Amazon India

Abhay_018
Abhay_018Student at Gautam Buddha University
Abhay Prakash Dubey
15/IMB/002
Gautam Buddha University
MESSAGE BEHIND LOGO
• The Amazon logo was created to represent the message that it sells everything from A
to Z (the arrow connects the two letters) and also represents the smile that customers
would experience by shopping on theAmazon.com Web
I
N
D
E
X
01
02
03
04
05
06
07
08
Company Profile
Product Offered
Operating Countries
Company Rating
Market Share
Market Strategy
Mode Of Entry
SWOT Analysis
AMAZON.COM INC
• Amazon.com, also called Amazon, is an American electronic commerce and cloud
computing company that was founded on July 5, 1994, by Jeff Bezos and is based in Seattle,
Washington. It is the largest Internet-based retailer in the world by total sales and market
capitalization.Amazon.com started as an online bookstore, later diversifying to sell DVDs,
Blu-rays, CDs, video downloads/streaming, MP3 downloads/streaming, audiobook
downloads/streaming, software, video games, electronics etc. The company also produces
consumer electronics—notably, Kindle e-readers, Fire tablets, Fire TV, and Echo—and is the
world's largest provider of cloud infrastructure services.Amazon also sells certain low-end
products like USB cables under its in-house brand AmazonBasics.
• Amazon has separate retail websites for the United States, the United Kingdom, Ireland,
France, Canada, Germany, Italy, Spain, Netherlands, Australia, Brazil, Japan, China, India, and
Mexico. Amazon also offers international shipping to certain other countries for some of its
products. In 2016, Dutch, Polish, and Turkish language versions of the German Amazon
website were launched.
• In 2015, Amazon surpassed Walmart as the most valuable retailer in the United States by
market capitalization, and was in the third quarter of 2016 the fourth most valuable public
OPERATING COUNTRIES
1. United Kingdom
2. Ireland
3. France
4. Canada
5. Germany
6. Italy
7. Spain
8. Netherlands
9. Australia
10. Brazil
11. Japan
12. China
13. India
14. Mexico
MODE OF ENTRY
• Amazon India has signed up Aditya Birla Group-owned online fashion store abof
(Aditya Birla Online Fashion) as a seller on its marketplace in a move that will help the
Seattle-headquartered company expand its offerings in the high margin fashion
business while exposing abof to a wider audience base during the coming festive
season. Initially, abof will list more than 1,200 products in apparels, priced between INR
395 and INR 1,995 and will launch footwear and accessories in the coming months.
Amazon claims to sell more than two million fashion products from 15,000 brands.
Amazon launched fashion in a full-fledged way only towards the end of 2014 but it has
quickly caught up with Flipkart by spending thousands of million on marketing, forging
alliances with fashion labels, offering deep discounts through the year and delivering
products fast.
PRODUCT OFFERED IN INDIA
• Amazon Device Accessories
• Baby Products (excluding
apparel)
• Books
• Cameras, Camcorders,
Telescopes
• Cell Phones
• Consumer Electronics
• Electronics Accessories
• Home Appliances
• Music CDs, Cassettes,
Vinyl, and other sound
recordings
• Musical Instruments
• Office Accessories
• Office Products Supplies,
Furniture, Printers,
Calculators
• Personal Computers
• Software & Computer
Games
• Tools & Home
Improvement
• Toys & Games
• Video Games & Video
Game Consoles Types of
Products
MARKET SHARE OF AMAZON INDIA
44%
32% 15%
7%
2%
9%
Market Share 2015
Flipkart
Snapdeal
Amazon India
Paytm
Others 45%
26% 12% 7%
10%
17%
Market Share 2016
Flipkart
Snapdeal
Amazon India
Paytm
Others
MARKET SHARE OF AMAZON UK
62%
22%
12%
2%1%1%
2016
Others
Ebay
Amazon
Argos.co.uk
Marksandspenser.com
Next.co.in
Tesco.com
DISTRIBUTION CHANNEL :-
DIGITAL
• E-Books-Kindle reader
• AmazonMP3 & Cloud Player
• Instant Video
• AppStore for android
• Amazon Cloud drive
• Amazon Game Studios & Softwares
“On-line channel has significant cost benefit”
Digital Channel
Digital Channel
Distribution channel -
Physical
• • Centralized distribution centers
• Faster response time
• Lower transportation cost
• Use a hybrid approach in stocking and pricing
• Pricing varies for delivery options
• Supply Chain Strategy
• Pure pull
• Pure push
• Push-pull Physical Channel
Physical Channel
Have an holding
inventory of 15
days and an
inventory
turnover of 26.
And also a credit
period of 45 days
from its suppliers.
Amazon's goal is to
collaborate with
suppliers to increase
efficiencies and improve
inventory turnover
Amazon India
Amazon India
AMAZON INDIA COMPETITORS
S W O T
Swot Analysis
STRENGTH
•Brand well known along with a strong customer base in many
parts of the world.
• Diverse product offerings
• Free home delivery above a minimum purchase
• Working with minimum profit and gaining from economies of
scale.
• Strong business relationships with publishing houses, major
electronic companies etc.
• Experience of almost a decade in online shopping industry
WEAKNESS
•Operates at very low margin.
•Criticism for its working conditions.
• ‘KINDLE’ is not up to the mark of its competitors
OPPORTUNITIES
•Acquiring more small business enterprises, enabling them to
expand.
• Opening physical stores so as to give the customers a feel of touch
and experience
• Indian retail industry is estimated to be $450 Billion .
•Expand into more product segments
•Tie ups with major players of untapped market
THREATS
•Online security threats
•Regional low-cost retailers
• Strong online presence of Indian competitors like Flipkart and
Myntra
• Flexible rules against FDI enabling other major players like Wal-
Mart etc. to enter
THANK YOU
1 von 23

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Amazon India

  • 2. MESSAGE BEHIND LOGO • The Amazon logo was created to represent the message that it sells everything from A to Z (the arrow connects the two letters) and also represents the smile that customers would experience by shopping on theAmazon.com Web
  • 3. I N D E X 01 02 03 04 05 06 07 08 Company Profile Product Offered Operating Countries Company Rating Market Share Market Strategy Mode Of Entry SWOT Analysis
  • 4. AMAZON.COM INC • Amazon.com, also called Amazon, is an American electronic commerce and cloud computing company that was founded on July 5, 1994, by Jeff Bezos and is based in Seattle, Washington. It is the largest Internet-based retailer in the world by total sales and market capitalization.Amazon.com started as an online bookstore, later diversifying to sell DVDs, Blu-rays, CDs, video downloads/streaming, MP3 downloads/streaming, audiobook downloads/streaming, software, video games, electronics etc. The company also produces consumer electronics—notably, Kindle e-readers, Fire tablets, Fire TV, and Echo—and is the world's largest provider of cloud infrastructure services.Amazon also sells certain low-end products like USB cables under its in-house brand AmazonBasics. • Amazon has separate retail websites for the United States, the United Kingdom, Ireland, France, Canada, Germany, Italy, Spain, Netherlands, Australia, Brazil, Japan, China, India, and Mexico. Amazon also offers international shipping to certain other countries for some of its products. In 2016, Dutch, Polish, and Turkish language versions of the German Amazon website were launched. • In 2015, Amazon surpassed Walmart as the most valuable retailer in the United States by market capitalization, and was in the third quarter of 2016 the fourth most valuable public
  • 5. OPERATING COUNTRIES 1. United Kingdom 2. Ireland 3. France 4. Canada 5. Germany 6. Italy 7. Spain 8. Netherlands 9. Australia 10. Brazil 11. Japan 12. China 13. India 14. Mexico
  • 6. MODE OF ENTRY • Amazon India has signed up Aditya Birla Group-owned online fashion store abof (Aditya Birla Online Fashion) as a seller on its marketplace in a move that will help the Seattle-headquartered company expand its offerings in the high margin fashion business while exposing abof to a wider audience base during the coming festive season. Initially, abof will list more than 1,200 products in apparels, priced between INR 395 and INR 1,995 and will launch footwear and accessories in the coming months. Amazon claims to sell more than two million fashion products from 15,000 brands. Amazon launched fashion in a full-fledged way only towards the end of 2014 but it has quickly caught up with Flipkart by spending thousands of million on marketing, forging alliances with fashion labels, offering deep discounts through the year and delivering products fast.
  • 7. PRODUCT OFFERED IN INDIA • Amazon Device Accessories • Baby Products (excluding apparel) • Books • Cameras, Camcorders, Telescopes • Cell Phones • Consumer Electronics • Electronics Accessories • Home Appliances • Music CDs, Cassettes, Vinyl, and other sound recordings • Musical Instruments • Office Accessories • Office Products Supplies, Furniture, Printers, Calculators • Personal Computers • Software & Computer Games • Tools & Home Improvement • Toys & Games • Video Games & Video Game Consoles Types of Products
  • 8. MARKET SHARE OF AMAZON INDIA 44% 32% 15% 7% 2% 9% Market Share 2015 Flipkart Snapdeal Amazon India Paytm Others 45% 26% 12% 7% 10% 17% Market Share 2016 Flipkart Snapdeal Amazon India Paytm Others
  • 9. MARKET SHARE OF AMAZON UK 62% 22% 12% 2%1%1% 2016 Others Ebay Amazon Argos.co.uk Marksandspenser.com Next.co.in Tesco.com
  • 11. • E-Books-Kindle reader • AmazonMP3 & Cloud Player • Instant Video • AppStore for android • Amazon Cloud drive • Amazon Game Studios & Softwares “On-line channel has significant cost benefit” Digital Channel Digital Channel
  • 13. • • Centralized distribution centers • Faster response time • Lower transportation cost • Use a hybrid approach in stocking and pricing • Pricing varies for delivery options • Supply Chain Strategy • Pure pull • Pure push • Push-pull Physical Channel Physical Channel
  • 14. Have an holding inventory of 15 days and an inventory turnover of 26. And also a credit period of 45 days from its suppliers. Amazon's goal is to collaborate with suppliers to increase efficiencies and improve inventory turnover
  • 18. S W O T Swot Analysis
  • 19. STRENGTH •Brand well known along with a strong customer base in many parts of the world. • Diverse product offerings • Free home delivery above a minimum purchase • Working with minimum profit and gaining from economies of scale. • Strong business relationships with publishing houses, major electronic companies etc. • Experience of almost a decade in online shopping industry
  • 20. WEAKNESS •Operates at very low margin. •Criticism for its working conditions. • ‘KINDLE’ is not up to the mark of its competitors
  • 21. OPPORTUNITIES •Acquiring more small business enterprises, enabling them to expand. • Opening physical stores so as to give the customers a feel of touch and experience • Indian retail industry is estimated to be $450 Billion . •Expand into more product segments •Tie ups with major players of untapped market
  • 22. THREATS •Online security threats •Regional low-cost retailers • Strong online presence of Indian competitors like Flipkart and Myntra • Flexible rules against FDI enabling other major players like Wal- Mart etc. to enter