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Amazon Is Now The Biggest Online Clothing Seller In The US

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Amazon is no stranger to success and recently it added another feather to its cap in terms of online apparel sales.

In the face of fierce competition from retailers, Amazon is pulling ahead when it comes to selling clothing online. This is in spite of the long held belief that the e-commerce company generally does not have the same advantages that traditional stores have and a recent report that showed that it "doesn't give customers the best prices by default" as it had a faulty pricing algorithm.

Online retailers have been breathing down the necks of traditional brands for some time now and it appears that Amazon at least has overtaken five of them. This particular fact was reported by Bloomberg and it stated that Amazon's apparel sales passed the combined sales recorded by online stores such as "Macy's, Nordstrom, Kohl's, Gap, and Victoria's Secret parent L Brands." The company notched up $16.3 billion in sales last year and this increase helped it over take its competitors. However, this increase in revenue from sales is due to the fact that the company has taken major steps over the years to appeal to customers who normally do not buy their apparel online.

Among the changes that Amazon made last year that led to the increase in sales, is that it introduced more apparel and accessories. This level increased by a huge "87 percent" in the last year compared to the year before according to Bloomberg. With the sales of apparel on Amazon increasing, it is clear that the online retailer has managed to overcome its early reputation of allowing people to sell counterfeits.

While fashion brands like Macy's and Gap will continue to refine their online presence and stores, it is likely that these companies are not going to be able to compete against the might of Amazon and regain the ground and sales they have lost to it. When it comes to total apparel sales the United States, Amazon still trails behind Walmart which sold $24 billion worth and Macy's which sold $21 and are in the top two positions. However, it is likely that Amazon will overtake TJX Cos. pretty soon, which sold about $17 billion worth of apparel last year.

With Amazon jumping ahead of its fashionable competitors in the online space and likely to move into the top three in terms of overall apparel sales in the United States next year. It is clear that the company's plans to invest in its apparel lineup is paying off and its modest beginnings by buying companies such as Zappos' which had a shoe retailing business, and focusing on selling t-shirts and leggings is bringing in the profits now.

Photo: Simone Brunozzi | Flickr

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