Amazon started as online book store and has grown to be the worlds largest online retailer.
Amazon reveal Top 10 US states with the fastest-growing SMEs
Amazon have announced today the 10 US states with the fastest-growing SMEs trading on the marketplace, says study by the US Chamber of Commerce.
The report examined year-over-year (YoY) sales growth of businesses selling in Amazon’s stores across all 50 US states.
According to the report, small and medium enterprises (SMEs) in Mississippi are growing the fastest, with businesses in Nebraska, Maine, Texas, and Indiana rounding out the top five.
Third-party gross physical merchandise sales – primarily comprised of SMEs selling in Amazon stores – surpassed $160 billion in 2018 and make up more than half of the units sold in Amazon’s stores.
The top 10 states with the fastest-growing SMBs
- North Dakota
“Online selling enables rural businesses to complement their offline sales in physical stores by reaching customers they wouldn’t otherwise have access to as easily. Research shows that increased adoption of online tools and digital services could grow annual revenues of rural small businesses by 21% over the next three years and create 360,000 jobs in rural communities. Amazon continues to invest billions of dollars to develop tools and services that help small businesses reach new customers.”
– Nick Denissen, vice president, Amazon
SMEs success in the rural US
Some 20% of rural US SMEs generate at least 80% of their revenue online. Technology and online tools have the highest potential impact on rural small businesses with revenue under $100,000.
SMEs selling in Amazon’s stores come from every state in the US and more than 130 countries globally. In 2018, more than 50,000 SMBs exceeded $500,000 in sales in Amazon’s stores worldwide, and nearly 200,000 surpassed $100,000 in sales. The number of SMBs eclipsing $1 million in sales in Amazon’s stores worldwide grew by 20% in 2018.
Last year, Amazon launched Amazon Storefronts, a store for customers to shop exclusively from US SMEs selling in Amazon’s stores. With Storefronts, customers can shop a curated collection of over one million products and deals from nearly 20,000 US SMEs, and learn more about profiled businesses through featured videos and stories.