Amazon boss, Jeff Bezos seems to have unlimited winning ability. Everything he touches turns into gold and now that he has crossed just about every virtual frontier, he is making his way into the real world of fashion. According to Business Insider, Amazon is now Amazon is now the top seller of clothes online, and it’s crushing traditional clothing retailers like Macy’s, Nordstrom, and Kohl’s. That is remarkable when you consider that clothes are among our personal items. How our clothes look and feel on us is a direct reflection of what we want to be. So for this level of trust to be transferred to an “online” entity is certainly a “win” worth noting. Also – this kind of competition is great for shoppers. When the big guys compete, we get great deals! For full details, read below.
Amazon is now the top seller of clothes online, and it’s crushing traditional clothing retailers like Macy’s, Nordstrom, and Kohl’s.
Over the last 12 months, sales growth for clothing stores was flat compared to the previous year, while growth for online-only retailers — which was driven by Amazon — jumped 10%, according to RBC Capital Markets analysts.
Amazon only recently started ramping up its clothing and accessories marketing and inventory. But it has quickly become a dominant force in the market.
The retailer’s apparel sales last year totalled $16.3 billion, which is more than the combined online sales of Macy’s, Nordstrom, Kohl’s, Gap, and Victoria’s Secret parent L Brands in the same period, according to Bloomberg.
Amazon is now second only to Walmart in terms of overall apparel market share, according to Morgan Stanley analysts
The growth of online shopping — along with an overall trend toward spending more money on experiences and vacations over apparel — has led many department store chains to reduce their retail footprints.
RBC analysts estimate that about 700 department stores have closed since 2013, and expect that next year another 100 Macy’s stores to close along with another 50 to 60 Kmart store closures.
Here are all the major closures since 2013, according to RBC’s tally.
Disclosure: Jeff Bezos is an investor in Business Insider through his personal investment company Bezos Expeditions.