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Ritesh Kumar Panda

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Chapter 1

Background of the study


In this world of digitization, digital marketing is a vogue that is sweeping across the whole world. The trend of digital
marketing is growing day by day with the concepts of Internet marketing that is turning into an important platform of digital
marketing along with the electronic gadgets like the digital billboards, mobile, tablets and smart phones, gaming consoles,
and many such gadgets that help in digital marketing. Amazon with its innovative digital marketing has created a niche
market in online stores competing with the conventional stores showing the power of online marketing. The case study
analyses how Amazon.com has brought in an array digital and online marketing strategies to succeed and make it big in
the digital marketing sector. The case also discusses how Amazon has had a huge success in the online marketing sector
as they brought in new insights into the digital marketing field. And few years from now it will be eventually seen that the
conventional marketing being replaced by digital marketing. Digital marketing is going to be top on the agenda of many
marketers, and they might be looking for innovative ways to market online, reduce cost per lead, increase click-through-
rates and conversion rates, and discover what's hot in digital marketing.

Rational of the study


Amazon marketing strategy relies on the following four pillars:
1. Offering the widest range of products. The largest internet retailer in the world by revenue
offers hundreds of millions of products. The majority, 58% of products offered in Amazon
platform are from third-party sellers.
2. Using customer-friendly interface. The tech giant has an advanced interface that integrates
personalized recommendations and recent browsing history, among others.
3. Scaling easily from small to large. The e-commerce and cloud computing company has
experience and competence in scaling from small to large. This factor plays in instrumental
role exploring new business segments.
4. Exploiting affiliate products and resources. Up to date, the tech giant has taken a full
advantage of affiliate products and resources to contribute to the bottom line of the business.

Objectives of the study-


In their SEC filings Amazon state that the aims of their communications strategy are (unsurprisingly)
to:
1. To Increase customer traffic to our websites
2. To Create awareness of our products and services
3. To Promote repeat purchases
4. To Develop incremental product and service revenue opportunities
5. To Strengthen and broaden the Amazon.com brand name.

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