In December 2016, a notable milestone in the U.S. retail landscape was crossed: more households shopped Amazon that month than shopped Walmart or Walmart Supercenter. (Amazon and Walmart were exactly even in household penetration if Neighborhood Market is included in the Walmart numbers.) Though we’ve anticipated this would happen for some time, this is the first time in Kantar Retail’s 10+ year history of tracking household shopper penetration for more than 200 retailers that a retailer has usurped Walmart’s top spot as the #1 shopped retailer in the United States.

It is not surprising that Amazon reached this mark in December when it typically sees an influx of shoppers, and this holiday season was an especially successful one for Amazon. But what may be surprising to some is that Amazon appears poised to maintain that top spot going forward (Figure 1).

Figure 1: Percent of Primary Household Shoppers Who Shopped Retailer during Past Four Weeks

Source: Kantar Retail ShopperScape®, January 2008-February 2017; data is inclusive of visits to stores and web sites for Walmart and Target

It is worth noting that Amazon still lags Walmart in terms of how many households say they shop the retailer on a regular basis, at least once a month (by about 10 percentage points, though the gap is narrowing). But Amazon’s overall reach is nonetheless impressive, and when one considers the growing incidence of Prime membership (more households now have Prime memberships than shop at Target) and Amazon’s aggressive play for shoppers’ share of life, the need to understand how to work with and compete against Amazon is clear.

If you are curious to know more or feel like you need a better understanding of how Amazon continues to shake up the retail and shopper landscape, what that means for your other retail customers, and what those customers are doing to counter the Amazon effect, Kantar Retail has several events coming up that you may find of interest:

Walmart Workshop (April 5) 

eCommerce and Omnichannel Conference (April 25-26)

Planning Conference (May 24-25)

Return to the List of Blogs