As your Amazon business thrives, it might be time to consider expanding your business into international markets.
Amazon’s NARF program and other global selling initiatives make this easier than ever.
But the question remains – which countries or regions should you target and what kind of value can you expect from expanding your Amazon business internationally?
Let’s dive into the data and find out!
Amazon’s Top Selling Countries in 2022
Taking a look at Amazon’s latest sales annual report, the countries with the most sales were as follows:
What does the data tell us?
The US is the leader in total sales by around $300 million compared to the.
Amazon’s biggest market is, of course, the US – leading by around $300 million in annual sales revenue. Considering it’s Amazon’s longest-standing marketplace and its population of 333.3 million compared to Germany’s 83.8 million (as of 2022), this isn’t surprising.
Outside of the US, Germany and the UK are Amazon’s oldest and most established marketplaces, having launched there in 1998, four years after their US inception. So clearly, how long Amazon has been established in a region is a key indicator of its foothold there.
Remember this as you take in the upcoming data. It might just persuade you to start considering doing business outside of US borders – despite the US being the most lucrative market for Amazon right now.
Sales Growth Over the Years
A look at Amazon’s annual reports reveals the company’s impressive growth around the globe.
What does the data tell us?
While the US market has consistently been lucrative and showing no sign of slowing down in terms of growth, the ‘rest of the world’ category has seen a staggering 526% growth between 2016 and 2022.
Their huge investments in the European marketplaces and distribution networks – €215 billion since 2010 (roughly $23 billion) – explain the substantial increase in the “Rest of the World” category.
This is why international expansion is such a huge opportunity for US-based Amazon sellers. Amazon themselves are acutely focused on developing their foothold across the globe and are regularly updating the international selling programs available to brands.
Explore pay-as-you-sell product liability insurance designed specifically for scaling Amazon businesses.
Amazon Monthly Traffic by Marketplace
Web traffic data across the Amazon domains shows the distribution of Amazon’s web traffic across their three key selling regions. (Data collected from Ahrefs, correct as of April 2024)
What does the data tell us?
Just as we saw in the sales data over the years, Europe and the Asia-Pacific region are quickly becoming key regions for Amazon in terms of web traffic.
Amazon EU Store Transparency Report
In October 2023, Amazon released its first-ever store transparency report. Its purpose was to outline their commitment to providing a trustworthy shopping experience and it shed light on the average monthly users across all of their European marketplaces (excluding the UK). Let’s take a look:
What does the data tell us?
While there has been huge investment in Amazon EU as a whole, there are clear frontrunners when it comes to which marketplaces are more likely to be the most lucrative based on the number of active monthly users.
Germany, Italy, France, and Spain are Amazon’s most established European marketplaces based on the data, so are strong candidates for US sellers expanding into the European market.
Of course, translation, currency conversion, and local trends are all barriers to consider before testing new marketplaces.
The International Selling Series: What to Read Next
If this data has you curious about expanding your Amazon business internationally, check out these blogs in our international selling series:
Get insured for your international sales with Assureful
Protect your Amazon business with pay-as-you-sell coverage from
Assureful – the eCommerce insurance specialist.
Premiums as low as $26/month
Sources
All information in this article has been obtained from the below sources:
- https://assets.aboutamazon.com/cd/28/4d02dd2e41ec8c6d1bc341e9d919/amazon-eu-store-transparency-report-jan-june-2023.pdf
- https://ir.aboutamazon.com/annual-reports-proxies-and-shareholder-letters/default.aspx
- https://ahrefs.com/
- https://datacommons.org/place/country/USA?utm_medium=explore&mprop=count&popt=Person&hl=en
- https://datacommons.org/place/country/DEU?utm_medium=explore&mprop=count&popt=Person&hl=en
- https://www.aboutamazon.eu/map/investing-in-europe
)
