Benzema scored an incredible 44 goals in 46 appearances last season as Real Madrid won La Liga and the UEFA Champions League.
The 34-year-old is the oldest player to win the award since Stanley Matthews in 1956.
Benzema is also the fifth Frenchman to win the Ballon D'or and the first since Zinedine Zidane in 1998.
Bayern Munich's Senegal forward Sadio Mane came in second position while Kevin De Bruyne and Robert Lewandowski finished third and fourth respectively. Mohamed Salah rounded up the top five.
"It makes me really proud," said Benzema after receiving the award in Paris on Monday.
"All the work I did, I never gave up. It was a childhood dream like all kids [have]. I had two motivations in my life - Zidane and Ronaldo. I've always had this dream in my mind that anything is possible.
"There was a difficult period where I wasn't in the French team, but I never stopped working hard nor gave up. I always kept my head, concentrated on playing football and I'm really proud of my journey here. It wasn't easy, it was a difficult time. It was hard for my family as well. To be here today, for the first time for me, I'm happy and pleased with my work and I keep going.
"I want to thank my team-mates, whether it's Real Madrid or the national team. My coach, thanks to him as well. The Real Madrid president as well.
"I have a lot of people to thank. It's an individual prize, but it's a collective one because everyone has played a role."
