business news in context, analysis with attitude

The Wall Street Journal the other day reports that despite Amazon's apparent momentum toward world domination, 17 percent of US primary household shoppers say they never shop on Amazon. And, "while the percentage has steadily declined over the past five years, roughly 22 million American households didn’t use the retailer this year."

The Amazon holdouts, the Journal writes, "tend to be older than U.S. shoppers overall, with an average age of 57 versus 49, respectively, according to Kantar, and they tend to earn less—$45,700 in annual income, compared with $62,800 among all shoppers. They are less likely to have or live with children."

The story concedes that this group is "part of a shrinking minority. Amazon’s global e-commerce sales are greater than the combined e-commerce sales of the next 20 U.S. retailers, according to eMarketer. In addition, Amazon’s revenue is forecast to surge 28% this year to $137 billion, according to analysts surveyed by Thomson Reuters."

The Journal emphasizes that the holdouts are hardly Luddites. In some cases, there is "fear and mistrust" about doing business on the internet, but there also are folks who simply are resistant to Amazon's size and intentions, and others who just prefer the act of shopping in physical stores. In other words, some motivations are logistical and others are preferential ... but they are all about remaining outsider the ecosystem.
KC's View:
There are about 125 million US households. Just 22 million of them didn't use Amazon this year.

I suspect that Jeff Bezos probably is pretty okay with that.