Amazon owns most of the online market’s “shelf space,” and is leveraging this in an attempt to gain market share for its own branded products. In this four-part series, we dive into the three categories where Amazon products are booming. Here’s a look into the online speaker category from September 2015 – August 2016 and the role that Amazon’s line of Echo speakers plays within it.
The online speaker market is the largest category in our analysis, with an estimated $1 billion in sales. According to 1010data Market Insights research, Amazon.com accounts for 89% of online speaker sales and since introducing the Amazon Echo has taken 45% of market share amongst the top 10 brands as a brand. Our data shows that the Echo is the most popular speaker sold online and sales have grown 67% year over year. Amazon has displaced big name brands like Bose and JBL in just one year, but Amazon’s ability to convert views into purchases appears below the category’s average. Amazon’s low conversion rate is a result of very high product views due to a successful advertising strategy. Competitors with high conversion rates might be able to boost sales further as they focus their efforts on optimizing their advertising strategies.
Click on the graphic to see an expanded view