• Summer Swinson

Case Study - Amazon

Amazon has worked very hard to cater to their customer base. They pride themselves in finding the needs of their consumers, as well as identifying “pain points” and soothing them. From the beginning, Amazon has made it their goal to stick with being straightforward and honest and providing their service with integrity instead of using flashy gimmicks and marketing tricks to lure in their customers (The Secret 2016).

With the introduction of Prime Membership to loyal consumers in 2005, they began providing something that they new their customers wanted - free two-day shipping. This provided an incentive for those who were making lots of purchases (or planning to), to save money on the cost of transporting their goods to their doorsteps. The Prime Membership has continued to grow for members and now includes rewarding offerings, such as unlimited streaming of movies, and borrowing books from the Kindle Store. Amazon recognized the value in instituting a loyalty program and it has served them well, creating loyal customers who conduct the majority of their online shopping through the Amazon platform.

With integrity at their basis, Amazon makes sure to “do right by their customers”, in any way possible. One example of this can be seen in their “0.16 cent Marketing Strategy” (The Secret 2016). When a price for an item drops immediately after purchase, Amazon will credit the difference back to the customer as a gesture of honest business practice. Though this may seem like a small gesture, it speaks volumes for the company and their ethical business practices, and is not overlooked by the consumers.

Along with the service that they provide, Amazon also has an incredible presence on social media (Borison 2017). Among the other brands that are ranking highly in the category of most influential brands (Apple, Google), Amazon stands out as having the most engaging presence on social media platforms by creating consistent and appealing content, as well as interacting with their audience in a way that is lacking from Google and Apple.

However, with all this success and growth, Amazon certainly has faced challenges. As an innovator, they have produced many different products that seemed solid in theory but ended up as a costly flop, such as the $170 million dollar loss from the Fire Phone (Borison 2015). In contrast, these bold ventures have helped Amazon grow and branch out into verticals that they wouldn’t have even known existed if it weren’t for trying it out. CEO Jeff Bezos has a philosophy that trial and error is vital to success; “What really matters is, companies that don’t continue to experiment, companies that don’t embrace failure, they eventually get in a desperate position where the only thing they can do is a Hail Mary bet at the very end of their corporate existence,” (Kim 2015).

There is a lot to be learned from the e-Commerce giant. Through their ethical business practices and customer service, to their innovative ideas - it is a combination of their wins and their losses that have contributed to their monumental success.


Amazon’s Customer Loyalty Eats Into Competitors. [Digital Article]. Published on November 29th, 2016. Retrieved on November 14th, 2017 from

Behind Amazon’s success is an extreme tolerance for failure. [Digital Article]. Published June 17th, 2017. Retrieved on November 14th, 2017 from

Borison, R. Amazon Leads the Way as Most Influential Brand on Social. [Digital Article]. Retrieved on November 14th, 2017 from

Borison, R. Here Are 10 of Amazon's Biggest Failures. [Digital Article]. Published on November 13th, 2017. Retrieved on November 14th, 2017 from

Kim, E. Jeff Bezos says Amazon is not afraid to fail — these 9 failures show he's not kidding.[Digital Article]. Published on October 21st, 2015. Retrieved on November 14th, 2017 from

The Secret to Amazon’s Customer Loyalty Success. [Digital Article]. Published on February 26th, 2016. Retrieved on November 14th, 2017 from


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