Amazon Pay, launched in 2007, has steadily become a significant player in the global digital payment landscape. Initially designed to streamline transactions for Amazon’s marketplace, its reach now extends far beyond. Today, it is utilized by millions of businesses and consumers, offering a seamless and secure payment option for e-commerce and beyond. As consumers increasingly opt for digital wallets and contactless payments, Amazon Pay is positioning itself as a key solution. In 2025, its influence continues to grow, particularly in e-commerce and retail, as more companies adopt this service to facilitate faster and safer payments.

Editor’s Choice: Key Milestones in Amazon Pay’s Growth

  • In 2025, Amazon Pay processed an estimated $85 billion in transactions, marking a 13.3% increase compared to 2024.
  • By the end of 2025, Amazon Pay is projected to account for 6.1% of the global online payment market.
  • Amazon Pay Later, launched in 2020, has become one of the fastest-growing features, with over 12 million users globally as of 2025.
  • The platform recorded an impressive 3.2 billion transactions in 2025.
  • More than 600,000 merchants worldwide now accept Amazon Pay, representing a significant leap from 500,000.
  • Mobile usage of Amazon Pay surged by 20% in 2025, as consumers increasingly shifted towards smartphone payments.
  • In 2025, Amazon Pay added 60,000 new merchants to its ecosystem, bolstering its presence in the global market.

Amazon Sales Growth (2020–2025) Overview

  • In 2020, Amazon’s retail ecommerce sales reached $309.48 billion, marking the start of a strong upward growth trend.
  • In 2021, sales increased to $364.55 billion, showcasing a consistent year-over-year expansion.
  • By 2022, Amazon’s sales climbed further to $398.13 billion, reflecting growing consumer reliance on ecommerce.
  • In 2023, sales surged to $444.76 billion, strengthening Amazon’s dominance in the online retail market.
  • In 2024, Amazon’s sales jumped to $491.65 billion, continuing a strong streak of annual gains.
  • Projections for 2025 show Amazon’s retail ecommerce sales reaching $540.29 billion, underscoring its sustained market leadership.
Amazon Sales Growth (2020–2025) Overview
(Reference: Oberlo)

Market Share of Amazon Pay in the Global Payment Industry

  • In 2025, Amazon Pay holds a 6.1% share of the global digital payment market.
  • By the close of 2025, Amazon Pay’s market share is projected to increase to 6.1%, as adoption accelerates in both the US and international markets.
  • In the North American region, Amazon Pay accounts for 7.0% of all e-commerce transactions, maintaining its position as the third most used payment gateway behind PayPal and Visa.
  • Amazon Pay has seen rapid growth in Europe, where its market share grew from 4.2% in 2023 to 5.0% in 2025, driven by increased adoption in countries like Germany and the UK.
  • Asia-Pacific remains a key growth market for Amazon Pay, with its share rising from 3.5% in 2024 to 4.2% in 2025, driven by increased digital payments in India and Japan.
  • Amazon Pay’s cross-border transaction volume increased by 25% in 2025, further solidifying its global reach.
  • Amazon Pay is projected to handle over $90 billion in global transactions, continuing its upward trajectory in the payment sector.
Amazon Pay's Projected Growth in Global Transactions

Number and Share of Merchants Who Use Amazon Pay

  • As of 2025, over 600,000 merchants worldwide accept Amazon Pay, representing a 20% growth from 2024.
  • In the United States, approximately 35% of e-commerce businesses now offer Amazon Pay as a payment option.
  • Small and medium-sized enterprises (SMEs) make up about 70% of the total merchants using Amazon Pay, reflecting its growing popularity among independent businesses.
  • In Europe, 12% of online merchants have integrated Amazon Pay into their payment systems.
  • The number of merchants utilizing Amazon Pay in the Asia-Pacific region rose by 22% in 2025, primarily driven by its adoption in India, Japan, and Australia.
  • In Latin America, Amazon Pay is expanding rapidly, with a 40% increase in merchants from 2024 to 2025.
  • By 2025, Amazon Pay aims to onboard an additional 60,000 merchants, focusing on cross-border e-commerce and retail sectors.

Industry Segments Statistics Utilizing Amazon Pay

  • E-commerce continues to dominate Amazon Pay usage, accounting for 69% of all transactions processed through the platform in 2025.
  • Retailers using Amazon Pay experienced a 16% increase in transaction volume in 2025, highlighting the platform’s growing importance in physical and online stores.
  • The travel industry saw a 22% increase in the number of agencies and airlines offering Amazon Pay as a checkout option in 2025, reflecting accelerated adoption.
  • Subscription services, including streaming platforms and software providers, accounted for 11% of total transaction volume through Amazon Pay in 2025, indicating steady growth in the sector.
  • The healthcare industry embraced Amazon Pay with a 15% increase in usage for paying medical bills and purchasing health-related products and services online in 2025.
  • In the automotive industry, Amazon Pay facilitated 6% of digital transactions for purchasing auto parts and services in 2025, marking growth in this niche segment.
  • Gaming platforms utilizing Amazon Pay experienced an impressive 24% year-over-year growth in 2025, driven by an increase in in-game purchases and subscriptions.
2025 - Increased Amazon Pay Adoption Across Key Industries

Amazon Pay Revenue Statistics

  • In 2025, Amazon Pay generated approximately $1.8 billion in revenue, as more merchants integrated the platform into their payment systems.
  • Transaction fees accounted for 72% of Amazon Pay’s revenue, with the remaining 28% coming from value-added services such as fraud protection and currency conversion.
  • The US market contributed the largest share of revenue, representing 52% of Amazon Pay’s global revenue in 2025.
  • Revenue from the European market grew by 18% in 2025, driven by increasing adoption in Germany, France, and Italy.
  • Cross-border transactions accounted for 27% of Amazon Pay’s revenue in 2025, with strong growth in international markets such as India and Japan.
  • By the end of 2025, Amazon Pay’s revenue is projected to reach $2.1 billion, with increased usage among SMEs and large enterprises alike.
  • Premium services, such as fraud prevention and digital identity verification, added $350 million to Amazon Pay’s revenue in 2025, highlighting its importance in securing digital transactions.

Amazon Pay’s Monthly Sales by Region

  • The total estimated monthly sales of Amazon Pay customers globally reached $55.73 billion.
  • The United States led all regions with $27.36 billion, accounting for nearly half of the global total.
  • Germany ranked second with $11.83 billion in monthly sales via Amazon Pay.
  • Japan followed with $3.21 billion, indicating strong consumer adoption in Asia.
  • Italy recorded $1.87 billion, slightly ahead of the United Kingdom at $1.73 billion.
  • Spain saw $780.59 million, while France contributed $726.95 million in monthly sales.
  • Saudi Arabia posted $446.37 million, reflecting solid regional traction.
  • Austria and the Netherlands had $310.33 million and $223.05 million, respectively.
  • The remaining regions, grouped as “Others,” brought in $7.24 billion collectively.
Amazon Pay's Monthly Sales by Region
(Reference: Coolest Gadgets)

User Demographics and Usage Trends

  • In 2025, 28.81% of Amazon Pay users are aged 25–34, making it the largest age group on the platform.
  • The 18–24 age group represents 16.18% of the user base, with this younger demographic favoring Amazon Pay for its convenience and mobile-friendly features.
  • In terms of gender, 54.44% of Amazon Pay users are male, and 45.56% are female, reflecting a slight male dominance in its user base.
  • Mobile payments continue to rise, with over 60% of transactions being made through mobile devices in 2025.
  • Amazon Prime members are more likely to use Amazon Pay, with 75% of Prime members in the US having used the service at least once in 2025.
  • Users in the US tend to make larger transactions, with an average transaction size of $125 in 2025, compared to a global average of $115.
  • In 2025, 68% of Amazon Pay users identified ease of use and familiarity with the Amazon brand as their top reasons for adopting the payment method.

Competitive Position: Amazon Pay vs. Other Platforms

  • Amazon Pay ranked as the third-largest digital wallet in the US, with a 5.3% market share, behind PayPal and Apple Pay.
  • Amazon Pay processed $75 billion in transactions, compared to PayPal’s $1.36 trillion and Apple Pay’s $140 billion.
Amazon Pay's Market Position Against PayPal and Apple Pay
  • Customer satisfaction with Amazon Pay was rated at 4.7 out of 5, slightly below Apple Pay’s 4.8 but above PayPal’s 4.5.
  • When it comes to merchant fees, Amazon Pay’s 2.9% plus $0.30 per transaction rate is comparable to PayPal and Stripe, making it competitive for small and medium-sized businesses.
  • In the international payments segment, Amazon Pay saw a 22% growth, lagging behind PayPal, which grew by 25%, but ahead of Stripe’s 18%.
  • Security features, such as fraud detection and buyer protection, are a strong suit for Amazon Pay, with 85% of merchants citing these features as critical benefits.
  • Amazon Pay’s mobile transaction volume grew by 18%, positioning it well against competitors like Apple Pay, which saw a 15% growth in the same period.

Adoption Across E-commerce and Retailers

  • As of 2025, 35% of all US e-commerce retailers have integrated Amazon Pay into their platforms.
  • In the European Union, the number of online retailers using Amazon Pay increased by 18% in 2025, with Germany leading the way.
  • Physical retailers adopting Amazon Pay grew by 22% in 2025, particularly among smaller chains seeking convenient digital payment options.
  • Luxury goods retailers saw the highest adoption rate of Amazon Pay, with 28% of high-end brands offering it as a payment option in 2025.
  • Grocery chains accounted for 20% of new Amazon Pay integrations in 2025, as consumers increasingly seek contactless payment options for in-store purchases.
  • In 2025, 14% of all Amazon Pay transactions were for digital goods such as subscriptions, software, and gaming.
  • By the end of 2025, it is expected that 45% of US e-commerce sites will offer Amazon Pay, further solidifying its role in the online payment ecosystem.

Companies Using Amazon Pay (Revenue)

  • Starbucks processed over $550 million in transactions through Amazon Pay in 2025, reflecting a 10% increase from the previous year.
  • Nike, having reestablished its presence on Amazon, saw its online sales via Amazon Pay grow by 12% in 2025, contributing over $270 million in revenue.
  • Shopify merchants utilizing Amazon Pay experienced a 28% increase in sales conversions in 2025, with an average revenue boost of $1.3 million per merchant.
  • Ticketmaster processed approximately $190 million in transactions through Amazon Pay in 2025, accounting for 4.5% of its global ticket sales.
  • Under Armour reported $140 million in sales via Amazon Pay in 2025, marking a 7% decrease compared to the previous year.
  • Whole Foods, owned by Amazon, facilitated over $1.1 billion in transactions via Amazon Pay in 2025, as part of its continued integration of Amazon services within its stores.
  • Expedia processed $260 million worth of travel bookings through Amazon Pay in 2025, representing a 4% growth from the previous year.
2025 - Major Retailers' Revenue Impact from Amazon Pay

Technological Innovations and Features

  • Biometric verification adoption surged in 2025, with 50% of Amazon Pay users opting for palm-based authentication, enhancing contactless payment experiences.
  • Voice payments via Alexa-enabled devices grew by 35% in 2025, processing over 2.7 million transactions through voice commands.
  • One-click checkout implementation across merchant sites led to a 30% increase in conversion rates for participating merchants in 2025.
  • Fraud detection capabilities improved by 20% in 2025, helping merchants save an estimated $120 million in fraudulent chargebacks.
  • Real-time payment tracking was utilized by 65% of active users in 2025, allowing for more efficient transaction monitoring.
  • Cross-border payments enhancements, including reduced transaction fees and faster processing times, resulted in a 25% growth in international transactions in 2025.
  • Amazon Pay Later, the platform’s BNPL feature, experienced a 13.7% growth in 2025, contributing to the global BNPL market reaching $560.1 billion.

Industry Segments Using Amazon Pay

  • The “Other” category dominates Amazon Pay usage, making up a massive 76.1% of all industry segments.
  • Lifestyle industries follow with a notable 12.3%, indicating strong engagement in fashion, wellness, and personal care.
  • Food & Drink businesses account for 4.4% of Amazon Pay users, highlighting its role in online food commerce.
  • The Home & Garden sector represents 3.8%, showcasing moderate adoption in household-related transactions.
  • Sports industries contribute 3.4%, rounding out the smaller but active segment of Amazon Pay’s reach.
Amazon Payments Customer Distribution by Product and Service
(Reference: Electro IQ)

Recent Developments

  • Amazon Pay Later expanded to five new countries in 2025, including Canada and Australia, allowing millions of users to access flexible payment options.
  • Amazon Pay for Business in India provided SMEs with tools for contactless and seamless payments, contributing to a 25% increase in SME adoption by the end of 2025.
  • In early 2025, Amazon Pay integrated cryptocurrency payments for select merchants, enabling users to pay with Bitcoin and Ethereum, as part of Amazon’s broader push into blockchain and digital assets.
  • Sustainability initiatives were introduced in 2025, where Amazon Pay collaborated with carbon offset programs for eco-conscious users, allowing customers to offset their carbon footprint with each transaction.
  • Voice payments through Alexa devices grew rapidly in 2025, with the feature now available in 15 new countries; voice payments accounted for 8% of total Amazon Pay transactions by the end of 2025.
  • Amazon Pay for In-Store Purchases expanded to major retail chains in the US and UK in 2025, allowing customers to pay for contactless in-store payments using their Amazon accounts, contributing to a 20% increase in merchant adoption.
  • In Q4 2025, Amazon Pay launched a partnership with Visa and Mastercard, integrating faster checkout options for Amazon Pay users, reducing payment friction, and increasing conversion rates for participating merchants by 15%.

Future Trends of Amazon Pay

  • Global expansion is set to continue, with Amazon Pay planning to enter 10 new markets, focusing on Latin America and Southeast Asia, where digital payments are rapidly growing.
  • By 2025, Amazon Pay is expected to launch AI-powered fraud detection, leveraging machine learning algorithms to further reduce chargebacks and enhance security, a trend that could cut fraud-related losses by 20%.
  • The adoption of biometric verification is expected to rise sharply, with Amazon Pay projected to integrate face recognition technology across all platforms, streamlining and securing payments globally.
  • Voice commerce is anticipated to account for 15% of Amazon Pay transactions by 2025, as more consumers shift toward voice-activated purchases via Alexa-enabled devices.
The Rising Role of Voice Commerce in Amazon Pay Transactions
  • Amazon Pay for Subscription Services is likely to grow, with forecasts suggesting a 20% increase in recurring transactions as businesses in the entertainment, SaaS, and media industries integrate Amazon Pay as a subscription payment option.
  • Amazon Pay for Retail will focus heavily on omnichannel experiences, linking online and in-store purchases through QR codes and mobile wallets, with 70% of major US retailers expected to offer Amazon Pay by 2025.
  • With the increasing popularity of digital currencies, Amazon Pay is projected to integrate more cryptocurrencies into its system, potentially supporting stablecoins and central bank digital currencies (CBDCs) by 2026.

Conclusion

Amazon Pay has evolved from a simple digital wallet into a comprehensive global payment platform. With continuous innovations in biometric security, voice commerce, and blockchain integration, Amazon Pay is well-positioned to further dominate the digital payment landscape in the coming years. Its strategic expansion into new markets, combined with enhanced merchant services and AI-driven security, ensures that Amazon Pay will remain a vital tool for both consumers and businesses. As the payment industry becomes more interconnected and diverse, Amazon Pay is poised to leverage its brand trust, technical prowess, and expansive reach to set new benchmarks for digital payments worldwide.

References

  • Statista
  • Amazon News
  • 6Sense
  • AMZ Scout
  • Merchant Machine
  • Web Tech Survey
  • Mint
  • Barry Elad

    Barry Elad

    Senior Writer


    Barry Elad is a finance and tech enthusiast who loves breaking down complex ideas into simple, practical insights. Whether he's exploring fintech trends or reviewing the latest apps, his goal is to make innovation easy to understand. Outside the digital world, you'll find Barry cooking up healthy recipes, practicing yoga, meditating, or enjoying the outdoors with his child.
    Disclaimer: The content published on CoinLaw is intended solely for informational and educational purposes. It does not constitute financial, legal, or investment advice, nor does it reflect the views or recommendations of CoinLaw regarding the buying, selling, or holding of any assets. All investments carry risk, and you should conduct your own research or consult with a qualified advisor before making any financial decisions. You use the information on this website entirely at your own risk.

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