Amazon has done significantly more than turn into a stellar retailer. It has reevaluated, upset, reclassified, and remodeled the worldwide commercial center. Amazon has created three elements with how they have approached the consumer market which is through fulfillment centers, Amazon Prime, and Amazon Fresh. I am going to analyze on how Amazon has captured its consumer’s desire for not just the less expensive prices, but their fast delivery, and how it has created programs that will satisfy the consumer demands. I will also justify on whether or not Amazon will succeed in its quest for same-day delivery. I am a huge fan and shopper of Amazon. This is one company that continues to grow and prosper.
Amazon’s mission is to be the World’s most customer centric company and the lowest cost customer centric online marketplace. “Amazon.com has been an innovator in developing the ability to personalize the buyer’s shopping experience. By tracking each customer’s purchases, it is able to identify groups of shoppers who share similar preferences” (Finch, 2012, sec. 13.2). This enables Amazon to use other consumer purchasing patterns and product rating to create lists of recommended purchases that are similar customers are likely to have an interest in (Finch, 2012, sec. 13.2). The fact that these anonymous referrals are drawn from the feedback and buying behavior of colleague customers adds credibility to the recommendation (Finch, 2012, sec. 13.2).
Amazon offer’s the
Amazon.com operates in the Online Retail Industry. The sector is one of the fastest growing globally and is outperforming the ordinary retail marketplace. It was created after 1995 and it was only the Internet that made it possible for such an industry not only to be established but to become one of the most flourishing sectors in the business environment. What is interesting is that Amazon.com, together with eBay is the pioneer in the field. Both companies were launched in 1995 and are still extremely successful. The creation of e-mail in 1996 had a huge impact on the development of online retail by introducing a fast and easy way to communicate with customers. For this two-year period Internet usage
Also, Amazon has emphasized on building “several distribution centers around the world to hasten deliveries”(Hof and Himelstein, 1999). Coupled with its software it provides a “laser-like focus on the buying experience”(IT Business Edge, 2012). Such a system and service is what draws customers towards Amazon and subsequently retains them.
Amazon make sure that customer service is the best, Customers experience low prices through Amazon, the fastest delivery, having a form of reliable contact. Amazon customer service problems have allowed retailers to sell itme on the website, to make broaden the worlds selections of products. Amazon has a rival EBAY, which also allows merchant to sell and buy through its site, but with eBay there has been complaints with poor service and fraud (Cohen, 2009).
Amazon.com has successfully managed to make its customers to feel that anything they could possibly want could be found on their website. Additionally, its products are marketed at a competitive price. Another important factor is their speedy delivery with their usage of UPS and FedEx (United States) and Royal Mail (United Kingdom). The company also caters for people that prefer online shopping with extra services such as Amazon Prime - a service with a yearly payment, customers are eligible for free next day delivery. Even though Amazon.com is known to be an online seller of most things, it still excels in its original market of book selling. Evidence of such is
Competition within the internet sales industry is fierce and innovation is the way internet retailers are looking to grab the top spot. Internet retailers such as Walmart are following in the path of competitors and building fulfillment centers left and right to allow for faster delivery to customers. Many internet retailers have explored the possibilities of drone delivery, using customers to deliver products to other customers on their way home, and allowing customers to pick up products out of lockers in stores so they don’t have to wait in line; these competitive strategies internet retailers are seeking to implement illustrate how far firms are willing to go to gain the upper-hand on one another (Forbes, 2012).
Our main objective was to understand the Salt Lake City consumers better and learn how we can develop our features and interface in order to fit the Salt Lake City area most effectively. The main problems we came across were consumers were confused on the idea, concerns about having an Amazon account, and people wanted local produce. As we looked at our research data from [Appendix 1] we learned about the main concerns from both two male interviewees and female interweiees. Ranking from 1-10 we able to identify that women's main concerns were health issues and male issues were primary time concerns. To solve these issues we begin with “Blue Sky” solutions, the first being everyone has a chance to create an Amazon account in store through
With a fast changing supply chain in the 21st century, companies need an effective delivery system, which attract new customers daily, and keep the current customers happy with their current service. Amazon is a very popular ecommerce company that delivers thousands of products daily. In the past few years, they have been trying to develop drone technology that could account for a large portion of their deliveries which would also provide substantial cost savings. I will discuss all of the benefits along with the drone technology system that Amazon hopes to put in place in the near future.
Every company has their own supply chain in order to sort or produce goods. However, the company needs to manage supply chain to maximize its highest benefits. By having effective supply chain management, the company can ensure that the right product or service will be available at the time to the right place and at the right price (Kamal 2007). Amazon is one of the companies that have best supply chain practices in order to respond high level of responsiveness for the customers. Thereby, this paper explains about Amazon Company, analysis of Amazon’s supply chain, recommendations and barriers to implement will be discussed.
Amazon strives to provide customers with the best possible online shopping experience by leveraging their powerful and innovative technologies. Part of the company’s competitiveness lies in their proprietary technology, which is licensed to companies like Target to run their e-commerce site. Its patented portal technology allows the customer to customize their on-line experience with personalized home page,
Business like Amazon wants to make buying item from their business easier for customers. This is why Amazon offers E-retailing which gives customer option to go shopping online. The internet has had impact change on consumers shopping habit as shopping online has numerous advantages which is why online shopping continues to gain popularity. Some of the advantages of E-retailing is that it’s convenient as consumers are able to go shopping at home which could help them save cost on travelling and also gives consumers an option to compare prices of different products as there are wide range of products being sold online.
Retailers have adapted to the online marketplace out of necessity and opportunity. The great recession placed many retail companies in financial hardship and while some failed, others innovated and became some of the largest companies in America such as Amazon. A recent trend is consumers are buying more products online than ever before. As a consumer, I enjoy shopping in the convenience of my home and having the items delivered to my doorstep in 48 hours or less. Global internet access continues to increase, with mobile devices and affordable internet for the home, consumers will continue to shift and buy products online rather than in retail brick and mortar locations. Online sales in the United States have increased over 250% in the last ten years, accomplishing $250.0 billion in 2012 (Tehrani, 2014). Therefore, Amazon is in a solid market position to capitalize on the future trends and booming ecommerce
Benchmarking is a great starting point. However, in some cases the performance comparison do not uncover the real scope of the challenge of practical leadership and effectiveness. It can take to an unproductive analysis in the competitive gap identified. Furthermore, it can lead to the development of capabilities that can help to beat the existed and forthcoming competition (Shamma & Hassan, 2013). Amazon’s excellence depends in the attention the leadership keep on customers and maintain the best practice in all aspects of the business. The company knows that thanks to the customers they had succeed in short of period. The well-known marketing note that the “customer is always the king” means that all company decisions should be conducted based on the customer's desires and wishes. Companies need to understand how products and services are supplied and, know how to identify what the business needs to source to meet customer expectations (Shamma & Hassan, 2013).
Compare the other retailers, logistics is an essential problem in e-commerce and e-business. Over country shipping and one-day shipping are more and more popular in the past years, like Amazon one day shipping, Amazon fresh keeps food in a good condition and deliver in a specific time. Retail leaders Amazon started same-day deliveries and drone shipping careers in 2015, but it hasn't expanded to all industry. The customer's satisfaction degree is closely connected with delivery ability, which makes the logistic problem more important.
Amazon must also ensure that its products are delivered in a timely fashion, given that speed of delivery is yet another significant competitive component of being an online retailer. Amazon has a special algorithm "to determine the best shipping route and method for each item to make sure the consumer good arrives on time as its specified location" (Master 2012). However, the use of this system is not purely
Furthermore, they offer to the customer the experience to buy in a physical store, compared with Amazon that is one of the strongest competitor, there’s no doubt that the internet, and the mobile web in particular, have changed the way people shop, but there is strong evidence that consumers continue to value the experience of