Amazon: Defining Consumers’ Expectations
Companies continue to look at Amazon as the elite for consumer relationships. Why? From my opinion, Amazon offers fast delivery, the convenience of tracking packages, and offers voice technology like Alexa to improve customer ease and satisfaction. So, what are companies trying to recreate for their customers and why?
Membership Model Feeding Analytics
If we take a step back and consider the consumer journey outside of Amazon, you will be asked to join a database through your order that allows them to contact you, tells them where to send your goods, and creates a profile. Once you’ve ordered an item, you may have the option to track your parcel through third-party deliveries.
Now, let’s compare this to the Amazon Prime experience. By paying for the membership, not only is Amazon’s algorithm and Artificial Intelligence (AI) noting your previous purchases, searches, and preferred price points – but it also knows your preferred locations and can indicate if you can get the package the same or next day. With multiple large expansive warehouses, Amazon is in control from your order to drop off. Prime also has a speedy check out saving your details and payment methods so you can even select ‘buy now’ without it touching your virtual basket.
You cannot discuss Amazon delivery without mentioning speed. The reality and opportunity for people to be able to get their parcels the next day after ordering or in some cases the same day have become the new expectant norm. So how do businesses match this? Currently, some easily shippable items are cutting faster delivery but other retailers with brick and mortar are seeing the opportunity to sell or ship directly from their stores. Meaning that faster delivery can be an option.
Amazon Continues to Give Consumers What They Want
Consumer convenience also skyrockets with products like Alexa, that can recommend or suggest further products based on your conversational shopping lists and/or searches.
Prime also offers a plethora of options – from shopping to streaming films, music, and shows.
Supply Chains with Enviable Location Tracking
Already touching on the supply chain benefits, it goes without saying that Amazon’s (mostly) seamless delivery process is enviable. Several companies are seeking the same convenience and end-to-end visibility that Amazon can guarantee.
Convenience is king, but so is visibility
Many companies now have the pressure to share their ESG commitments and the supply chains can at times lend to the larger brand message consumers are craving.
· Where are your products from?
· Are the products ethical?
· Are they environmental and can they be considered sustainable?
As the consumer grows to know more about their brands, organizations must strive to improve the visibility and truth around the supply chain.
Tapping into New Technology
Technology is forever evolving, and new capabilities are coming up quicker than ever. Amazon has already tapped into the voice recognition space with Alexa, but I want to expand on this further. In a recent round table around utilizing this space in the financial industry, an attendee made the point that this could be a game-changer in the convenience sector for their customers. “The ability to tap into these new technologies without having to be restricted through regulation could be a game-changer.” It should also be noted that many regulatory boards are sometimes not up to speed on the technology itself.
What’s Next for Jeff Bezos?
With Amazon having more and more opportunities to venture into new markets, e-commerce is here to stay. In an article written in Forbes March 2021, A statistic that Amazon is expected to seize 50% of the entire e-commerce retail market this year.
Covid changed the way consumers shop and online shopping is only evolving. So, Amazon looks to be here to stay.
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