Zappos hits $1 billion in lifetime gross sales

Zappos.com, a retailer of shoes and handbags, has amassed $1 billion in gross merchandise sales since launching in 1999, CEO Tony Hsieh tells InternetRetailer.com.

“Most of our sales growth continues to be from repeat customers and word-of-mouth, and our business model is built around that trend continuing,” Hsieh says.

Zappos, No. 34 in the Internet Retailer Top 500 Guide to Retail Web Sites, reported $370 million in 2005 sales and expects to do $600 million this year, Hsieh says. In July, Hsieh reported that the first half of this year marked the first time Zappos was profitable in each of its first two quarters.