Amazon physical store sales Q4 2023

Amazon is known as an e-commerce company, but in recent years, the retailer has invested in opening physical stores across the United States with more international expansion in mind. Amazon’s physical retail stores come in different formats, including Amazon Fresh grocery stores, Amazon Go, Amazon Books, Amazon 4 Star, and Amazon Pop-up. Typically, Amazon’s branded devices, books and other merchandise are available in these stores. In the last quarter of 2023, net sales from Amazon’s physical retailing amounted to over 5.1 billion U.S. dollars.

Whole Foods acquisition and Amazon Fresh

Amazon’s venture into brick-and-mortar grocery store retailing started with the acquisition of the Whole Foods Market in 2018. By 2017, just before it was bought out by Amazon, the supermarket Whole Foods had registered a net sales revenue of over 16 billion U.S. dollars. In addition to some 500 Whole Foods locations, Amazon’s grocery retail business is supported by Amazon Fresh with stores predominantly in the United States. Outside of the United States, Amazon opened its first Amazon Fresh stores in the United Kingdom in March 2021.

Amazon’s retail portfolio

Amazon has a diverse retail portfolio, both in terms of merchandise and the business models it offers across its platforms. While it started its e-commerce business as an online retailer acting as the first-party owner of the products on offer, third-party selling on the Amazon marketplace increasingly became the norm among online sellers, who often employ both models when working with Amazon. Since 2017, more than half of paid units of Amazon is attributed to third-party sellers using the Amazon marketplace to sell their products.