Amazon About to Knock Walmart Off Its Throne

The Big Apple’s Excitement

Picture this: the world’s biggest online marketplace taking the top spot from the retail behemoth that has been dominating for years. New Yorkers love a good rise-to-power story, especially when it involves selling… well, everything under the sun. It’s like watching a little shop on the corner morph into a citywide chain. We’re talking about Amazon, folks. Yep, the e-commerce juggernaut is ready to claim the crown from Walmart as the top-grossing retailer.

Show Me the Money

Analysts are betting their knishes that Amazon‘s quarterly revenue will reach a whooping $187 billion. Compare that to Walmart’s expected $180 billion—it’s not just close; it’s historic. You can almost hear the ticker tape parade warming up in the hearts of Amazon’s investors as we approach the big earnings reveal on February 20.

Now, let’s not forget Walmart’s history. Since 2012, they’ve been the top dog, after surpassing Exxon Mobil. And they’ve never looked back, soaking up accolades like the Fortune 500’s top spot since 2013. You could say they’ve been sitting pretty at the head of the table. But like all exclusive clubs, there’s always someone eyeing the seat.

Amazon’s Secret Sauce

How did Amazon make it this big? Well, they didn’t just stick to shipping books and knick-knacks. No, they shook things up with their Amazon Web Services (AWS), raking in $90 billion in 2023 alone. And they’ve got a knack for ads, pulling in $14.3 billion in just one quarter of 2024. Not bad for a company that started in a garage, huh?

Walmart isn’t taking things lying down, though. They’ve been pushing their e-commerce envelope like it’s a hot new food truck in Brooklyn. Boosting their U.S. ad revenue by 30% in just a year is no small feat. They’ve even been working on mixing that in-store charm with online ease to win over shoppers.

Tug of War in Aisle Nine

But here’s the kicker—groceries. That proverbial bread and butter still belong to Walmart. Over at Casa de Walmart, they control 30% of the U.S. grocery market with their trusty sidekick, Sam’s Club. Meanwhile, Amazon’s slicing a slim 3% of that pie. When it comes to groceries, who doesn’t want to peruse five different brands of kombucha, am I right?

Yet, Amazon isn’t staying out in the cold. They’re hustling with Amazon Fresh and Whole Foods—there’s even talk of a subscription for unlimited grocery delivery. Plus, they recently placed Jason Buechel, Whole Foods’ head honcho, at the helm of their worldwide grocery escapades. Sounds like somebody’s fortifying their lineup.

The More Things Change…

Here’s something New Yorkers know all too well: nothing lasts forever—not even the view from the top. While Amazon is strutting in the limelight now, Neil Saunders from GlobalData Retail notes that this shuffle is a tale as old as time. Retail’s competitive dance is constantly evolving.

Let’s not forget the prophetic words of Jeff Bezos. Back in 2018, he told his crew, “Amazon is not too big to fail. In fact, I predict one day Amazon will fail. Amazon will go bankrupt.” A chilling reminder that today’s victory could be tomorrow’s challenge.

A New Chapter Begins

For now, though, Amazon’s cruising towards a groundbreaking moment. Walmart’s crown has been polished and prepped, ready for the next head—Amazon’s. Whether they’re delivering pizza slice costumes or your next bestseller, keep an eye on these retail giants. Their rollercoaster rivalry is as riveting as the city at rush hour. Who knows what next quarter holds? One thing’s for sure: New Yorkers will be watching.