Marketing on the internet Essay Example | Topics and Well Written Essays - 1500 words

Marketing on the internet - Essay Example Amazon.com hit off as an online bookstore. However they soon diversified their portfolio and ventured into selling DVDS, CDs, and MP3 downloads software’s, games, electronics, food, toys, furniture and apparel. They started spreading out from United States and established bases in Canada, the United Kingdom, Germany, France, Japan and China. Amazon’s target audience: Amazon has segmented its target market on the basis of various variables. Their target market is segmented on the basis of demographic, geographic, and psychographic variables. Demographically talking, Amazon attracts customers who have constant access to the internet. In a recent survey conducted by Cyber Atlas, 55% men and 49% women amongst the internet using population admitted that Amazon.com is their favourite site for shopping. (CyberAtlas ; 2001)Geographically speaking, Amazon.com is most widely used in the United States and everywhere else in the world where there is Internet access. At the moment 2 9 million people in 160 countries are using the site. Amazon provides its customers with an engaging and a satisfying experience on their site. This ensures that the customers return to their site. It works on building customer loyalty by enabling features like personal customization of the web page for each of its customers. Amazon’s business strategies: Amazon built its competitive edge on three core strategies. These were: 1. Cost Leadership 2. Customer differentiation 3. Focus Under its cost leadership strategy Amazon has stood out by offering rock-bottom prices. It provides good quality products at low prices. Its prices can’t be matched by its competitors. This makes it an obvious choice for customers. Under the second strategy, Amazon offers current and prospective customers differentiation via convenience. It is one of the largest e-stores at the moment. Its product assortment is huge. It capitalizes on its huge product assortment, fast and efficient delivery a nd efficient services. It has focused on 4 primary areas for its focus strategy. These include the 1. Product focus. 2. Customer focus 3. Technology focus 4. Distribution focus As mentioned before, Amazon has a huge product assortment. Its product assortment has always attracted customers. Technology has always been central to Amazon’s business. It is an e-commerce business, a virtual market place, where every transaction is done online. Amazon’s E-marketing Strategy: Goal and Objectives: In 2008 Amazon’s vision was defined and re-phrased to mark complete focus on customer experience. It said â€Å"relently focus on customer experience by offering our customers low prices, convenience and a wide selection of merchandise.† The vision was to offer the Earth’s biggest consortium of products and to be the most customer centric company. This was Amazon’s core marketing message and it communicated its online value proposition both onsite and offsi te. (Chaffey) Amazon ensured that it offered lowest prices for most of the popular products that it was offering. However it also included less popular products that commanded high prices in the market. As a result it was able to squeeze margins for itself. Amazon’s primary objective was to be customer friendly and offer convenience to its customer. This was why it started offering free-shipping services soon. Another core objective at Amazon has been the fulfillment of promises and ensuring that customers are well-communicated and well-informed. Amazon did