E-commerce giant Amazon.com, Inc. (NASDAQ: AMZN) has reported the biggest holiday season yet with high levels of consumer shopping during Thanksgiving and Black Friday. The company expects to grow even bigger by the new year with their top 4 sectors: Amazon Prime, Alexa devices, small merchants, and the Amazon App.
Over 4 million shoppers subscribed for paid and free trials in just one week with an estimated total of about 90 million consumers in the U.S. With the subscription, these users typically spend more with the e-commerce giant as Amazon is working to convert free trials into paid subscriptions to further grasp loyalty of members.
The Alexa app has become the top downloaded app on the iPhone App Store and Google Play as many customers increased sales by purchasing this item. Tens of millions of this product have been sold with the Echo Dot coming in as the best selling product across the marketplace. Further sales may be driven as 30% of shoppers who purchase an Echo Dot are more inclined to purchase a second one.
Small merchants and entrepreneurs have worked with Amazon and sold over one billion products to help overcome the rising competition with rivals. They all plan to attract more third party sellers to their marketplace by promising a boost in sales and profit going forward.
Over the holiday season, shopping on the Amazon app has surged about 70% where smartphone and tablet sales contributed to 32% of e commerce sales overall in the U.S. Amazon will continue to drive sales by pushing more shoppers to use the app beyond the holiday season.