Amazon and Walmart are two corporate giants. They are in constant competition with customers in America. Both companies have attempted to gain an edge by entering the other’s market. Amazon started providing groceries, and Walmart acquired Jet.com for online shopping. PYMNTS has studied their growth and finalized who is in the lead.
Amazon’s demand increased a lot in Q2 and Q3 of 2022. It was when the lockdowns hit, and everyone started shopping online. PYMNTS has studied the two companies since 2018. PYMNTS states that Amazon is the clear winner of the race.
From Q1 2019 to Q4 2020, Amazon’s retail spending increased from 4.4% to 8.1% of its customer’s income. In contrast, Walmart went from 7.7% to 8.4% in the same duration. Thus, despite Walmart’s early lead, its growth rate is slow as more consumers turn to Amazon. Walmart’s customer spending dropped to 3% in Q2 2022.
Amazon and Walmart are close competitors for consumer retail spending. Yet, Amazon is the unquestioned leader in eCommerce. Its market share in Q2 2022 is 45%, while Walmart holds 5.4%. Amazon’s massive lead is due to its complete control over the products and delivery.
In Q2 2022, Amazon holds a 14% share of discretionary spending, while Walmart holds only 4.9%. The Prime Membership deals are a reason for this. Amazon has a superior range and customer review system in clothing and apparel. Thus, it holds 9.2% of the share, while Walmart holds 5.3%.
Amazon has now overcome Walmart in furniture spending. In Q1 2019, Amazon held 2% less than Walmart. Yet, it gained traction as more people opted for furniture shopping online. Amazon has 10% of the furniture spending in Q2 2022, while the other platform has 7.3%.
Amazon has always held a tremendous advantage over Walmart in electronic appliances. Amazon controls 21% of the market share, while Walmart holds 4.4% in Q2 2022. Walmart’s only lead in 2022 is 4.8% of health and personal care sales, while Amazon has 3.6%.
From Q2 2021 to Q2 2022, the platform had an 11.5% increase in total sales, while Walmart had an 8.1% growth. So, when it comes to the competition between the two platforms, Amazon is the clear winner. Walmart still has a long way to go.