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Thursday, February 20, 2014

Amazon.com Social Media



Posting pictures of your friends and family, statuses about what you are doing today, sharing information about your life and finding out news all through the internet is the newest trend today.  Social media has changed the business world dramatically.  It can help spread awareness, increase customer base and allow people to find out the latest updates with a company.  It is almost a demand today that companies have a large presence on all social media channels if they want to keep up with competition.  Among many other businesses, Amazon.com is active online, but unlike any other organization it uses the online- social world in a very unique way. 
Amazons social strategy revolves around two big topics- “customer reviews” and “similar products.” Amazon’s “similar products” tool appears at the bottom of the page when you buy a product.  When a customer buys for example an Apple iPhone 5S, accessories and other Apple items that other customers who purchased the iPhone 5S also purchased shows up. Using this information and going one step further, Amazon uses algorithms that decide what products customers will by based on their previous purchases and then sends emails with those items.  This is very similar to a Facebook fan page that lists popular items. For example if Apple has a Facebook fan page for the iPhone 5S, on the bottom of the screen would appear five other top selling items that people are then exposed to.  Amazon is using the successes of social media and turning them into their own way of a successful business. 
Amazon has also utilized customer reviews which is a way for customers to see how other users liked the product they are about to buy.  Almost every single item has a customer review and rating.  They are allowed to put up honest reviews about when they received the item, if it worked the way it should, and if the price was worth it.  Using this, customers can know which ones they should buy and which ones they should not.  This is a social strategy that is beneficial only to the consumer and has allowed Amazon a competitive edge. Amazon does not try to hide the negative reviews.  Even the bad ones are left up there for other customers to know about. 
Similar to sending personalized emails targeting customer’s latest purchases and items suggested they buy in the future, Amazon uses search engine optimization as a tool to reach customers on a mass scale.  Search engine optimization is critical for the new social era and businesses need to use this to their advantage.  The more pages you have on your website, the more pages your site prospects to find you in search engines and more chances to rank for your business' top keywords.  Amazon has 248,000,000 pages stored in Google's index. Each of these 248,000,000 pages has the opportunity to rank for any number of keywords in search engines which means that more people are likely to be linked to the Amazon.com website. 
Amazon.com has made it possible to access your account through Facebook. This business tactic is called cross selling because it is selling and advertising products through a difference channel. Cross selling with Facebook is especially efficient because it is possible to see product reviews of items that their Facebook “friends” bought in the past and items that are put on their “Wish Lists.” Wish Lists are a way for Amazon shoppers to collect and save information about products they would like to have. Wish Lists can be marked private, but Amazon’s default setting for Wish Lists is for them to be public and viewable by anyone. For example, if a Facebook connected customer is looking at the Amazon Kindle Fire HD tablet, Amazon may show them reviews that their social connections have written and a list of their social connections who have put the tablet on their Wish Lists. Amazon may also use the consumer’s Facebook “Like” information to show their products that they may want to buy. For example, Amazon may show a consumer who on Facebook says they like the Beatles, the latest boxed set of music.
 Amazon has used social media to its advantage and partnered up with Facebook as a benefit for both companies.  Amazon.com also has their own Facebook page where employees are posting latest discounts and sales, raising awareness about certain products, and recruiting great people to work at Amazon.  Amazon also has their own Instagram where they post pictures of new products and places where individuals can visit on Amazon local, a website where individuals can buy discounted meals to restaurants and fun activities in their local area.  Amazon also uses Twitter to spread the word about their newest products and upcoming sales.  Amazon uses traditional social media outlets as well as the new innovative ideas they created.
Amazon also has an app that can be installed on any device where individuals are linked right to their accounts and can order items from anywhere with internet access.  This allows people to order items when they are traveling, in need of something fast, or do not have access to a computer.  This app includes all features of the website and you can even input credit card information. Allowing individuals to have access anytime, anywhere makes Amazon a fierce competitor. Part of the app is the “scan it” feature which allows individuals to scan a bar code of an item they are holding in their hand at a different store and it will tell them how much it costs at that store.  It also shows similar products on Amazon.com and gives the price, pictures, and customer reviews about those items.  All the information will pop up about the item to give the customer everything they want to know so that they can make an informed purchase decision.  Personally I almost always end up buying items from Amazon.com because it is a better quality item for a lower cost.
Social media will continue to be a vital part of the world and will continue to help businesses grow.  Although it can be very helpful, it is important to learn how to do it correctly so the results are positive.  Amazon.com has used popular ways as well as designed upcoming and creative ways of capturing the public eye through online social media. I look forward to seeing what Amazon comes up with next to attract individuals to purchase their products and what makes them stick out from the rest of the competition.

Thursday, February 6, 2014

Introduction: Amazon.com



From what once started as an online bookstore in 1994 in Jeff Bezos’s garage, Amazon.com has now grown into the largest internet retailer and 56th largest company in the United States.  Listed as number 49 on Fortune magazine’s “Fortune 500” and making 61 billion dollars in revenue in 2013, Amazon is predicted to make a huge mark on the business world.  My name is Justina Hartman and I am a senior at Union College and for the next for the next 3 months I will be discussing Amazon.com.   I will be talking about the ups and downs of the business, new products, events, trends, customer service, employee relations, social media and much more.  I chose Amazon.com as the target of my research because I believe that one day it may be the only retailer. As crazy as that seems Amazon.com is unlike any other business today.  The business design goes back to the age- old industry of retail where the goal is to “getting the products from the people who make them to the people who want them” (Matthews, TIME).  The idea behind this is that customers can purchase anything they want from anywhere in the world all from one website.

            Known as the fourth  most successful startups of all time, Amazon.com is an e-commerce company that sells DVD’s, VHS’s, CD’s, music, video games, electronics, apparel, furniture, toys, jewelry, and food.  In 2007 Amazon introduced the Amazon Kindle e- reader and later the Kindle Fire tablet computer in 2010. This ground breaking technology created a competitive advantage for the company and increased its reputation and revenues. 

The biggest department of Amazon that has given it the excellent reputation that it has today is the customer service department.  Searching and purchasing an item on Amazon.com is fast and efficient.  If a customer finds an item on a different website but it is above their budget, if they search for the same product on Amazon, chances are that they will have it and it will be much cheaper. Deliveries are fast, reliable and possibly free! Another tactic that Amazon uses that makes it number one in customer service is the refunds they reimburse customers with if there is a problem.  They make it easy, fast, and with no hassle. Fast response time is extremely critical for an online retailer and when a customer feels that the company cares about them, it leaves a positive image in their mind. Amazon answers in no less than an hour with a response that will completely satisfy the customer. Giving them the opportunity to track their package, find out exactly when they are going to receive it, or to see if it gets stuck along the way is another positive strategy of Amazon’s. Many individuals find the idea of computer tracking “cookies” to be intruding their privacy but Amazon has done an outstanding job of utilizing this information by creating full customer profiles that help customers find the products they are looking for. The CEO Jeff Bezos says that there is a difference between customer service and customer experience.  He says that “customer experience begins when the customer begins shopping for a product on Amazon and ends when that product is delivered and meets all the expectations of the customer… Customer service is a part of the customer experience that involves the direct contact customers have with employees of the company. Customer service is an important component to building customer loyalty.” (Estep, Examiner).  I believe that this distinction makes Amazon a leader in the business world.  Customer service is a form of public relations because that is the communication between the company and the public and the image the public has of that company.  Positive customer service really does impact the way a customer views the company and if they will return.

            In 2010 an article was released by the Huffington Post which discussed the working conditions of Amazon warehouse workers.  The article talked about a job advertisement that was released in a local newspaper in Coffeyville, Kansas asking for help during the busy winter season. The post “specifies that people involved in "Picking/Order Selection" are required to stand on feet for 8-10 hours, and walk 10-15 miles a day… To do shipping, potential employees must be able to stand on feet for 8-10 hours… And workers in 'receiving' are required to stand fairly stationary throughout shift for 8-10 hours, while they also have to lift, bend, stoop and squat repetitively" (Bosker, Huffington Post).  This is an example of a public relations issue that the staff has to deal with.  Another example was when an Amazon worker sued the company for shorting at least 2,100 warehouse workers nationwide overtime pay. Other issues include workers complaining that they were refused sick leave, made to work a 10- hour overnight shift, given quotas for amount of packing needed to be done within the hour, penalizes those who do not meet quota, and given only one break of 15 minutes every eight- hour shift. These are current issues that have been dealt with in the past and continue to be worked on. Customer relations are a big part of the company and customers are interested in knowing that where they receive their merchandise from is treating their employees well. This gives Amazon.com a bad reputation and the public relations people need to work towards improving it.