business news in context, analysis with attitude

by Kevin Coupe

Amazon yesterday released its Q4 numbers, and it had a 55 percent increase in profit, to $749 million, from $482 million during the same period a year ago. However, the increased revenue was on a sales increase that disappointed analysts - it was up 21 percent to $43.7 billion, from $35.7 billion a year earlier.

(Where I come from, a 21 percent increase in revenue is nothing to sneeze at. But stock analysts are notably unreasonable about such things.)

Still, that is not the number that grabbed my attention.

Slice Intelligence, which mines receipt data, came out with a report saying that Amazon alone accounted for 53 percent of the growth in e-commerce during 2016. This actually means that Amazon is gaining momentum ... in 2015, its sales represented a mere 40 percent of e-commerce growth.

Indeed, Slice said that Amazon accounted for 43 percent of total online revenue last year, and 38 percent of holiday receipts.

Best Buy came in second on this last metric. It accounted for 3.9 percent of receipts.

Eye-Opening, huh?
KC's View: