- Online stores still represent the backbone of the Amazon business model with over $222 billion in revenues for 2021.
- Amazon has a diversified business model. In 2021, online stores contributed to over 47% of Amazon’s revenues, followed by Third-party Seller Services, AWS, Subscription Services, and Advertising revenues.
- In 1999 Amazon third-party sales contributed to only 3% of Amazon gross merchandise sales.
- By 2018, Amazon third-party sales contributed to 58% of the total gross merchandise sales on Amazon.
- Amazon AWS is among the fastest growing business units, with over $62 billion in sales in 2021 and over $18 billion in operating income.
- Amazon is grabbing a growing piece of the digital advertising cake, with over $30 billion in revenues from advertising in 2021.
- Amazon’s core business is in North America with almost $280 billion in revenues in 2021, but it is diversified globally.
Amazon revenue breakdown for 2015-2021
Amazon third-party sales vs. Amazon first-party sales
Over the years, Third-party sales have grown from 3% of the total to 58%.
In 2018, gross merchandise accounted for 58% of the total Amazon online sales.
|Year||Third party sales||First party sales|
Amazon all segments margins vs. Amazon AWS
Indeed you can see from the graphic below, how, already by 2018, it was clear that AWS contributed to 58.7% of Amazon’s overall operating income.
|data in billion dollars||Revenues (2018)||Operating Income (2018)|
|All segments (except AWS)||$123B||$5.1B|
|data in million of dollars||Operating income (2018)|
Amazon’s advertising business compared to Facebook, Google, and Bing
|data in billion dollars||Ads Revenue (2021)|
|Google Ads (+YouTube + Network Members)||$209.5B|
Amazon revenues, broken down by geography
|data in billion dollars||Revenues per area|
|Rest of world||$63.5B|
Connected to Amazon Business Model
More resources about Amazon
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