Nearly 60% of Consumers Plan To Spend More on Amazon in 2024, Wedbush Finds

Almost 60% of consumers reported planning to spend more on Amazon (AMZN) in 2024 than the year before, a Wedbush Securities survey found.

Wedbush reported that 42% of consumers anticipate spending more online this year, while only 17% said they would spend less. Amazon led the pack as the top e-commerce destination with a wide margin followed by Walmart (WMT) with 41% of respondents, Target (TGT) with 21%, and PDD Holdings’ (PDD) Temu with 17%.

TikTok Shop stood out as a popular choice for consumers’ increased spending—even outpacing some traditional retailers. More than 9% said they anticipated spending more on the social platform’s marketplace. The app, owned by the Chinese company ByteDance, has come under fire as U.S. regulators consider a TikTok ban.

Wedbush said that “Amazon is relatively insulated from recent competitive pressure” given the e-commerce giant’s “fulfillment capabilities, industry-leading product breadth, and the scale of its Prime customer base.”

For instance, the analysts added that “the overlap between Amazon and Temu is relatively limited,” with shoppers indicating that “the majority of Temu shoppers have different primary motivations for visiting the site versus those who shop at Amazon.”

Amazon also came out on top in Wedbush’s examination of the digital advertising space. Forty-five percent of consumers said they purchased on Amazon directly after seeing an ad on the site. In comparison, Meta Platforms’ (META) Facebook and Instagram recorded 26% and 19% direct conversions on ads, respectively.

Amazon shares were up about 3% at $185.23 around 1:49 p.m. ET on Friday, contributing to the stock’s climb of more than 23% year-to-date.