 The population of the city was 3,201 as of the 2010 census, up from 3,082 in 2000.The city has an All-America City award 

Owing to its location and relative size, Kotzebue served as a trading and gathering center for the various communities in the region.The Noatak, Selawik and Kobuk Rivers drain into the Kotzebue Sound near Kotzebue to form a center for transportation to points inland.