Amazon Net Worth
In 2018, Amazon became the world’s first trillion-dollar company. And this trillion-dollar company has stunned the financial experts by an immense growth over a short span. That’s not all! The owner and the founder of the world’s largest convenience store, Jeff Bezos, also happens to be the wealthiest person on planet earth. His fortune spiked to accumulate $100 billion. In July 2019 his net worth increased as Bezos sold off $1.8 billion worth of Amazon stock. This article will take a deep dive to know about Amazon Net Worth.
Image Credit: NetworthoPedia
How Cadabra becomes Amazon
Initially, Jeff Bezos name the company as “Cadabra” which was the short form of “abracadabra” as he was looking it to refer to the magic. But his lawyer told him that it could be mispronounced as “cadaver” which means a corpse, or a dead human body. Then Bezos choose Amazon, the name of the river in South America. They had many other name ideas, as they still own a few, like, if you type Relentless.com, you will be redirected to Amazon’s official site.
Skyrocketing of Amazon Shares
Amazon’s performance in the stock market has always been skyrocketing, except for a few odd intervals. Amazon has placed itself in the top tech giants’ groups by continually updating itself and prioritized to deliver quality convenience online shopping with advanced digital streaming, artificial intelligence, and cloud computing.
At the end of 2018, financial experts were curious about that either Amazon will be able to earn $59.65 billion in terms of their revenue or not. But Amazon performed even better and increased its organic growth. Earlier this year in April 2019, Amazon announced its fiscal growth in terms of earning in the first quarter, and they revealed that the company managed to earn even more than expectations. The company earned $7.09 from every share, as the experts expected that it would earn $4.72 from every single share. Since the first fiscal quarter of 2018, there was an $8.7 billion increase in Amazon’s revenue. As of 2018, it was $51 billion, however, in 2019 it soared to $59.7 billion. And their net income also increased by $2 billion, which was $1.6 billion in 2018 but has increased to $3.6 billion in 2019. Along with that, Amazon Net Worth has also increased considerably over the years. This year-on-year comparison depicts the true rise of the world’s top tech giant group.
Amazon Steps Beyond Digital Advertising Space
Over the years with a balanced strategy, Amazon is occupying considerable space in Digital Advertising. The company is heavily investing in advertising of service sales. Amazon increased its yearly revenue in this particular domain to rise at 36.83% rate. While according to research, there can be witnessed an overall growth in digital advertising all over the world.
As expected in 2019, digital advertisers will spend $294 billion in 2019, and by the end of 2023, it will be increased to $520 billion. Artificial intelligence is a critical player in the digital marketing sphere. By displaying relevant ad to the users according to their search patterns is the new avenue, which is getting explored by the digital marketers. And over here, Amazon has placed itself at a leading-edge, by spending a considerable amount of money in the advertisement of products and other digital spheres of influences. The major aim of spending such a huge amount in the digital advertisement is that the higher-ups want to increase Amazon Net Worth.
Augmentation of Workforce with AI Automation
Since the past few years, we have witnessed the mushrooming of robotics in almost every industry, either it is primary, secondary, or tertiary. The latest algorithms that allow machines to learn are providing the opportunity to experiment with endless possibilities. But Amazon has once again moved forward from its counterparts by introducing and redefining the entire product supply chain. The company aims to optimize its on-ground operation with advanced robotics to replace human beings. They have deployed a fleet of mobile robots in the warehouse supply chain. Some areas are running robotic operations to place and pick-up the goods. While some of the fields are still under the developmental phase.
The company is working on robotic technology since 2012 and has installed tens of thousands of robots to enhance the operational warehouse supply chain. And for that reason, the company has allocated massive investment for the robotic technology to expand further. It will ultimately help Amazon to enhance its profit ratio by minimizing variable capital and raising its constant capital.
How Amazon Surpassed Google & Apple
Before Amazon, the only company that surpassed Google was Apple. However, the e-commerce store that started with nothing in their hands usurped both Apple and Google. It has become the most valuable brand in the entire world market. It is now placed at the top of the brand ranking as in 2019 their value rise at a whopping 52%, whereas the brand value of Google raised only 2% and Apple’s at a rate of 3%. The world’s leading brands are from the tech and telecom industry, and the rise of this brand has only increased Amazon Net Worth over the years.
Amazon offering $10 K & 3 Month Advance Salary to Employees
Earlier this year, Amazon announced to expand its Delivery Service Partner Program. The company aims to provide a financial advantage to its already existing employees. By granting them $10 k and 3-month advance salary. It will let the company accelerate the shipment process. Apart from employees, anyone who wants to get involved in the partner program can lease the blue van. And they will get the advantage of insurance, branded uniforms, fuel discounts, and a lot more. Before this program, the company relied on Amazon Flex crowdsourced workforce, but the process was very complicated in terms of payments and other logistical issues. But to cut down the overhead cost and launch its own delivery partnership program, Amazon is heavily investing in product delivery to make the process smoother. This step of empowering their employees is due to the increase in Amazon Net Worth, and having a huge sum of money, they can invest further to expand their market.
Amazon Net Worth – Rising from Dunes to Multi-Billionaire E-commerce Platform
Under Jeff Bezos, Amazon has outgrown in every domain; all their projects have been successful. And they are the pioneer in many sectors like cloud computing, and along with that they also launched Kindle e-reader, which has revolutionized the reading experience. As mentioned previously, the company has surpassed all the top tech giants in terms of revenue. In the year 2021, Amazon net worth soared to $200 Billion.
