitive advantage to drive online sales. Launched in 2000, Walmart.com draws 350 million visits monthly and raked in net ecommerce sales of $53 billion in the US.
It has one of the diverse product ranges that encompasses food, electronics, consumer packaged goods and more. More than most retailers, traffic soars during major sales seasons such as Black Friday often pushing Walmart.com past all other members of the top four with the exception of Amazon.com.
The company also provides various perks to outcompete Amazon.com. These include free and/or 2-hour delivery, benefits Walmart.com can provide thanks to its large network of stores and distribution centers.
It established Walmart Marketplace in 2009 that allowed third-parties to sell on its platform in much the same way Etsy and Amazon do. Walmart has its own logistics service backed by a privately-owned fleet. Last mile delivery is handled by GoLocal.
6. T-mobile
Majority owned by Deutsche Telekom, T-mobile is the third largest wireless carrier in the US by subscribers (120 million in 2023).
That has not stopped the company from outdoing its rivals in the battle for eyeballs online. With 193 million visits monthly, T-mobile.com has a significant lead on industry leaders AT&T and Verizon.
The company seems determined to gain an edge over its key competitors online thereby getting a head start in the arena where most future purchases will occur. You can order phones, tablets, smart watches and communication accessories.
In line with its reputation for good customer service compared to its peers, T-mobile.com has a community section where users can openly provide feedback on their experience.
7. Costco
Costco Wholesale, the world’s largest membership-only warehouse retailer and the fifth largest retailer overall, has hundreds of warehouses around the US. Costco.com was launched in 1998 and receives 81 million visits monthly that bring in net ecommerce sales of $14.8 billion annually.
Customers choose from a broad range of product categories such as electronics, food, alcohol, jewelry and outdoor living. Kirkland Signature, its private label product line, is the largest store brand in the world.
8. Att
AT&T is the US’ largest wireless carrier. With 242 million subscribers, it has nearly 100 million more than its closest rival. Such an enormous footprint has been pivotal in driving traffic to its ecommerce portal.
Att.com currently receives 169 million visits monthly. Att.com should rank higher on this list but visitors to the ecommerce store regularly complain about its usability and navigability. Products you can order on the website include phones, tablets, computers, smart watches, wireless routers and other mobile accessories.
9. Homedepot
Homedepot.com is the online home of Home Depot, the largest home improvement and hardware materials retailer in the US with over 2,200 outlets across the country. The ecommerce site was launched in 2011, significantly later than a lot of large retailers had.
Despite the company’s slow pace of embracing Internet commerce, a good quality ecommerce website combined with its offline reputation have been the twin engines of its stellar growth.
Homedepot.com gets 156 million visits monthly and has net ecommerce sales of about $20 billion. Customers typically shop for tools, building supplies, home and garden equipment, furniture and an extensive range of do-it-yourself aids. It has an augmented reality feature that allows customers to visualize items within their space and determine if the product is the most suitable choice.
10. Target
Target.com, the ecommerce portal of another giant brick and mortar retail chain, joins Walmart.com in the top 10. Target has a history going back more than a century and is riding on its established retail reputation in order to have an edge over ecommerce-only rivals. Its website was relaunched as an ecommerce portal in 1999.
With 131 million visits a month and net ecommerce sales of about $19 billion annually, a rapid growth in visitor traffic is another thing that Target.com has in common with Walmart.com. As a general retailer that has positioned itself as the champion of cheap-chic, items available on Target.com range from furniture, to home and garden with apparel being one of its most popular product lines.
11. Lowes
Home Depot’s main rival, Lowes is a big box retailer that specializes in hardware and home improvement products including furnishings and décor. It’s the second largest hardware chain in the US and the world. Most of the company’s revenue comes from do-it-yourself consumers.
Lowe’s ecommerce store, Lowes.com, attracts 96 million visits monthly. Like Home Depot and other do-it-yourself stores, Lowes.com saw double- and triple-digit rise in online sales during the COVID-19 pandemic but this acceleration has since dropped to single-digits.
12. Wayfair
Originally known as CSN stores, Wayfair is an ecommerce-only store specialized in furniture and home goods. The company sources its products from more than 10,000 suppliers spread around the world and generates over $11 billion in sales annually.
Wayfair.com attracts 94 million visits monthly. Low pricing is one of the store’s major selling points.
13. Bestbuy
Best Buy started off as an audio company before it transitioned to a fully-fledged consumer electronics store. It launched the ecommerce website Bestbuy.com in 2010.
Like other large brick and mortar stores, the products available on the website are the same you would find at its physical outlets – consumer electronics, home appliances, fitness equipment, travel aids and baby products.
While a lot of other large retailers sell consumer electronics as well, Best Buy is known for its emphasis on quality products and not just low prices. Many consumers and electronics brands alike consider a listing on Bestbuy.com as a stamp of quality.
Bestbuy.com attracts 84 million visits monthly and has net ecommerce sales of $14 billion annually. Best Buy (and Bestbuy.com) is today the largest consumer electronics store in the country (i.e. stores that sell devices from multiple manufacturers). It is also the largest in the world by revenue and third largest by number of physical stores.
14. Macys
A quintessential example of business resilience and growth, Macy’s has been in business for more than 160 years. Much of its ascent to national prominence however occurred starting in the 1990s. It is the country’s largest department store, a position it has worked to extend to its Internet presence especially in fashion and apparel.
Macys.com gets 82 million visits monthly with products available on the site including clothing, shoes, accessories, cosmetics, beauty products and home décor. About a third of the company’s revenue (or about $7 billion) comes from ecommerce sales.
15. Shein
No other store in our top 15 has had as meteoric a rise as Shein.com has over the last five years. It’s not as recognizable a brand as the rest of our shortlist. This is partly what makes the Chinese-Singaporean ecommerce company’s rapid ascent so impressive. With 176 million visits each month, Shein.com’s net ecommerce sales exceed $30 billion annually with about half of that thought to come from the US.
Shein.com has built a name for its low pricing and expansive range. It mainly stocks women’s apparel but has a significant selection of shoes, men’s apparel, children’s clothes and fashion accessories. The company has banked on an aggressive marketing campaign to expand its visibility in the US. That has included working with Instagram influencers.
Other Notable Ecommerce Stores
- Verizon.com – America’s second largest wireless provider draws 52 million visitors to its ecommerce website each month, far behind its main rivals T-mobile and AT&T.
- Kohls.com – The ecommerce website of leading discount department store Kohl, Kohls.com receives 45 million visits monthly.
- Chewy.com – The go-to store for anyone looking for pet food and related products, it gets 38 million visits monthly and has net ecommerce sales of $10.3 billion.
- Samsclub.com – Owned by the Walmart subsidiary that follows the same model as Costco, Samsclub.com receives 35 million monthly visits and has net ecommerce sales of $9.2 billion annually.
- Kroger.com – Kroger, America’s largest grocery chain, launched its ecommerce portal in 2018. This delay placed saw it fall well behind many of its peers that had launched online stores years earlier. Today, Kroger.com draws 34 million visits monthly,
Conclusion
A plurality of the US adult population buys some products online. Still, with ecommerce sales accounting for just over 15% of total retail sales, there is still plenty of room to grow. It’s bound to be an even more fiercely competitive market as different players jostle for a share.
The ecommerce websites that are ahead of the rest today are bound to hold an early mover advantage creating a momentum that will be difficult for late entry rivals to surmount.
On the other hand, new stores can learn from the strengths and shortcomings of today’s winners and tweak their own ecommerce strategy to increase their chances of success.
