There is no doubt that Amazon is here to stay. It is the retail shopping company of the future and if you sell retail products then you need to take advantage of what this huge and successful platform has to offer you.
When Amazon first launched its website for selling books back in 1997, there were not that many people online and most were concerned about using their credit cards to make purchases over the Internet.
Fast forward a few years and online shopping has become the norm thanks to the business strategies Amazon implemented to give customers more confidence to make Internet purchases. It is a true success story and Amazon have really paved the way forward for retail shopping. Other giants such as Walmart and Target have followed suit.
Total Commitment to the Customer Experience
The main reason that Amazon has been so successful is their total commitment to the customer experience. Every move that Amazon makes is tied in to their customer centric philosophy. Their goal is to be the most customer centric organization in the world. Everything that Amazon does is designed to serve their customers in a better way.
Amazon has led the way in terms of innovations to improve the customer experience. They have changed the face of online shopping significantly over the last two decades or so. All of these innovations have made Amazon the “go to” place for all shopping needs.
Amazon has a number of Strengths
Jeff Bezos, the founder of Amazon, and his management team have a philosophy where they are not afraid of failure. They will test a number of different ideas and then drop those that do not produce the desired results and double down on those that do. They are not scared of investing money to develop the company.
Huge amounts of Data
One of the key strengths Amazon has is the amount of data that it has at its disposal. We are talking about vast amounts of data here on customers and how they shop. Amazon uses this data to make improvements and also sells it to advertisers who use their DSP program.
Amazon Prime
Another successful initiative was Amazon Prime. Customers love this feature and it helps to improve loyalty significantly. In the United States, more than 100 million Amazon customers have a Prime account. Customers have to pay either an annual fee or on a monthly basis to be a member of Prime.
This is incredible when you think about it. Not only are Prime members very loyal to Amazon but they also spend twice as much as customers that are not Prime members. In the US alone, each Prime member spends around $1,400 each year on average.
A Worldwide Brand
Another great strength is that Amazon is a worldwide brand. This gives the company a significant advantage when it enters new markets. Amazon in the UK enjoys a 47% share of the market and in Germany it is around 31%. Expect these numbers to grow in the future.
Quick decision making
Although Amazon is a huge company it is an agile one as well. It can and does make quick decisions to keep leading the field. There are a number of in house systems that enable management to make decisions fast. Amazon encourages small decision making teams as well which leads to faster decisions.
Unparalleled Logistics
The logistics system in place at Amazon is far better than what other global retailers have. It has distribution centers near to most large cities and it uses state-of-the-art robotic picking systems for maximum efficiency. Amazon has always invested heavily in logistics to give it the edge and is very likely to continue to do so.
A good example of Amazon’s commitment to their logistics power is what they are doing in the United Kingdom. In England there are branded warehouses from London to Liverpool (and more!) and there is a new development just off the M1, South East of Durham.
Review System
The review system at Amazon is responsible for a significant level of sales volume. Customers really like the review system and will often make a purchase based on the reviews a product has received. A high number of customers will leave a review after a product purchase as well.
Using Amazon to Sell your Products
The time to start selling your products on Amazon is now. While most other companies have suffered due to the Covid-19 pandemic Amazon has thrived and is likely to publish record sales levels for the period.
The concept of selling your products on Amazon is very appealing but the reality of making a success of this can be very different. If you don’t get your Amazon selling strategy right then you will not achieve the results that you want. It is a lot more challenging than you might think.
At eBooster we have vast experience of helping businesses to successfully sell on Amazon. We know how to overcome the challenges you will face when listing your products on Amazon and we can provide the right advice on selling into different markets as well.
For a free, no obligation discussion about how we can help you to be successful with Amazon and sell more of your products and make greater profits, please contact us here.
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