Marketplaces in the USA: 5 Most Popular Platforms

In online retail, Amazon holds the largest market share – almost 38% in 2023. Platforms like Walmart (6.4%), eBay (3%), and Target (1.9%) have significantly smaller shares. Here’s how things look based on Similarweb data from three months (June-August 2024): Etsy and Target each have a few percent. Does a smaller share mean these marketplaces […]

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In online retail, Amazon holds the largest market share – almost 38% in 2023. Platforms like Walmart (6.4%), eBay (3%), and Target (1.9%) have significantly smaller shares.

Here’s how things look based on Similarweb data from three months (June-August 2024):

  • Amazon 52.34%
  • eBay 11.08%
  • Walmart 9.56%

Etsy and Target each have a few percent.

Does a smaller share mean these marketplaces aren’t profitable? Let’s check the traffic data for June 2024.

Marketplace Total Visits Worldwide (September 2024)US Traffic Share (September 2024)
amazon.com2.553 billion85,63%
ebay.com594.7 million79,32%
walmart.com416.6 million 95,43%
etsy.com404.4 million54,10%
target.com158.1 million97,22%
Source: Similarweb

Let’s take a closer look at these most popular e-commerce platforms in the American market and whether US SEO strategies apply to marketplace platforms as well.

1. Amazon.com

Amazon is the world’s most valuable retail brand and a technology and innovation pioneer, particularly in terms of logistics and customer service. While operating globally, the US market is its most profitable worldwide – generating billions in revenue.

Amazon logo

Why do customers choose Amazon?

  • Free Shipping: Nearly half of respondents (48%) in March 2024 cited this benefit as their motivation for shopping.
  • User-Friendly Experience: 44% find amazon.com the most convenient website.
  • Quick Shopping:38% use Amazon when they want to purchase a product quickly.
  • Shop from Home: 34% choose this platform to avoid going to physical stores.

Other reasons cited by Amazon customers include:

  • Reliable and free returns
  • Time savings through product suggestions
  • Ability to return products to Amazon partners (e.g., Whole Foods)

What Sets Amazon.com Apart in the US Market?

  • Millions of Customers and Global Reach
    • An enormous base of loyal customers worldwide who can’t imagine shopping anywhere else is undoubtedly one of the main benefits.
  • Amazon Prime
    • A subscription service where members enjoy fast and free delivery on millions of products with no minimum order value. Some regions offer one-day or even same-day delivery. Amazon Prime also provides free games, movies, and TV series.

Cost of Selling on Amazon.com

Amazon offers two selling plans: Individual and Professional, for those selling over 40 products monthly.

Currently, the Professional plan in the US costs $39.99 monthly.

This package includes access to tools like Amazon Business (B2B sales), the Amazon Seller app, and Amazon Ads.

Product selling fees through Amazon depend on the product category and whether it’s a percentage of the total price or a minimum commission fee – Amazon charges whichever is higher.

2. eBay.com

  • Founded: 1995 as AuctionWeb, renamed eBay in 1997
  • Revenue in the USA for 2023: 5 billion USD

One of the world’s largest and oldest e-commerce platforms. It enables selling through auctions or “Buy It Now” options, giving sellers flexibility in pricing and sales strategies. Both individuals and businesses can list their products.

eBay logo

Users have access to thousands of product categories. Best-selling categories include:

  • Clothing, shoes, and accessories
  • Home and garden
  • Jewelry and watches
  • Collectibles, sports items, and toys
  • Health and beauty

What Sets eBay.com Apart in US E-commerce?

  • Auction Platform
    • The auction system distinctly differentiates eBay from other e-commerce platforms that operate on fixed prices. Users can bid on products, potentially resulting in higher profits.
  • Global Reach
    • eBay operates worldwide, giving American users access to offerings from various parts of the globe. Sellers gain export opportunities to expand their customer base beyond US borders.

Cost of Selling on eBay.com

eBay offers five plans – from the Starter package for occasional sellers ($4.95/month) to the annual Enterprise plan ($2,999.95).

Sellers receive a monthly allowance of free listings depending on their package. Additional listings incur fees.

eBay charges a fee for sold items:

  • Orders under $10 incur a $0.30 fee
  • Orders over $10 incur a $0.40 fee

3. Etsy.com

Etsy stands out from platforms like Amazon or eBay by focusing on unique and handmade items and vintage products.

etsy logo

Etsy.com customers seek original items. The platform is an excellent channel for sellers offering niche products who might struggle to compete with mass-produced items.

What Sets Etsy.com Apart in US E-commerce?

  • Originality and Quality
    • Etsy is a popular marketplace for unique gifts that are hard to find in traditional stores and other platforms. Items are often handmade or produced in limited quantities.
  • Small Business Opportunities
    • The platform gives individual sellers access to a global market. Independent artists, craftspeople, and small businesses can sell their products directly to worldwide customers.
  • Vintage Category
    • Besides handicrafts, Etsy offers a vintage product category for items at least 20 years old, attracting collectors and antique enthusiasts.

Cost of Selling on Etsy.com

Selling on Etsy involves several fees that vary by country:

  1. One-time shop opening fee
  2. Listing fee – $0.20 per listing, valid for 4 months
  3. Transaction fee – 6.5% calculated in the listing currency
  4. Payment processing fee – 4% + €0.30 (in Poland)

4. Walmart.com

Walmart is one of the largest retail chains and a global retail sales leader. The company is known for offering a wide range of products at competitive prices, which is its significant competitive advantage.

Walmart operates both traditional brick-and-mortar stores and an online platform.

The company operates as Walmart US, Walmart International, and Sam’s Club.

  • Walmart U.S. focuses on the retail market in the United States (including walmart.com)
  • Walmart International focuses on expansion outside the USA
  • Sam’s Club offers wholesale shopping for its members

What Sets Walmart.com Apart in the USA?

  • Low Prices
    • Walmart is known for its Every Day Low Price (EDLP) policy, attracting customers seeking savings and good deals.
  • Wide and Diverse Assortment
    • Walmart is a store where customers can order food, clothing, electronics, household items, sporting goods, and more. This allows customers to buy everything they need in one visit.

Cost of Selling on Walmart

Walmart and Sam’s Club partner with suppliers according to specific guidelines.

For example, Walmart encourages obtaining a diversity supplier certification from recognized agencies, including the National Minority Supplier Development Council.

5. Target.com

  • Founded: 1962 (store), 1999 (online store)
  • Revenue for 2023: 107 billion USD

Target.com is the online trading platform belonging to Target Corporation – one of the largest retail chains in the USA.

Target logo

The company has 45 private labels. It offers a wide range of products, including clothing, household items, electronics, cosmetics, children’s products, food, and much more.

What Sets Target.com Apart in the USA?

  • Loyalty Program
    • Target offers the Target Circle loyalty program, providing discounts, special offers, and other benefits for regular customers. Additionally, Target Circle Card users can enjoy discounts and extended return periods.
  • Click & Collect Service
    • This free service applies to products available in selected store inventory. Target fulfills it within 2 hours.

Cost of Selling on Target.com

Target isn’t a typical marketplace like Amazon, so you won’t find business packages on the website. Target.com implements certain marketplace elements through Target Plus.

Target Plus allows selected external sellers to offer their products on the Target.com platform. However, it’s much more restricted than standard marketplaces.

They carefully select which companies and products can join the platform. To apply, a company must meet specific requirements, such as being registered in the USA and having the ability to ship through approved carriers.

Marketplaces and SEO in the USA

Platforms like Amazon, eBay, Etsy, and Walmart Marketplace are becoming important sales channels for companies looking to increase their reach.

Marketplaces offer many benefits: ready-made technical infrastructure, access to a broad customer base, and logistics support. For many companies, especially small and medium-sized ones, they’re a way to quickly enter the US market without investing in developing their own e-commerce solutions.

Challenges

  1. Competition

Marketplaces attract huge numbers of sellers offering similar products.

  1. Algorithms

Each platform uses its own algorithms for product ranking.

  1. Reputation Management

Customer reviews and ratings significantly impact product visibility. Negative reviews can quickly weaken search result positions.

Recommended Actions

  1. E-commerce SEO: Optimizing product listings with relevant keywords in titles and descriptions, along with quality photos, helps increase offer visibility.
  1. Customer Service: Without fast delivery and hassle-free returns, it’s hard to maintain positive ratings and customer trust. Consider investing in a solid logistics system.
  1. Marketplace Advertising: Marketplace platforms also offer paid promotion options to increase product visibility quickly.

In summary, marketplaces present both opportunities and challenges. An effective strategy includes marketplace SEO, promotion, brand reputation management, and market adaptation.

Final Thoughts

Each platform has its unique features and popular categories. Amazon, with services like Amazon Prime, is attractive for mass-market products with high demand. eBay provides an auction system, while Etsy excels in selling unique, handmade products that attract customers seeking originality. Walmart is known for low prices and wide assortment, and Target offers loyalty programs and Click & Collect service.

Selling in the American market offers enormous business scaling opportunities. However, it requires a carefully thought-out strategy, choosing the right e-commerce platform matched to your product type and target customer group, and understanding export regulations and cultural preferences across different regions.

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