Marketing Essentials Report: Analysis of Amazon's Marketing Strategies

This report provides a detailed analysis of the marketing strategies employed by Amazon, a leading multinational technology firm. It begins with an introduction to the core concepts of marketing, emphasizing its role in managing and facilitating exchanges between businesses and consumers. The report then delves into the key roles and responsibilities of the marketing function within Amazon, including marketing information systems, planning, product design and development, packaging, pricing, promotion, physical distribution, storage, and customer support services. Furthermore, the report explores the roles and responsibilities of marketing in relation to the wider organizational context, specifically in the context of B2C and B2B marketing. It also examines the interrelationship between marketing and other departments, such as human resources and finance. The analysis covers various aspects of Amazon's marketing operations, providing insights into its approach to market planning, product development, and customer engagement.

MARKETING
ESSENTIALS

INTRODUCTION
Marketing is explained as management and study of exchange the relation. Marketing is
related to activity that undertaken through an organisation in order to promote selling or
purchasing of service or product. Management process is responsible for determining, satisfying
and anticipating the requirements of consumers (Babin and Zikmund, 2015). Marketing is
traditionally means through which company interact, connect and engage with its target audience
in order to convey value and also sell its services and products effectively. This report is based
on the Amazon Company and it is an American multinational technology firm and its focus on e-
commerce. In given report will be discuss regarding key roles and responsibilities of marketing
function. The different methods under which different organisations are apply marketing mix to
marketing planning process to achieve the objectives of business will be discuss here in detailed
manner.
LO1
Key roles and responsibilities of marketing function
Marketing refers to set of activities that aids in reach at the large number of customers
through determining requirements and needs effectively. Marketing is ongoing communications
exchange with consumers in such a manner that informs, educates and develop relationship
overtime. It aids in interact with consumers and enhance sales value of business in an effective
manner. Marketing is regarded as the social process through which people as well as company
can obtain what they want as well as require by developing and exchange value with the others.
It consists researching, selling, promoting and distributing services and products (Brady, 2014).
Amazon is a multinational technology firm based on Washington that focus on the cloud
computing, artificial intelligence, e- commerce etc. It is included as Big Four technology firm
with Facebook, Google and Apple.
Marketing function plays a role that helps an organisation to explain as well as place the
services and products in successful manner. It is one of the most necessary function of company.
It aids in connect with people and focus on enhance sales of business in an effective manner.
There are some key roles as well as responsibilities of marketing function mention below:
Marketing Information System- It is known as management information system that mainly
designed to support the decision making of marketing. It is system under which the marketing

data is collected, stores, distributed and analysed to managers according to the informational
requirements ion regular basis. The Amazon company use this system to distribute relevant and
accurate information to marketers which can make effective decisions concerned to marketing
operations such as packaging, pricing, distribution, promotion and many others. With the help of
using this system, Amazon can gather information from documents like transmit copies, invoices
and the billing documents which are prepared through organisations after receive order for
services and products from consumers (Cabrera and Williams, 2014).
Marketing planning- Planning is necessary to performing as well as conducting the
activities in systematic manner. The main aim of marketing plan is to attain the marketing
objective of Amazon Company. These objectives may consist enhancing market presence,
enhance market share etc. Market planning functions cover various aspects such as promotion,
action programmes and production level. In achieving the business objectives, there will be
requirement to make effective planning.
Product Designing and development- Under this, product design is helpful in making product
unique and attractive to target market. It is necessary for Amazon Company to provide the quick
and attractive services to consumers so that they can satisfy and able to retain for long period.
The design of product is one of the most necessary factor because design attracts people most.
Firm whose product is attractive and better design sells more than other company product while
design is not attractive. In this competitive market environment not only cost matters but also
product design, style, suitability and shape matter more in taking effective production related
decisions (Campbell, Martin and Fabos, 2018).
Packaging and Labelling- Packaging includes designing the package for goods. The
labelling and packaging serve as promotional tools. Labelling is related to putting information
needs on covering of specific product. It is a kind of slip that found on product itself on package
that giving all information related to goods and its manufacture.
Pricing- It is most necessary marketing function. Cost of product will identify its failure
and success in an effective manner. Amount of money which consumer needs to pat for buying
goods. The cost will develop impact on the demand of products. If the cost of product will be
reasonable then in this case customers can able to purchase. Minimum variation in cost may
enhance demand for product of rivals. Therefore, it is necessary for Amazon Company to

consider the various factors such as customer type, income, product demand, and policy of
competitors at the time of identifying cost of product.
Promotion- It is related to any type of the marketing communication that is used to inform target
audience of relative merits of service, product and brand. Its aim is to increase awareness,
develop interest and generate the sales. Promotion of the service and product is related to
providing information to consumers regarding product of firm, their uses, costs, specifications
etc. in order to persuading them to purchase these goods (Carr, 2014). The main tools of
promotion are sales promotion, advertising, personal selling and publicity. There is a need to
Amazon firm to decide about promotion mix and promotion budget.
Physical distribution- It is main function of marketing that consist storing and
transporting. Transporting function includes moving of services and products from point of the
production to locations, which are convenient for buyers as well as storing function, include
warehousing goods until required for sale. Most necessary decision areas under this include
selection of the transportation, warehousing, distribution etc.
Storage- Under this function of marketing, there is a time gap among manufacturing and
consumption of the products. It is most necessary marketing function to give proper storage of
the products until they demanded. There is a need to Amazon firm to storage adequate stock of
the products in order to meet demand in case of the contingencies and neglect any kind of
unnecessary delays in to delivery. Under this, wholesalers, producers and retailers perform
storage function. On the other hand, warehouses aids in stabilizing costs through checking any
kind of fluctuations (Dioko, 2016).
Customer Support Service- Customer support is range of the consumer service in order
to help people in making cost beneficial and use of product in correct manner. The customer
support teams communicate with customers on required basis. This marketing function includes
pre sales counselling, after sales, handling complains of consumers, maintenance service,
information of customer etc. It is a responsibility of Amazon company to focus on resolving the
query or any complaint of consumers related to costing, quality, packaging, delivery etc.
Through resolving the query of customers, firm can develop the positive impact on them.
Roles and Responsibilities of marketing related to wider organisational context
Different roles of marketing with B2C

Marketing is most common term which companies use when they referring to any type of
the business which they operate. In this, main focus of the organisations on selling people as well
as market their good for the personal use. In relation to marketing with B2C, strategies and
tactics under which Amazon can promote its services as well as products to people.
Different roles of marketing with B2B
The main role of marketing is to transform organisations in to consumer- driven
enterprise. It is often product- driven and sales- driven. Under this, B2B marketers are dealing
with distinct market of the potential consumers which require services as well as product of their
brand. The main role of marketer in B2B is to understand requirements of clients with the help of
market analysis and then tailor marketing strategies towards solutions- based approach.
There are various marketing function, which has different roles and responsibilities, which are
described:
Marketing Planning- The initial step in processing of marketing strategies are planning,
which is sought of blue print, that creates an imaginative idea generation, where the company
wants be in next few years, what are the current position which is coined as business gap
analysis. Amazon manager have to make accurate marketing planning with minimal risk
involved (Eng, 2017). Planning involved skills which results in formulation of goals, objectives
to be attained in a set time. For instance, Amazon should give unique advertising promotions
offers to their existing and potential customer, through websites and smartphones applications.
The role of manager is to invest in research and methodology to get fluent usage of information
for the firm.
Exchange Functions- This function is introduced as exchange of commodities and
services in the local and global market depending on the demand of consumer and providing
maximum quality and quantity of goods in the market. The role of manager in this function is to
study deep analysis of market and balancing the shortage and surplus of good when there is
demand by the buyers.
Product Designing and Development- This function is the key element in the sale
promotion for any company. Amazon can use this function by generating creative and innovative
website development and special offer for customer who are using their applications. The more
variants of attractive product are available on online marketing; this will generate a sense of

interest in trying for new products. The Amazon manager can invest in training their employee’s
for good service quality (Fine, 2017). This will result, in loyalty towards Amazon Company.
Product Distribution- This is very important function in marketing strategies, as it involves
structured procedures of rule, which include effective and efficient communication channel
through which the product is entered in the market depending on the demands generated by
the customer. Amazon managers can work on the service quality, which satisfies the
customer when they order the product online it should be delivered in accurate time given to
them.
Risk Taking- This function involve high risk in the growing market, as there is cut throat
competition which should be handle with care to sustain the business. Amazon can deal
with this function by analysis competitor’s market price of the product and adjust their price
without dis balancing the financial structure, which is set by the company.
Customer Support- Customer support function is the heart of marketing strategy, there
is saying that "customer is the king" and satisfaction of buyer's is prime objective of all company
in an industry (Jacoby, 2014). Amazon, uses this function very effectively as it provide quality
service to their customer through organised customized designing of website, where there is
feature of rating review of quality of product and services and feedback comment section if
there is any fault arose in the delivery of commodity. The Amazon managers should provide a
good environment with effective communication in customer care branch.
Marketing Information- This marketing function can be viewed as assessment of
current marketing trends. The Amazon Company should gather information from their internal
and external sources about the current scenario of market, which may include involvement of
government bodies’ rules and regulations. The marketing strategies are developed accordingly
knowing competitor's marketing mix of a particular product and provide special discounts and
sales offers to their loyal consumer as well to potential buyer's which will attract toward the
company (Kennedy and Parsons, 2014). This will result in increasing brand value at international
level and raising economic condition of the country across the globe.
Interrelationship of marketing with various departments mention below:
Marketing function with Human resource - Human resource and marketing both are the
most important for company. Major role of human resource department is to hire talented staff
members and provide them training so that their skills or knowledge can be enhanced and they

can able to perform in an effective manner. In relation with human resource function, marketing
function search the candidates, which are looking for job. Through this, company provide the
better job facilities at vacant position at workplace.
Marketing function with Finance- Finance function plays an important role in company.
Its main role is to arrange and manage money in company for purpose of conduct the operations
of business effectively. On other hand, finance function is responsible in produce financial
statement of business. The finance function of Amazon Company manage money for conducting
different marketing activities for an instance purchase raw materials, manufacturing, packaging,
promotion, launching etc.
M1 Roles and responsibilities of marketing in context of marketing environment
Marketing environment includes different factors such as external and internal which
develop negative and positive affect on the marketing activities in an effective manner. The
company conduct its marketing activities by considering marketing environment. Thee market
environment impacts directly function as well as working of company. Before performing any
activities, marketing department is responsible for conduct marketing investigation. It will help
in minimize the negative impact of marketing environment from business activities. On the other
hand, management has to strategize and plan its marketing operations which are depending on
those factors which have positive affect on operations.
M2 Significance of interrelationships among marketing and some other functional units
Under this, there are several departments working in an organisation together for aim of
attaining common objectives. Different departments are human resource, operations, finance,
marketing and many others. The functions of different departments are varied from each other
but their goal is same. It develop positively on business and it will aids in enhancing probability
and development of business. In this, marketing department will require to work with production
function in order to assure the proper research and development is to be planned for satisfy
current needs of consumers. Marketing department will set the deadlines which may be stretch
capabilities of production department. An interrelation among marketing department and finance
department is that it assure about adequate budget for meet requirement for distribution, research
and promotion. Finance department have brief of whole organisation to assure that all business
operates within financial capabilities.

LO2
Ways under which various organisations apply marketing mix to marketing planning process to
attain business objectives
Marketing mix is explained combination of different factors, which can controlled by
company to influence the customers to purchase services or products. It is group of the marketing
variable that company combines and produce desired response in target market. Necessary
marketing tool comprise all components, which effect on demand for goods provided through
company (Lane, 2016).
There is comparison between marketing mix of Amazon and Alibaba. Both organisations
are deal in e- commerce. Amazon is technology firm and its focus on the e- commerce. It is
selling wide range of products like music, clothes, movies and books. On the other hand, Alibaba
is Chinese Multinational conglomerate holding organisation that specialise in e- commerce,
internet, retail and technology. This firm gives business- to- consumer, consumer- to- consumer
and business- to- business sales service through electronic payment services, cloud-computing
services, electronic payment services etc.
Comparison between Amazon and Alibaba mention below:
Basis Amazon Alibaba
Product Amazon deals in e- commerce and
providing different products like beauty
products, clothing, electronics etc. to
allow consumers to browse and buy goods
immediately. These all products delivered
to consumers through using delivery
service firms. This company has
developed more product base and also sell
everything such as Books, games,
clothing, Kindle, mobile phones etc. Some
of retail products are available on website
and firm sold under AmazonBasics Brand.
Primary product in Alibaba Group is
its E- commerce portal i.e.
Alibaba.com. It has distinction of
being largest business- to- business
portal in world. Alibaba provides
different services like safety and
trust, listing solutions, authentication,
protection etc. The Aliexpress is
online retail store for purchasing the
goods, which are mainly exported to
whole in more countries through
Chinese businesses. Taobao is largest
consumer-to-consumer-online
shopping platform that provides

commission free transactions
(Morgan, 2016).
Price Amazon company is market leader and
use competition based pricing strategy. As
this firm provide various types of services
and products which are provided in its
pricing strategies. Many of time, cost of
goods is set competitive pricing strategy.
It provides minimum cost of products and
it made possible through efficiency of the
business operations as well as web- based
business model. Amazon company adjust
cost frequently that based on category of
goods, season and time of day.
Alibaba uses penetration-pricing
strategy as it seeks to be enter in new
markets. In this pricing strategy,
company set low cost to enhance
sales as well as market share.
Therefore, it provides the cashbacks
and discounts to consumers on sites
and it minimize transactions. Some
services, which this company
provide, do not include any
transaction cost. Main revenue
earned through Alibaba is through
advertisements, which are done on
their site through businesses. On the
other hand, secondary revenue is
from the consumers’, which take its
membership.
Place Amazon is global brand and it has
presence in all over the world. All
customers purchase goods as well as
services from website and its application
to purchase (Okumus and Cetin, 2018).
Way used through Amazon company to
reach at target consumers are to be
determined in this marketing mix
component. Amazon uses different places
to reach at its e- commerce consumers
such as Amazon books, e- commerce
websites etc. It mainly uses its official e-
Place is general concept that
explaining how goods will get to
customers. The place consists all
targeted market outlets as well as
distribution tactics, which are
required to provide goods for sale to
people. Place consists all target
market outlets and distribution tactics
which required to provide good for
sale to people. Distribution channels
includes wholesalers, logistics and
some of the other intermediaries.

commerce website as primary place for
transacting with consumers.
Proper distribution is necessary in
attaining set marketing objectives of
Alibaba. Mainly this firm uses
Internet as intermediary.
Promoti
on
Amazon company uses an aggressive
marketing campaign in order to promote
its brand. Mainly it uses web-based
advertising and make use of the billboard
or small advertising method. It use the
creative social media marketing and
television commercials by SEO and the
targeting consumers by using browsing
patterns. Promotion is an effective way to
attracting the customers towards the
products and services of company (Perry
and Pyatt, 2015).
It is term that mainly used to explain
advertising, selling and publicity of
service or product. Promotion aids in
creating an awareness regarding
services and products to target
market. In this, Alibaba uses Internet
Promotion Strategy because it is cost
effective promotional tools in import/
export marketplace. Availability of
the internet banner regarding
Alibaba.com that take searchers
direct to main website. On the other
hand, media advertising helps to
more firms, which are familiar to
enhancing competition in present
market.
People Amazon organisation provides more
importance to its workforce. It provide
different benefits to employees, which are
working in this company. The advantages
are related to health, assistance programs
and finance. In this company, more than
2,30,800 staff members are working
across globe round clock in order to assure
the better customer experience. It also
provide the training and development
programmes to employee for enhance
The CEO of Alibaba organisation is
Jack Ma and Board of Director is top
management of Group. It is followed
through finance, customer service,
operations and marketing
departments. Low level is one having
sellers and manufacturers.

their skills.
Process Amazon is world leader in web services
and e-commerce. It divided its warehouses
strategically and fulfilment centres for the
operational efficiency. Amazon uses better
and advanced technology for support the
daily basis activities.
This company provides shopping
platforms and way whole procedure
takes place is verified. In this,
shopping can be done on wholesale
basis, customer and group shopping.
Physical
evidence
The physical evidence of Amazon is on its
website. As it is online retailer that
provide its services on its application and
websites. Fulfilment centres and
warehouses of Amazon are present in all
countries. This firm releases its all-
financial reports for its users and investors
on yearly basis through providing the
information regarding where it stands and
where it need to go.
In physical evidence, Alibaba
consists intangible aspects of
services such as delivery schedule,
which has to be promised. It is
necessary that products should be
delivered to consumers in the basis
of order and also quality desired
(Scott and Flynn, 2014). Transaction
should be trustworthy and smooth
and the e-commerce platforms
should be attractive and user
friendly.
M3 Various tactics applied through organisations to demonstrate how business objectives can be
attained
An organisation with their various organisational culture apply tactics to attain respective
business goals. For purpose of attaining aims of business, it is necessary for management of
Amazon to create effective or better business policies. Under this, there are different tactics
company can be used to attain objectives given below:
 Manager can provide training to employees so that their working efficiency and
performance level can be enhanced.
 It is necessary for Amazon to provide high quality of services to consumers.
 There is a need to evaluate various segments which are done for particular criteria.
 Developed positional strategy of company and then executed.