Swot Analysis Of E Commerce Market

1034 Words Oct 20th, 2015 5 Pages
Strengths
Large Market Share
In 2014, Amazon controlled 16.2% of the market share in the U.S. E-Commerce market with sales revenue exceeding $88.9 billion. In comparison, our second largest E-Commerce competitor holds controls only 1.7% of the market with revenues of $17.9 billion in 2014, about a fifth of our total revenue. (Carter). In addition to the large market share of E-Commerce as a whole, we also hold 3.1% of all online grocery sales, only 2.3% less than that of the company with the largest market share percentage, PeaPod (McKitterick).

Excellent Customer Service
Our customer service is generally regarded among the best in the industry. This sentiment is echoed by 57.52% of users who report having an excellent customer service
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A Prime membership allows customers to purchase goods in almost the same amount of time that they could from a physical store, without having to leave their houses. If you happen to live in select cities, you are also eligible for free same-day delivery as a Prime member, sometimes allowing you to get your product(s) faster than if you were to go to a store in person. (Amazon Prime Shipping Benefits.)

Low Prices
We also have a reputation for offering the lowest prices in a plethora of markets. For example, when comparing prices of “Seventh Generation White 140 Sheet Paper Towels, 6 Count” among online retailers, there are several other companies that carry this product at a higher price than Amazon. For example, Amazon currently sells “Seventh Generation White 140 Sheet Paper Towels, 6 Count” for $7.87, while the second cheapest option is being sold for $9.99 (PriceJump). Likewise, the “Gold Samsung Galaxy S6 32GB” can be found on Amazon for only $518 (Samsung Galaxy S6, Amazon), whereas Best Buy sells the same product for $749.99 (Samsung Galaxy S6, Best Buy). Not only do we offer the best deals, but we also allow partial refunds if the price of a recently bought product has decreased within seven days of the purchase date (Lutz).

Weaknesses
Negative Publicity
Recently, we have come under fire for two main things. The first is tax evasion, particularly in Europe. For 11 years, we have been selling out of the UK and has

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