eCommerce: Tech Market

Top Online Electronics Stores in the United States:
Key Insights

• U.S. Leadership:

  Amazon.com secures the top spot in the U.S. online electronics market for 2023, followed by Apple.com, Walmart.com, and other major players.

• Global Dominance:

  Globally, Amazon.com, Walmart.com, and Apple.com lead the electronics market. Homedepot.com and Target.com are neck and neck for fourth, while other significant retailers are in lower ranks.

• Strategic Moves:

  Amazon's collaboration with Shopify enhances "Buy with Prime". Apple's "Wonderlust" event introduces the iPhone 15. Walmart expands into drone delivery, Best Buy navigates sales hurdles, and Home Depot experiences a sales decrease.

• Innovative Strategies:

  Target advances its delivery services in Georgia with TLMD, while Costco observes a consumer shift to more budget-friendly products, and Wayfair reduces its workforce due to economic pressures. Sam's Club elevates online shopping with AI, and Lowe's debuts Style Studio, revolutionizing home design.

Online shopping for the latest smartphones, computers, and audio equipment is commonplace in the United States. The top trending electronics websites in the country not only reflect, but often dictate what becomes popular in Europe.

The online electronics market in the U.S. features a lineup of prominent contenders. Which platforms are American consumers flocking to for their electronic needs? And which among them is leading the charge? Our data provides clarity on these points.

Amazon and Apple Lead the Market by Far

Among the leading online stores in the United States electronics sector, based on their 2023 eCommerce net sales, Amazon.com holds the top position with sales of almost US$49 billion. Apple.com follows as a strong contender, recording sales of nearly US$26 billion. Walmart.com, with nearly US$10 billion in sales, and Bestbuy.com, with just over US$8 billion, are also major players.

Going down the list, we see that Homedepot.com shows a notable performance with sales of US$3 billion. Other significant contributors include Target.com with also US$3 billion, Costco.com with US$2 billion, Wayfair.com with US$2 billion, Samsclub.com with US$1.8 billion, and Lowes.com rounding out the top ten with sales of US$1.7 billion.

Focusing on global revenues in the electronics market, we see some shifts in rankings compared to their U.S. eCommerce net sales.

Amazon.com, Walmart.com and Apple.com remain the top three, with revenues of US$139 billion, US$58 billion and US$47 billion, respectively. Homedepot.com and Target.com share the fourth spot with almost US$20 billion each. Bestbuy.com is sixth with US$13 billion, while Costco.com (US$10 billion), Wayfair.com (US$9.5 billion), and Samsclub.com (US$9.2 billion) take the seventh to ninth spots. Lowes.com rounds out the top ten with US$8.4 billion.

Top 10 Online Electronics Stores in the U.S.

With the broader metrics in perspective, it's time to zoom into the intricate specifics of each major player. Here's a closer look at the American tech giants that dominate the scene.

1. Amazon.com 

The retail behemoth, with a U.S. revenue of almost US$49 billion in online electronics, firmly dominates the domestic market among the top electronics stores online. This dominance is further stressed when we look at the global scale, where its revenues soar to an impressive US$139 billion. 

Last year, Amazon and Shopify unveiled a notable integration. This move will empower Shopify merchants to incorporate the "Buy with Prime" feature on their platforms. As a result, consumers can conveniently utilize their Amazon wallet at Shopify's checkout, seamlessly enjoying Amazon's prompt delivery and streamlined return process. 

Such a strategic pivot underscores a significant shift in Shopify's strategy, not only amplifying its merchant-centric offerings but also bolstering Amazon's footprint in the eCommerce sector. 

2. Apple.com 

The tech giant apple.com claims a U.S. online revenue of US$26 billion in electronics. However, it's on the global stage that its financial strength truly stands out, skyrocketing to US$47 billion. 

In September 2023, Apple hosted its "Wonderlust" event, unveiling the iPhone 15 with a new USB-C port, a shift towards industry standards. This release, along with high-end models like the iPhone 15 Pro and Pro Max, is expected to influence consumer spending and the accessories market. Additionally, the event saw the introduction of the Apple Watch Series 9 and a USB-C charging case for AirPods Pro.

3. Walmart.com

Our data shows that Walmart.com scored a U.S. online revenue of US$10 billion in the electronics sector last year, while its global revenue, at US$58 billion, surpasses Apple.com's. This showcases the online store's formidable online presence both domestically and worldwide. 

Taking innovation a step further, Walmart is broadening its drone delivery horizons, now collaborating with Wing, a drone service supported by Alphabet. This venture will enable two Dallas-based stores to cater to an additional 60,000 homes, championing both innovation and sustainability. Through this, Walmart highlights its commitment to eco-friendly, on-demand delivery, revolutionizing last-mile solutions.

4. Bestbuy.com 

The online store's domestic revenue in electronics is pegged at US$8 billion, and when this figure climbs to US$13 billion worldwide, it hints at a more pronounced U.S. electronics market resonance. 

In 2023, Best Buy confronted challenges arising from changing consumer behaviors. A 10% sales drop in Q1 prompted staff reductions. While Q2 showed signs of recovery, narrowing the sales decline to 6%, the brand still navigates a shaky resurgence, particularly with Amazon casting a long shadow in the online electronics domain.

5. Homedepot.com

Homedepot.com, a key player in home improvement, also stands out in the electronics sector with a U.S. online sales revenue of near US$3 billion and a global revenue close to US$20 billion.

Home Depot reported a 3% dip in sales for the third quarter of fiscal 2023, totaling US$37.7 billion. This downturn, more pronounced in the U.S. with a 3.5% drop in comparable sales, indicates shifting market dynamics. Despite this, Home Depot continues to be a major force in the retail market.

6. Target.com 

Despite its U.S. online electronics revenue being US$3 billion, Target.com has impressively managed to rack up US$20 billion globally, like Homedepot.com.

In 2023, bolstering its delivery game, Target launched its Target Last Mile Delivery (TLMD) extension in Georgia, United States. This initiative, which augments the reach of its sortation centers, promises next-day deliveries to an additional 500,000 guests. Collaborating seamlessly with Shipt.

7. Costco.com 

Costco.com's U.S. revenues stand at US$2 billion, but it's on the global front where the online store truly shines, raking in US$10 billion. 

As economic concerns reshape consumer habits, CFO Richard Galanti has pinpointed a preference for more affordable food options and non-perishables. This shift in spending, coupled with a 3.5% sales decline in the U.S. during Q1 2023, suggests consumers are postponing significant purchases, especially in electronics and appliances.

8. Wayfair.com

Wayfair.com, known for its extensive home goods collection, also excels in the online electronics market with a U.S. revenue of US$2 billion and a global figure of US$9.5 billion.

Last year, the company announced a significant workforce reduction, cutting about 1,750 jobs, which was 10% of its staff at the time. This decision reflected the challenges Wayfair has been facing in the evolving economic environment, where inflation and changing consumer habits have impacted its business. The move was part of Wayfair's broader strategy to streamline and refocus on its core operations.

9. Samsclub.com

Samsclub.com boasts US$1.8 billion in U.S. online electronics sales and US$9.2 billion globally. Its strong performance in the U.S. highlights its influence in the online electronics market, while its international sales reflect its global reach.

Sam's Club is streamlining online shopping by deploying AI to speed up in-store processes, like its Scan & Go system, enhancing both in-store and online experiences. This tech move, aimed at reducing wait times, indirectly boosts online shopping efficiency by integrating smoother, faster service models, demonstrating Sam's Club's focus on customer satisfaction and innovation.

10. Lowes.com

Lowes.com, primarily a home improvement and appliance retailer, also demonstrates notable performance in the online electronics sector. In the U.S., Lowe's.com achieved an online electronics sales revenue of US$1.7 billion, and on a global scale, this figure reaches US$8.5 billion.

Launched in February, Lowe's introduces Lowe's Style Studio for Apple Vision Pro, a game-changer in home design. This app allows users to create their dream kitchen in immersive 3D, leveraging spatial computing. It simplifies choosing styles, materials, and appliances with millions of combinations, all available at Lowes.com. This step reflects Lowe's drive to blend technology with customer experience, making home improvement simpler and more interactive.

Sources: TechCrunch, Walmart, Target, PYMNTS, Yahoo, ComputerWeekly, Home Depot, ABC7, Digital Commerce 360, ECDB