This paper will evaluate Amazon.com’s marketing strategy in terms of the following statement: „The best marketing strategies are not top down; they are outside in, starting with the customers’ needs and wants.” This assignment will focus on Amazon’s marketing strategy and whether it is an inside-in or an outside-in approach.
Frequently asked questions
What is the aim of this document?
The aim is to evaluate Amazon.com's marketing strategy, specifically whether it is an inside-in or outside-in approach, based on the statement: 'The best marketing strategies are not top down; they are outside in, starting with the customers' needs and wants'.
What is the introduction about?
The introduction provides background information on Amazon.com, its founding by Jeff Bezos in 1995, its initial focus on selling books, and its evolution into a multi-segment e-commerce business serving consumers, sellers, and developers. It also discusses Amazon's 'almost-in-time' delivery approach as an example of an outside-in strategy.
What are Amazon's objectives?
Amazon's main objectives are to provide great customer-based services and a store where anything that can be bought online is available for purchase. It also aims to become the best e-commerce company globally, achieve a global reach, prioritize customers, and offer a vast range of products.
What are Amazon's business strategies?
Amazon's business strategies focus on prioritizing shoppers' needs, particularly fast delivery. The company invests in distribution centers and explores techniques like 'under-the-tent' to improve delivery speed. The business model canvas is used to show customer service and products, this also shows that Amazon is aiming to maintain an outside-in technique.
How does Amazon handle competition?
Amazon has a strong delivery service without physical stores, built through warehouses, robots, and software algorithms. It maintains partnerships with the United States Postal Service and UPS. Although competitors exist, Amazon's exceptional distribution network and brand image make it difficult to match its service, pricing, and shipping.
What are Amazon's CSR activities?
Amazon's CSR activities include the Career Choice Program, which pays for employees' tuition fees for sought-after fields, and the 'Girls who Code' program. These activities represent both inside-out (employee-focused) and outside-in (stakeholder support) approaches.
What is Amazon's feedback control?
Amazon's feedback control involves customer reviews. The reliability of the feedback control is questionable, and the company is also able to censor certain content. It aims to allow both positive and negative reviews, but has been accused of selectively removing negative reviews in certain instances.
What is the SWOT analysis of Amazon?
Amazon's strengths include its low-cost structure, large number of third-party sellers, and vast merchandise assortment. Opportunities include expanding through Amazon Prime and the Fulfilled-by-Amazon (FBA) program. Weaknesses include becoming too diversified. Threats include rising apprehension regarding online shopping security and aggressive pricing strategies.
What is the PESTEL analysis of Amazon?
The PESTEL analysis examines Amazon's Political, Economic, Social, Technological, Environmental, and Legal factors. It discusses political influences through lobbying, economic factors like currency exchange rates, social concerns like controversies over sold items, technological reliance and advancements, and legal challenges like unionization efforts. Amazon is using and inside-out approach.
What is Amazon doing in terms of segment acquisition?
Amazon utilises demographic and psychographic divisions to segment markets based on real buying behavior. It marks every person separately, letting the retailer transform site dwellers into long-term, valuable consumers.
What are Amazon's E-CRM (electronic customer relationship management) strategies?
Amazon implements customer relationship management (CRM) to web-based commercial ventures (E-CRM). CRM captures and gratifies consumers, creating sales opportunities in the process. E-CRM has allowed for an increase in customer satisfaction to the firm.
What are some Amazon Customer Acquisition techniques?
Amazon asks users to add products to their "wish-list" which aids the company in understanding each customer. Amazon also uses customer product reviews in order to promote products. This wish-list method demonstrates an outside approach.
How does Amazon perform customer retention?
Amazon focuses on retaining customers rather than acquiring them. Amazon tries to create effective associations with customers and a good experience.
What internal marketing tactics does Amazon deploy?
Workers are looked at as `internal consumers' and the objective of internal marketing is to make sure that they provide value to customers. Firms can then make sure the integrated work flows so that it gives consumers a good experience.
- Quote paper
- Sara Al Sayyed (Author), 2016, Strategic Marketing. A Live Case Study on Amazon Marketing, Munich, GRIN Verlag, https://www.grin.com/document/352812