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EXMBAQ 2011 N1 GRUPO E. EXMBAQ 2011 N1 GRUPO E | 2 Just a digital shop …

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Presentation on theme: "EXMBAQ 2011 N1 GRUPO E. EXMBAQ 2011 N1 GRUPO E | 2 Just a digital shop …"— Presentation transcript:

1 EXMBAQ 2011 N1 GRUPO E

2 EXMBAQ 2011 N1 GRUPO E | 2 Just a digital shop …

3 EXMBAQ 2011 N1 GRUPO E | 3 … or a digital empire ?

4 EXMBAQ 2011 N1 GRUPO E | 4 All these companies belong to Amazon

5 EXMBAQ 2011 N1 GRUPO E | 5 Amazon Web Services drives these companies

6 EXMBAQ 2011 N1 GRUPO E | 6 Worldwide sales Year 2001 $ m Year 2011 $ m Other 3 % EG M 60 % Media 37 % Media 79 % EG M 19 % Other 2 % Media  Books, music, movies, games,… EGM  Electronics and general merchandise Other  Amazon Web Services,… CAGR = 32 %

7 EXMBAQ 2011 N1 GRUPO E | 7 Amazon is a giant … 40 % growth in x $ m of sales1,25 x $ m of market capitalization2 x 152 m of customers2 x employees25 x $ 189 of sales per unique user24 x 7 th site with the most unique usersbefore 1 st retail brandbefore

8 EXMBAQ 2011 N1 GRUPO E | 8 Mission, vision and values We seek to be build a place where people can come to find and discover anything they might want to buy online and enjoy the best shopping experience on the internet. Vision We seek to be earth’s most customer-centric company for four primary customer sets: consumers, sellers, enterprises and content creators. Mission Customer obsession.Ownership. Innovation.High hiring bar. Bias for action.Frugality. Values

9 EXMBAQ 2011 N1 GRUPO E | 9 Core value proposition Amazon’s core value proposition is not disruptive. Amazon perfectly understood the old economy retail cocktail.

10 EXMBAQ 2011 N1 GRUPO E | 10 Amazon’s virtuous cycle and its strategic imperative Get big fast by investing aggressively in new product categories and new businesses, by spending money on brand awareness and by getting new customers.

11 EXMBAQ 2011 N1 GRUPO E | 11 A picture is worth a thousand words …

12 EXMBAQ 2011 N1 GRUPO E | 12 Marketing strategy Increase customer traffic. Objectives Pay per click advertising. marketing. Affiliate marketing. Create awareness of our products and services. Continual web site improvement. Streamlined ordering process. Personalization and customization. Customer’s opinions and co- creation. Customer service. Promote repeat purchases. Develop incremental product and service revenue opportunities. Partnerships and web services. Online advertisement. Offline advertisement. Strengthen and broaden the Amazon brand name. Key actions

13 EXMBAQ 2011 N1 GRUPO E | 13 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience Other retailers Users co-creation

14 EXMBAQ 2011 N1 GRUPO E | 14 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience $ 73,54 In stock. Sold by Car Toys. Price competition Suggested retailer Users co-creation

15 EXMBAQ 2011 N1 GRUPO E | 15 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience Free shipping in two or three days Returns and refunds are easy Users co-creation

16 EXMBAQ 2011 N1 GRUPO E | 16 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience $ 59,00 In stock. Sold by LiveSpan. Streamlined ordering process Personalized recommendation s Users co-creation

17 EXMBAQ 2011 N1 GRUPO E | 17 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience Customer’s opinions Users co-creation Helpful ?

18 EXMBAQ 2011 N1 GRUPO E | 18 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience Users co-creation Rate a product or create product reviews Comment on other user’s reviews

19 EXMBAQ 2011 N1 GRUPO E | 19 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience Users co-creation Top reviewer ranking

20 EXMBAQ 2011 N1 GRUPO E | 20 Best practices where Amazon is best-in-class Large selection Low prices Service quality Navigation experience Users co-creation Customer discussions

21 EXMBAQ 2011 N1 GRUPO E | 21 Opportunities for improvement in terms of customer experience Length and design of the pages containing the information about the products.

22 EXMBAQ 2011 N1 GRUPO E | 22 Opportunities for improvement in terms of customer experience Purchasing process when shopping in an Amazon’s website that is not intended for the country where the user lives. Calle María de Molina, Madrid - Spain

23 EXMBAQ 2011 N1 GRUPO E | 23 Opportunities for improvement in terms of customer experience The search options are too basic. There are no advance search tools It is not possible to search in multiple departments Limited sorting and filtering options

24 EXMBAQ 2011 N1 GRUPO E | 24 Functionality that we would add Wider interaction and interrelation with social networks to create a larger value added community.

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