MKT00720 - Analyzing Marketing Strategies of Amazon Australia

This report provides an in-depth analysis of Amazon Australia's marketing strategies, evaluating their effectiveness and exploring future marketing options for sustained growth. It begins with a background of the company, followed by a detailed examination of its marketing strategies, including low pricing, free shipping, glocal approach, and promotional activities. The report further investigates potential marketing options such as video product reviews, improved advertisement targeting through Facebook and Google, email marketing, new product launches, search engine optimization, and same-day delivery. It also emphasizes the importance of competitive strategies to address competition from major players like Coles and Woolworths. The conclusion summarizes key findings and emphasizes the need for continuous adaptation and innovation to maintain a competitive edge in the Australian market. Desklib offers a wealth of resources, including similar solved assignments and past papers, to support students in their academic endeavors.

Amazon Australia

Marketing and management
Executive summary
In this report the emphasis will be given on the marketing strategies of the Amazon Australia. It
has been investigated that marketing strategies are important to be considered so that goals can
be attained. In the first phase of the report the focus will be given on the background of Amazon
Australia and then discussion will be made on the marketing strategies. The second phase of the
report will be related to Marketing options of Amazon Australia to thrive in future. The last
phase of the report will focus on the overall concluding part or the analysis of the report.
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Marketing and management
Table of Contents
Executive summary.........................................................................................................................1
Introduction......................................................................................................................................1
Background of the company............................................................................................................1
Marketing analysis of Amazon Australia........................................................................................2
Nature of marketing strategies of Amazon Australia...................................................................2
Marketing options of Amazon Australia to thrive in future.........................................................3
Conclusion.......................................................................................................................................5
References........................................................................................................................................6
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Marketing and management
Introduction
Amazon is considered as the largest company in the cloud computing sector and also the
company was established in 1994. The company was established by Jeff Bezos and headquarter
of the company is in Washington (Amazon, 2018).It has been examined that company enhanced
the activities in various parts of the world. In this paper the discussion will be made the various
marketing strategies which are considered by the company. In the next phase of the report the
discussion will be made on the two factors which include the marketing strategies from the year
it was established and also the strategic marketing operations that help to grow in the Australian
market. Also the emphasis will be given on the marketing activities which aim to ensure the
overall activities of the company. The paper also emphasizes o the overall analysis related to the
company by considering various theories and frameworks.
Background of the company
Amazon is one of the biggest companies with the large market share. Headquarter of the
company is in Settle, Washington. The founder of the company is Jeff Bezos. It has been
investigated that company is the fourth biggest company on the global platform after Microsoft,
apple and Alphabet. In 2017, the company decided to enter into the retail sector in Australia. The
main aim of the company is to launch the products on the global platform. It company also
achieved the large market share on the global platform. The office of the company is in
Melbourne. The company also offers various discounts to the customers so that it can be simple
to maintain the large customer base in the competitive market. The manager of the company
would be Mr. Rocco Braeuniger who was linked previously with Amazon Germany (Amazon,
2018).
Marketing analysis of Amazon Australia
Nature of marketing strategies of Amazon Australia
Amazon Australia is providing various types of products in every sector which is offered the
company. It has been seen that company is offering computers, electronic gadgets, books, games
and stationery products. The aim of the company is to launch the new products in the market so
that it can be easy to have hold on the market. It can also help to attain large customer’s base
which will directly affect the growth of the company. One of the strategies of the company is
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Marketing and management
related with the Amazon marketplace in which it gives permission to the third party retailers to
shortlist the products with the help of the Amazon website and also the price are set by
themselves. To maintain its image in the market the company takes into consideration various
strategies so that it can be easy to attain goals and objectives (Voigt, Buliga and Michl,2017).
The first strategy is related with offering product at low price. Amazon Australia offers products
and services at low price if comparison is made with the competitor in the same sector. The
products which are offered by the company are of good quality which enhances the satisfaction
level of the customers. Less price products attracts more customers towards the products
(Cusumano, 2017). So, the company should focus on giving products at low price so that large
market share can be grabbed.
The next strategy is related with shipping. The company focuses on providing the products by
not taking any cost of delivery. The delivery is done for free and also the products are delivered
to the customers in less time which helps to maintain good image in the mind of the customers.
Shipping cost should not be taken from the customers so that it can be easy to maintain the image
in the market (Becerril-Arreola, Leng and Parlar, 2013).
Glocal is also considered as the strategy which is considered by the company. This strategy assist
in focusing on the customer behavior and also it helps to analyze the requirement of the
customers. This is one of the best strategies that help the company to expand its share in the
competitive market (Luthans and Doh, 2018).
Promotional strategy is also the strategy on which the company emphasizes as it can help to
maintain the image in the market. Through this company offers various discounts and offers
which attract customers towards the products and services. In the present era, to compete in the
market the company is offering various discounts through which the sales of the company
enhances and also it can be simple to accomplish goals and objectives for the company. The aim
of the promotional strategy is to introduce the products in the market so that it can be simple to
achieve high level of satisfaction of the customers (Grant, 2016).
Marketing options of Amazon Australia to thrive in future
By focusing on the overall analysis it has been seen that Amazon Australia is focusing on being
the sixth biggest player in the retailing sector. There are many competitors of the company in the
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Marketing and management
market like Coles and Woolworths. It is important for the company to maintain goodwill in the
market so to achieve success the company should focus on considering various marketing
options so that the large market share can be attained in the competitive market. There are
various marketing options related to Amazon Australia.
The first is related with introduction of the video product review. It has been examined that if
Video product review feature is adopted by Amazon Australia, then it can help the customers to
enhance the shopping experience. This feature will help the customers to review the product and
through this they can easily get the detailed information about the product. This is considered as
the best feature that will help the customer to review the product and also help the customers to
purchase the products of the company. This would assist the future buyers to be aware and also
through this it can be easy to have a proper look on the products offered by the company (Xu,
Chen and Santhanam, 2015).
The customers will also have the chance to see that product quality is high or low. This feature
will give a detailed insight of the product to the customers and through this it can be easy to
purchase the product easily. This can help the company to enhance the entire demand of the
products which are available on the site (Madsen and Walker, 2015).
The next is related with better advertisement that can help to target the group of customers.
Amazon Australia should focus on bring improvisation in the advertisement targeting strategies
so that it can be easy to capture the large market share of Australia. It has been seen that Amazon
Australia should consider the use of Facebook and Google so that targeting approach can be
considered and also it will help to enhance the sponsorship of the products in the market. Also
Amazon Australia should emphasize on considering the latest technologies like Geotargeting,
Day parting and also mobile bid differentiation so that it can be easy to target the potential
customers. By taking into consideration these features Amazon Australia can easily target the
group of the customers and also through this it can be easy to maximize the profitability (White
et al., 2014).
One of the best strategies is also related with email marketing in which the promotions can be
done easily. Amazon Australia should consider this strategy so that information can be given to
the customers easily. It has also been analyzed that the ratio related with using the internet in the
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Marketing and management
Australian market is high so that they can easily get the information about the products and
services in the market. It can also be simple or the company to enhance their customer’s base
which will directly impact the overall image of the company. By offering various discounts it can
be seen that company can attract customers towards the products and services. Customers
purchase those products that are offered in fewer prices (Rothaermel, 2015). So, the company
should focus on giving products at low price so that growth can be attained.
Launching of the new product in the market is also considered as the best strategy that should be
considered by the company. To achieve success Amazon Australia should focus on innovating
new electronic devices for the customers so that it can be easy to enhance their overall
satisfaction level of the customers. The products of the company like Amazon Kindle and also
Kindle fire tablets are the popular sources in the eyes of the customers. It is important for the
company to focus on innovation strategy so that it can be easy to grab the large market share in
the Australian market. According to the need of the customers it is important for the company to
launch the new products in the market so that the demand for the specific products can be
enhanced (Newcombe et al., 2015).
The next strategy is related with search optimization in which the focus is given on the search
engine overall results. It has been seen that there are various factors which can help to achieve
success like customer experience. Also the rate of conversion and time on page so it is necessary
to emphasizes on the overall process of feedback and customer experience. It is also important to
develop a proper strategy related to feedback so that right customers can be selected and also it
helps to emphasize on the overall reviews of the company. It is the best way to attract the
customers towards the products. In this when the customers search for any products then they
should first get the link of the company so that they can easily purchase the products and also it
will affect the sales of the company (Narula and Jain, 2015).
Same day delivery is also considered as the effective strategy that can help Amazon Australia to
achieve growth in the market. In this it is important for the company to ensure that the order
given by the customers by be delivered within the two business days so that it can be easy to for
the customer to rely on the services and also it give positive impact on the entire activities of the
company. This approach is considered as an effective strategic approach that can help the
company to attain competitive advantage (Ritala, Golnam and Wegmann, 2014). There are also
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Marketing and management
various modifications that should be considered by the company so that the competition which is
prevailing in the market can be minimized. There are various competitors in the market like
Coles and Woolworths. Amazon Australia should focus on ensuring the same time delivery to
the customers so that the issue related with cancellation of the orders can be reduced. If the
products are delivered on time to the customers then customers don’t have the choice to cancel
the orders, so it is directly considered as the advantage for the company. This will also help to
enhance the variety of the products that are considered by Amazon Australia.
Conclusion
By analyzing the overall factors it has been concluded that Amazon Australia should consider the
strategies so that the objective to attain large market share can be fulfilled. Also through this the
company can easily penetrate in the market and can maintain the strong hold on the overall
market share. If these strategies are implemented in a proper manner then it can be helpful for the
company to manage the entire activities on the global platform. These marketing strategies will
also help to give tough competition to the competitors prevailing in the market. To be successful
in the market it is necessary for the company to focus on the strategies like search engine , fast
delivery and introducing new products as these strategies will help to accomplish overall goals
and objectives in the competitive market.
On the best strategy is promotional strategy that should be taken into consideration by the
company so that customers can be aware about the services and products in the market. These
strategies can help to accomplish the goals and enhance the demand of the products which are
offered by the company.
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References
Amazon. 2018. Amazon in Australia [online]. Available at:
https://blog.aboutamazon.com.au/amazon-in-australia. [Accessed 20 Sep. 2018].
Becerril-Arreola, R., Leng, M. and Parlar, M., 2013. Online retailers’ promotional pricing, free-
shipping threshold, and inventory decisions: A simulation-based analysis. European journal of
operational research, 230(2), pp.272-283.
Cusumano, M.A., 2017. Amazon and whole foods: follow the strategy (and the
money). Communications of the ACM, 60(10), pp.24-26.
Grant, R.M., 2016. Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.
Luthans, F. and Doh, J.P., 2018. International management: Culture, strategy, and behavior.
McGraw-Hill.
Madsen, T.L. and Walker, G., 2015. Modern competitive strategy. McGraw Hill.
Narula, S. and Jain, A., 2015, February. Cloud computing security: Amazon web service.
In Advanced Computing & Communication Technologies (ACCT), 2015 Fifth International
Conference on (pp. 501-505). IEEE.
Newcombe, C., Rath, T., Zhang, F., Munteanu, B., Brooker, M. and Deardeuff, M., 2015. How
Amazon web services uses formal methods. Communications of the ACM, 58(4), pp.66-73.
Ritala, P., Golnam, A. and Wegmann, A., 2014. Coopetition-based business models: The case of
Amazon. com. Industrial Marketing Management, 43(2), pp.236-249.
Ritala, P., Golnam, A. and Wegmann, A., 2014. Coopetition-based business models: The case of
Amazon. com. Industrial Marketing Management, 43(2), pp.236-249.
Rothaermel, F.T., 2015. Strategic management. McGraw-Hill Education.
Voigt, K.I., Buliga, O. and Michl, K., 2017. Creating the Global Shopping Mall: The Case of
Amazon. In Business Model Pioneers (pp. 67-77). Springer, Cham.
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White, I., Caro-Bruce, T., Fazal, R. and Walker, N., Urban Mapping LLC, 2014. Generating
geographical keywords for geotargeting search engine-offered advertisements. U.S. Patent
8,825,683.
Xu, P., Chen, L. and Santhanam, R., 2015. Will video be the next generation of e-commerce
product reviews? Presentation format and the role of product type. Decision Support Systems, 73,
pp.85-96.
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