Amazon is everywhere. It’s the largest e-commerce site. Everyone we know owns an Alexa or a firestick or a prime membership. From kindle e-readers to Audible trials, Amazon has quite literally taken over the world. Everything we desire is simply a click away. Read more How Much does Amazon Make?
Amazon has definitely left a mark on all of us. And so, everyone seems to be asking- how much does it make? Having this enormous global presence must mean that their revenues are overflowing and people aren’t wrong.
Jeff Bezos, the man who founded, is the richest man with a net worth of $214 billion. In July of 2021, he stepped down as the CEO. Andy Jassy took over. Nevertheless, It has shown steady and astonishingly rapid growth in the past few years. Business professionals estimate that in 2020 alone, they collected a revenue of $113 billion. It is currently worth more than one trillion.
It has acquired several businesses. They’ve also launched original products of their own and have set up their very own video streaming sites. With so much on their plate, their revenue is a collection of earnings produced via all these services provided.
How much do they make in a second? And did you know they own the popular game streaming site twitch? Continue reading and learn more about Amazon and its revenue generation.
About the Company
It is an e-commerce platform with a presence in more than 118 countries. Jeff Bezos founded Amazon in 1995 as a bookselling website. Since then, its catalogue has grown and expanded.
It is a vast online shopping platform that sells various items from electronic gadgets to books, cosmetics, groceries, etc. Additionally, Amazon also hosts several third-party sellers on their sites.
When first established in 1995, many showed scepticism. Critics prophesied that it would eventually fail and lose to major booksellers already in the industry. But, it grew swiftly, and Bezos featured as 1999’s Times Person of the Year.
In 2006, Amazon set up the Amazon Web Services (AWS) that provided services like cloud computing.
It currently has more than 150 million paid member accounts and 300 million-plus active customers who frequent their website.
How Much Does Amazon Make?
Amazon, as of 2021, makes up to $680 million every day. During the pandemic, It experienced a massive increase in their consumer base, with their average revenue increasing by three times. According to existing data, it gained nearly 50 million new prime users in 2020.
On average, the company earns $7,300 per second. Their hourly earnings on a regular day are estimated to be around $26.6 million, and their daily earning can go up to $680 million.
It continues to see rising profits. In 2019, they recorded a net income of $11,588 million. In 2020, however, their net income jumped to a whopping $21,331 million.
In 2020, Amazon reported total revenue of $113 billion. The figure showed a 27% rise from the 2019 annual revenue of $88 billion.
Presently, Amazon has a market value of more than $1.665 trillion.
How does Amazon Earn its Revenue?
Amazon, throughout the years, has bought existing corporates and created its own range of products. It brings in money through their e-commerce site, where they host a number of sellers and their products.
Along with the shopping site, they also own AWS, their cloud servicing platform.
It has a system of membership in a place called prime membership. Membership holders get early, free deliveries on their orders. Prime Video, a video streaming platform, has also gained considerable popularity recently. They also have a range of Kindle e-readers, a hit among bookworms.
They also own Twitch (a game streaming website), Audible (an audiobook company), IMDB (a movie critic platform), and many others.
The company makes money through its web services, retail services, original products, and cloud servicing.
Amazon, is without a doubt, one of the largest corporates of modern history. Their success overruns everything that we’ve known.
Amazon’s story is unique in its own right. It did start in a garage and that too, as a bookseller. Since then, they’ve grown into this corporate that provides IT, retail, and entertainment services.
Amazon’s revenue is not falling anytime soon. It has long since passed any and all competition it might have. In the past two years, their growth has been unsurpassed, and every day they break their own records.
Frequently Asked Questions
Q1. Who founded Amazon?
Jeff Bezos founded Amazon in 1995 as a bookselling website.
Q2. How much does Amazon make in a day?
Amazon makes around $680 million in a day. Professionals estimate that they earn $7,800 every second.
Q3. Is Jeff Bezos still the CEO of Amazon?
Jeff Bezos stepped down from the position of CEO in July 2021. The current CEO of Amazon is Andy Jassy.
Q4. What all services does Amazon provide?
Amazon is first and foremost a retail site. Additionally, they provide a prime membership and have their own streaming platform called Prime Video. Kindle e-readers and their line of Amazon essentials are also quite popular.
Along with this, they have made several acquisitions throughout the year and host a cloud streaming platform.