13 Jul 2016 | By Jane
Started off as an online bookseller in 1998, Amazon quickly won the hearts of millions of online customers and changed the overall experience of shopping. The amazing innovations in online trade brought by Amazon are the secrets behind the phenomenal success of this global e-commerce website, some of which follows here.
E-commerce companies are known for bringing in innovative ideas that are offbeat and unheard of before in the world of commerce and trade. The very concept of buying and selling products online itself was pretty offbeat at the time it emerged. The dot com bubble saw a lot of players enter into the e-commerce bandwagon initiating fierce competition. The extent to which these online retailers go to gain customer confidence is legendary.
Amazon is the world’s largest e-commerce company in terms of both market capitalization and volume of sales. Started off as an online dealer of booksin 1998, Amazon quickly conquered the hearts of people around the world and changed the overall experience of shopping. The amazing innovations in online trade brought by Amazon are the secrets behind how this online bookseller became the dominant global marketplace that it is today. According to the top brass of Amazon, there are no secrets behind their phenomenal success, except for the pure dedication to helping customers find the right products and seeing to a smooth ordering process and timely delivery.
That being said, let us now take a look at some of the marvel techniques and systems pioneered by Amazon that also helped them become the global e-commerce leader, in a big way.
Amazon employs a special algorithm to determine the tastes and interests of current customers by analysing the products they have shopped for so far, products they have rated or reviewed and also products that they already own. This results in visitors seeing products of their choice listed prominently on all pages as they browse the site looking for products. Often times, customers find it so intuitive that they do not even need to search for an item because it is already listed in recommendations. To make it even better, user activity across the site is compared with one another. In turn, this presents Amazon with a great opportunity to present newly launched products to the right customers first.
Amazon has also pioneered the concept of wish lists on their site. A wish list is simply a list of items that a user wishes to buy some time in the future, but is not quite ready to purchase, yet. What is more interesting is that a customer can add a product from any online seller, not just Amazon owned websites. Wish lists eventually turn into shopping carts when the time is right. Another advantage of wish lists is that family members or friends can have an idea of your necessities when they are looking up on the site to buy gifts for someone on special occasions. Just a glance through your friend’s wish list and you will know what will be the best gift for them that also suits your budget
Logistics has been the main hindrance to the smooth functioning of any e-commerce site. When a user makes multiple purchases in one order, all items may not be available in a single warehouse or in warehouses in the vicinity of the customer. Gathering all items together before delivery itself takes up too much time. To circumvent this, Amazon had devised a simple solution to this problem with random stow. This means storing items in the random order in their many warehouses so that the chances are more in finding all products purchased by a random customer in a single warehouse or in warehouses situated close by.Previous Next