Does Amazon Own Zappos? (The Complete Story)

Zappos was founded in July 1999 as an online shoe retailer and soon expanded to include clothing, handbags, and eyewear.

If you’re a shoe lover like me and you enjoy shopping for footwear online, you may be thinking, does Amazon own Zappos? That’s a great question, and I did some research to find out the answer!

Does Amazon Own Zappos?

Amazon has owned Zappos since 2009, when it was purchased in a $1.2 billion deal, and Amazon has continued to operate the online shoe retailer as a separate site where shoppers can stock up on thousands of shoe styles with a 365-day return policy. Additionally, Zappos is just one of over 100 companies owned by Amazon.

If you’re still curious about Amazon’s connection to Zappos and why Amazon bought the shoe retailer, then keep reading!

What Is Zappos?

Zappos is an online shoe and clothing store originally launched as Shoesite.com.

Within a few months of its launch, founder Nick Swinmum changed the name to Zappos, and sales quickly grew.

Also, the name “Zappos” comes from the Spanish word for shoes (Zapatos), and it’s become one of the most popular brands in online shoe shopping.

Today, Zappos sells shoes, clothing, handbags, sunglasses, jewelry, and accessories for women, men, and kids.

Moreover, the retailer maintains an impressive inventory of thousands of shoe styles and brands, including top names like Converse, Adidas, Nike, and New Balance, just to name a few.

So, if you want to shop for new shoes, whether a pair of running shoes or high heels, you can find plenty of options on Zappos!

Even though Zappos has grown substantially to offer handbags and clothes, it remains committed to customer satisfaction and easy shopping, not to mention a generous return policy covering 365 days.

Why Did Amazon Buy Zappos?

Why Did Amazon Buy Zappos?

Amazon and Zappos share similar beginnings, as Amazon began as an online bookseller, and Zappos started as an online shoe seller.

Both companies grew quickly, although Amazon’s growth has been significantly greater as the company is now worth $1.76 trillion and is forecast to keep developing over the next decade.

Therefore, Amazon decided to buy Zappos in 2009 to help expand its portfolio with similar companies that can positively impact customers.

At the time, Amazon Founder Jeff Bezos said, “Zappos is a customer-focused company. We see great opportunities for both companies to learn from each other and create even better experiences for our customers.”

Amazon definitely recognized the potential in Zappos, which it has done successfully in recent years as Zappos’ yearly revenue tops $2 billion.

By owning Zappos and selling thousands of shoes directly on Amazon.com, the retailer has greater control and leverage over two of the most popular places to buy shoes online.

Also, many shoppers don’t even realize that Amazon owns Zappos, so they buy shoes online and indirectly support Amazon in the process.

Does Amazon Own Other Companies?

Zappos isn’t the only company Amazon owns, as Amazon has a long list of acquisitions, particularly in the retail space.

That said, it’s all part of Amazon’s smart business practices to diversify its portfolio and ensure it’s represented across different industries, not just retail.

So, while Zappos and Whole Foods Market are some of Amazon’s well-known subsidiaries, there are plenty of others to be aware of too.

For example, here are a few more companies owned by Amazon you may recognize:

  • Audible
  • Body Labs
  • IMDb
  • Ring
  • Twitch
  • Zoox

Also, Amazon subsidiaries cover both outside organizations and different divisions within Amazon, such as:

  • Amazon Air
  • Amazon Books
  • Amazon Fresh
  • Amazon Games
  • Amazon Logistics
  • Amazon Robotics
  • Amazon Studios

The Zappos deal in 2009 was quite early for Amazon, as in the decade since, the retailer has taken over many more companies.

With that, the $13 billion purchase of Whole Foods Market in 2017 is a prime example.

Further, this Amazon acquisition had a significant impact on the overall grocery industry in the U.S. and helped Amazon up the stakes in its competition with traditional supermarkets.

Just like the purchase of Zappos enabled Amazon to become a leader in online shoe sales, more recent acquisitions have further cemented Amazon’s place as a top Fortune 500 company.

In fact, Amazon and all its acquisitions, including Zappos, are seemingly set up for long-lasting success, as the company’s stock rises billions of dollars every year.

To know more, you can also see our related posts if Amazon owns Wayfair, whether or not Amazon owns Google, and if Amazon owns Kohl’s.

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Marques Thomas

Marques Thomas graduated with a MBA in 2011. Since then, Marques has worked in the retail and consumer service industry as a manager, advisor, and marketer. Marques is also the head writer and founder of QuerySprout.com.

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