Think Amazon is influential? It is.

by / Thursday, 16 January 2014 / Published in Blog, E-Commerce, Featured, Latest posts, Shopper Science, Social Shopping
I am keeping Amazon in business. They are my go-to for pricing benchmarks, my Google for goods and my replenishment source for essentials (via Prime).

I am obviously not alone.

The only time Amazon doesn’t get my business is when two days is too long to wait. Then it’s Google Shopping Express. Frankly though, my diapers from Target and tooth paste from Walgreens (with no delivery or other charge) is likely hurting Google’s bottom line more than it’s helping it. Hello Amazon Fresh, why yes I’ll try your free trial too.

The coverage of Jeff Bezos’s statement that Amazon would be using drones for delivery was telling. It spread like wildfire, dominating the Black Friday weekend, which shows that:

1. People believe Amazon is capable of doing almost anything (If the CEO of JC Penney had talked about drones the story would have been about him being crazy).

2. Retailers are scared of Amazon and being scared means Amazon’s every move captures attention. Our main affiliation with drones is war. Defense tactics are in effect.

Fluid has been thinking a lot about Amazon. From Amazon’s best-in-class features to their bootstrapping of ecommerce success to tactics that position retailers selling against Amazon to excel. Amazon will absolutely influence the way digital shopping happens in 2014. So will we.

At the outset of 2014, our Amazon conversation starts with The Proof and The Truth.

Amazon – The Proof:
In Q4 2013, Fluid surveyed 3000+ digital shoppers. (We’re taking Shopper Science seriously). We asked them to think about the last item they bought online. Where did they buy it?

1/3 of digital shopper’s last online purchase was at Amazon.

Even more interesting is the variance by category. Only 11% of those who last bought apparel/shoes bought at Amazon, 20% for jewelry/accessories, 25% for sport/outdoor. In other words, Amazon hasn’t conquered all categories.

You can see the data detail in this infographic (Amazon stats are at the bottom).

Amazon – The Truth:
Amazon has drones and dominance. Is this digital Darwinism where only those who can compete on price survive? What are retailers to do? Andrew Sirotnik, Chief Experience Officer and Co-Founder of Fluid, tells it like he sees it in Forbes. Smart opinions. Concrete strategies. And hope in the form of exploiting what Amazon can never do.

So the dialog continues. So do the strategies, tactics and innovations on behalf of our clients. I’m always a fan of racing our own race vs. getting distracted by competitors we can’t control, but I like the way Amazon is raising bar. It’s making us all better.

Onward 2014,
[Shopper Science]

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