Amazon is the world’s largest online marketplace, and with hundreds of millions of customers around the globe, it’s safe to say that Amazon is doing a pretty great job marketing to the masses.
But as with any successful business, Amazon does have a target market audience. So let’s find out: Who is Amazon’s typical customer? Who buys the most on Amazon? And who is Amazon’s main target market?
Amazon’s target market is consumers between the ages of 19 and 44 of both genders who have tech devices and a medium to high household income. Amazon focuses its marketing on customers in both rural and urban areas, but 60% of the targeted audience is United States residents.
If you want to learn everything there is to know about the Amazon’s marketing strategy as well as Amazon’s Target audience and exactly what is Amazon’s customer demographic, keep reading! We have all the information you need right here.
When it comes to using Amazon for online purchases, the site is so easy to use that everyone, from children to the elderly, can comfortably use the platform to order exactly what they are looking for.
Although Amazon obviously wants everyone to use its online marketplace, the company certainly markets toward the consumers who use it the most, which are those aged 19-44.
Consumers aged 19 to 44 make up 53% of Amazon’s users; however, millennials aged 25-34 make up an incredible 25% of Amazon’s customers.
There are many reasons why this age group uses Amazon the most, including the fact that they live busy lifestyles, have substantial incomes, and that they use technology on a daily basis for most of their work and consumer needs.
Realistically, Amazon markets to both genders equally. However, the statistics have shown that overall, 60% of Amazon purchases are made by females, while only 40% are made by males.
When you break down Amazon’s products into categories, the percentages vary slightly:
|Clothing, Shoes, & Jewelry||72%||28%|
|Beauty & Personal Care||80%||20%|
The average household size of the Amazon consumer is 2 people, followed by single households, so it’s safe to assume that even though more females seem to be making purchases on Amazon, they may be doing the ordering for a multi-gender home.
Most Amazon users have ample income and are comfortable with their salary.
Of all Amazon customers, 39.5% have an annual household income of over $100,000, 29.9% earn between $50,000 and $100,000 a year, and 30.6% earn under $50,000.
It’s also important to note that the average Amazon buyer has an annual household income of $84,449, as well as the fact that 81% of Amazon’s audience is employed full-time and 70.2% of visitors to Amazon have a college degree or higher.
Those are extremely high percentages based on the fact that Amazon has customers around the world; it goes to show that while Amazon provides low price points on many of its items and offers its services to all demographics, most Amazon users are living quite comfortably.
What Countries Does Amazon Target?
Amazon operates in 13 countries, the site is available in more than 58 countries, and it ships to more than 100 different countries.
While Amazon’s target marketing certainly has a wide reach, of course, they cannot focus on all 100 countries. So let’s find out: Which Countries Do They Focus on the Most?
The top 4 countries that use Amazon the most, and therefore are focused on the most by Amazon, are the USA, Germany, the UK, and Japan. While the USA is certainly still leading the pack when it comes to Amazon memberships and purchases, the other three are not far behind!
|May 2021- June 2022||USA||Germany||UK||Japan|
|Total Visits||5.6 billion||2.6 billion||2.4 billion||4.0 billion|
|Average Monthly Visits||2.5 billion||219.0 million||200.2 million||332.9 million|
|Revenue (2021)||$314 billion||$37.3 billion||$31.9 billion||$23.07 billion|
It can be difficult to imagine how many people and visits this actually is, but Amazon knows exactly who is visiting the site, where they’re from, who they are, and what they are buying as the company has incredible in-house data and analytics operation that keeps track of every single site visit.
While Amazon does focus most of its marketing within the USA, Germany, the UK, and Japan, they are also starting to push to increase profits in India, France, Italy, Canada, and Spain, which are the next 5 countries with the highest Amazon visits and purchases.
It’s important to note that while Amazon’s reach is global, and the company continues to target and market to the 9 countries listed above, 60% of the conglomerate’s customers are US residents, so the company certainly focuses a lot of its energy on the United States.
Amazon’s marketing teams use extensive data that the company has collected to target its individual customers.
Amazon has collected an immense amount of data from the global population with its incredible technological resources, and the company uses this information to target the individual, not the masses.
The site focuses on what consumers have actually purchased, not just what they view, by using micro-level segmentation. This tactic ensures a high customer retention rate and increased spending from individual consumers.
The bottom line is that Amazon’s relentless focus on the independent customer means that the company markets itself differently and specifically to almost everyone who visits the site.
Of course, it also uses tried and true tactics such as advertising, as well as price and promotion-driven marketing strategies, but Amazon’s ability to hone in on the individual is what has made the site as successful as it is today.
In case you’re not a marketing guru, it’s important to first understand exactly what market segmentation is: Market segmentation is the process of dividing the broad consumer base into sections based on shared characteristics.
As you now know, Amazon has one of the largest consumer bases on the planet, so in order to successfully target and market to the customer, Amazon uses data to organize the billions of users into subcategories.
Amazon uses both demographic and psychographic segmentation to segment the markets. Demographic segmentation focuses on certain traits of customers, such as age, gender, income, and occupation, whereas psychographic segmentation centers on shared psychological characteristics, subconscious or conscious beliefs, motivations, and priorities.
In addition to these types of segmentation, Amazon also focuses intensely on behavioral segmentation, and this tactic is arguably the most successful for the giant e-commerce company.
Behavioral segmentation isn’t simply based on what a consumer clicks on once but uses absolutely everything they do to actually understand who they are and what they want. Essentially, it connects the dots between action and intent.
By using behavioral segmentation, Amazon is actually learning about its customers and can better target and market to the individual to create long-lasting customer relationships while increasing purchases and, therefore, profits.
Amazon has more individual customers than almost any other company on earth, which is why it has put so much effort into accurately targeting the individual. If Amazon simply focused on group demographics, there is no way the site would be as widely successful as it is today.
No matter how you measure success, the truth is that Amazon is incredibly successful with its targeting strategy. We can see it in the sheer number of customers that use Amazon around the world, as well as its unbelievable profits, net worth, market share, and customer retention.
Here are a few statistics to portray just how successful Amazon’s targeting strategies are:
- According to Amazon, 35% of sales are attributed to the recommendation engine.
- Amazon has an amazing 90% customer retention rate.
- 50% of all e-commerce purchases in the United States are through Amazon.
- In 2021, there were 24.2 billion visits to Amazon.com.
- The average session duration in the last year was 9 minutes and 32 seconds (which means consumers are actually using the site to search and purchase items, not just browse.)
- More than 4,000 items are purchased from Amazon every minute.
- There are more than 300 million active users on Amazon.
It’s safe to say that whatever Amazon is doing to target its customers is working, and the site is continuing to grow in size and profits every single day.
While Amazon’s target market is global, more than 60% of its customers are based in the USA. Of the worldwide population in both urban and rural areas, the majority of Amazon customers are aged 19-44, are employed, and have a medium to high income.