I just bought a new kitchen sink at 60% off list price on Amazon. It arrived in 48 hours, with free shipping. I read 36 positive reviews beforehand, so I was confident about my choice. While I was on the site, I purchased iPod earbuds, and some craft felt, too, because it was so easy.
I made my purchase after visiting Home Depot and Lowe’s where I learned, “Kitchen sinks are on aisle 5,” and, “Anything besides these 4 sinks is a special order and takes 10-14 days.”
Welcome to the age of Amazon.
Amazon is dramatically changing the rules of marketing and sales—across all product categories. I could easily have added car parts, running shoes, and flower bulbs to my basket if I was in the mood.
This means you need to craft your go-to-market strategies with Amazon front and center in your thinking. You should consider:
- How much time do you spend managing Amazon as a channel? Does it align with the fact that more consumers now start their buying searches on Amazon than Google?
- Do you have an Amazon pricing strategy that is competitive and considers channel conflict?
- Have you packaged and priced your product so it is eligible for Amazon Prime?
- Are you working with Amazon to maximize your presence and your promotional impact?
- Does your company website give consumers as good an experience as they get on Amazon? Shoppers see Amazon as the gold standard for ecommerce.
- Do you track your Amazon reviews? Are you making product changes in response to customer feedback?
Whether you’re selling natural food or designer jeans, Amazon is a huge force in the market. If you’re not paying enough attention to this channel, another company will.