Amazon Business, its B2B marketplace, has reached $25B in global annualized sales and is on track to surpass $80B by 2025, according to Baird Equity Research. The news comes as Amazon gears up to host its first major conference for Amazon Business, "re:Shape", tomorrow, March 18.
- Amazon launched the Business marketplace in 2015 for corporate buyers, who can purchase office supplies, lab equipment, and more.
- It first came to the U.S. and has since rolled out to eight more countries. More than 5 million international businesses, including 80+ Fortune 100 companies, are said to utilize the procurement service.
- In 2018, Amazon Business reached $10B in total sales volume. By comparison, the company's consumer business took seven years to reach $10B in annual sales and a decade to reach $25B.
- In a note this week, Baird Equity Research called Amazon Business an "underappreciated opportunity" for investors, given its rapid growth. Over the long term, the research firm predicts the B2B business "has the potential to equal or surpass the size of the core B2C segment."