Marketing Plan for Amazon.Com

4597 Words Oct 6th, 2007 19 Pages
Marketing Plan for Amazon.com

Executive Summary Amazon.com has a leading edge in the e-commerce world. It has a strong competitive advantage. However, as with many online retailers, there are certain aspects of conducting business over the web that creates difficulties and the need of marketing planning.

This marketing plan consists of environmental scan, customer behavioural patterns, current segment market, marketing strategies and recommendations in strategies.

2) Introduction Amazon.com is the largest online retailer. The company opened its virtual doors in July 1995 by Jeff Bezos in Seattle. Since then it has enjoyed rapid expansion in all aspects of its operations, including business turnover, and a spectacular rise in share
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2.4) Marketing Objectives - Achieve a 200% increase in sales per year for books - Achieve a 250% increase in sales per year for music - Achieve a 275% increase in sales per year for movies - Achieve a 100% increase in sales per year for electronics & software The percentage increase in sales for the above categories were determined by each category's required strength minus the current strength of that product line all divided by the number of years left on the loan. This is the percent increase necessary per year for the specific product line to create enough profit to exactly pay off the loan.

3) Environmental Scan 3.1) TWOS framework Threats - Decreasing economy: Amazon can no longer get cheap capital from the stock market because of the amount of failed Internet companies.

- Uncertain Internet business trends: Business risks related include amount of indebt, competition, potential fluctuations in operating results and rate of growth, foreign currency exchange rates and government regulation - Competition with suppliers: suppliers selling directly to customers may make more profit than through a middle man. It will lead suppliers cannot offer low prices to Amazon.

- Interruption of services: System interruptions caused by power losses, bad weather, hardware failure and computer viruses often make Amazon.com unavailable and prevent efficiently fulfilling orders.

Opportunities - Increasing Internet markets: Amazon.com did have a

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