This Store Just Dethroned Amazon as the Top Online Retailer

Amazon has led the pack for almost a decade, but there's a new Internet giant to consider.

laptop keyboard miniature people shopping onlineRattana.R/Shutterstock

For the first time in eight years, a different online retailer has stolen the top spot in customer satisfaction from online powerhouse Amazon, and the new favorite might surprise you.

Quality, bargain-priced products may be the reason you start shopping at both of these online retailers, but great customer service is likely why you would decide to return. Every year, the American Customer Satisfaction Index (ACIS) puts out their Retail and Consumer Shipping report detailing customer satisfaction at the top 25 retailers in multiple categories, such as department and discount stores, health and personal care stores, supermarkets, and Internet retail. This year in the Internet retailer category, the ACIS report found that Amazon isn’t keeping up with some of the newer players in the e-commerce scene. After adding 21 companies to the report, several were nipping at Amazon’s heels, particularly after Amazon’s 4 percent decrease in customer satisfaction from 2017. One newcomer in online retail, however, overtook Amazon completely: Costco.

Since 2010, Amazon has held the top spot for customer satisfaction in the Internet retail category, scoring as high as 88 out of a possible 100 points in 2013. Amazon is down to 82 points in the most recent report, with Costco beating Amazon out with a score of 83. Companies coming in quick succession right after Amazon with 81 points include Etsy, Kohls, Nike, and Nordstrom—all companies that were new to the ACSI ranking this year also. Find out which grocery store was recently ranked as having the best customer service as well.

The ACIS is an economic indicator that looks at the quality of products and services available to U.S. consumers. For this report, ACIS used data from interviews with 300,000 U.S. customers that analyzed customer satisfaction with more than 400 companies across a range of industries and services. Some of the benchmarks measured that were specific to Internet retail were the quality of a mobile app, ease of checkout and payment process, variety and selection of products, site performance, usefulness of product images, and helpfulness of customer support.

When Costco announced the launch of online retail services last year, many saw it as a bid to remain competitive with Amazon and their buying of rival grocery franchise Whole Foods. But what no one expected was for Costco to completely outperform the online retail giant in terms of customer satisfaction. Here are the top grocery stores ranked by value, including Costco (where you can find these amazing spicy snacks).

ACSI isn’t the only source that praises Costco over Amazon. In 2016, Business Insider referred to Costco as “Amazon-proof,” noting how Costco’s membership model and its ability to incentivize in-store visits keep customers coming back. You won’t just find happy customers at Costco, though—here are 20 more companies with the nicest customer service in America. Return the favor by being a polite customer!

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Isabel Roy
Isabel Roy has been a writer and editor for RD.com since February of 2019. She graduated from the University of Wisconsin La Crosse with a Bachelor of Arts degree in Writing and Rhetoric. She is thrilled to be living and working in the Big Apple although she misses the easy access to freshly made Wisconsin cheese curds and Kopps Custard. When not at the Reader’s Digest office, you can find her downing too many chai lattes and rereading her favorite Harry Potter books.