product and brand management project on smartphone & Amazon

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Page | 1 Product and Brand Management Project A STUDY ON SMARTPHONE & AMAZON GROUP MEMBERS Avishek Majumdar 030105035 Mainak Ghosh 030105034 Shubhadeep Bhaumik 030105079 Tanmoy Roy 030105007 Submitted to: Dr.Debraj Dutta

Transcript of product and brand management project on smartphone & Amazon

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Product and Brand Management Project

A STUDY ON SMARTPHONE & AMAZON

GROUP MEMBERS

Avishek

Majumdar

030105035

Mainak Ghosh 030105034

Shubhadeep

Bhaumik

030105079

Tanmoy Roy 030105007

Submitted to: Dr.Debraj Dutta

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Smartphone

A smartphone is a mobile phone (also known as cell phones) with an advanced mobile operating

system which combines features of a personal computer operating system with other features

useful for mobile or handheld use. Smartphone’s, which are usually pocket-sized, typically

combine the features of a mobile phone, such as the abilities to place and receive voice calls and

create and receive text messages, with those of other popular digital mobile devices like personal

digital assistants (PDAs), such as an event calendar, media player, video games, GPS navigation,

digital camera and digital video camera. Most smart phones can access the Internet and can run a

variety of third-party software components ("apps"). They typically have a colour display with a

graphical user interface that covers 70% or more of the front surface. The display is often a touch

screen, which enables the user to use a virtual keyboard to type words and numbers and press

onscreen icons to activate "app" features.

Smartphone’s became widespread in the late 2000s. Most of those produced from 2012 onward

have high-speed mobile broadband 4G LTE, motion sensors, and mobile payment features. In the

third quarter of 2012, one billion smart phones were in use worldwide. Global Smartphone sales

surpassed the sales figures for regular cell phones in early 2013.As of 2013, 65% of mobile

consumers in the United States owned smart phones. By January 2016, Smartphone held over

79% of the U.S. mobile market.

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Topic 1: Category attractiveness analysis

Porter’s Five Forces Theory

• Porter’s 5 Forces is one of the most recognized frameworks, used to assess the

competitiveness and attractiveness of a particular company and its industry.

• Named after Harvard professor, Michael E. Porter, this framework identifies five forces

that can help investors identify opportunities and threats within an industry.

• The 5 forces are: threat of new entry, supplier power, buyer power, threat of substitution

and competitive rivalry.

• While Porter’s is good at examining a company’s strengths and weaknesses, it’s only

meant as a starting point and may not be predictive of the long-term.

Competitive Rivalry

1. Intense competition is forcing many vendors and operators to drastically change their business

models out of the market as economies of scale, segment leadership, brand power and

distribution become key determinants of success.

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2. There is also very little differentiation between the competitors and the loss of market share of

Nokia during recent years means that any new smart phones in the market will find it difficult to

tempt existing competitor device consumers to switch.

3. The smartphone segment offers the largest returns for many in the mobile value chain, and it

has therefore become the most competitive – attracting all the major vendors competing across

various operating systems and price tiers.

4. Brand identity is vital for long term success in mobile phones market. But there is still

growing competition e.g. from Chinese 'micro brands' and grey market (mainly in the emerging

regions like India).

5. Over 2011 Nokia’s sales were down 18% in China, 27% in Europe and 61% in North

America. Nokia has faced increased competition from low-cost phone manufacturers such as

Huawei (mostly in China and Europe).

Price wars

Large industries allow multiple firms and produces to prosper without having to steal market

share from each other. Large industry size is a positive for Smart Phone Industry This

statements will have a short-term positive impact on this entity, which adds to its value.

When industries are growing revenue quickly, they are less likely to compete, because the total

industry size is also growing. The only way to grow in slow growth industries is to steal market-

share from competitors. Fast industry growth positively affects Smart Phone Industry.

When exit barriers are low, weak firms are more likely to leave the market, which will increase

the profits for the remaining firms.

Supplier’s power

1. Consumers volume is continuously increasing globally despite recession in recent

years in some regions and saturation in some. The Asia-Pacific market (developing

countries) present users are 1139.8 million and it will be 1483.4 by 2019. The continued

fall in handset prices in most segments, notably smartphones, with devices with greater

capabilities now available at a lower price point have also lead to increase in consumer

volumes.

2. Price differentiation is getting lower and lower as device manufacturers are facing fast

changes in designs, technical and data capabilities leading the buyers to price sensitive in

their buying decision. With lot of competitors offering similar packages, the buyers are

seeking out best value for their money.

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3. Some mobile operators have started building their own mobile phones under their

brand (e.g. Videocon in India) but still have not been hugely popular. So the threat is still

low. Most of the mobile phone manufacturers have their own stores to directly sell to

consumers.

4. In the cut-throat mobile industry, the product differentiation factors are getting lower.

If when player comes up with a new feature or technology improvement, it is taken by

competitive player very soon e.g. dual-core processors, wide-screen, LTE, etc.

5. When produces have low dependence, distributors have less bargaining power. Low

dependency positively affects Smart Phone Industry.

Buyer power

Large number of substitute inputs

When there are a large number of substitute inputs, suppliers have less bargaining

leverage over producers. This is due to competition among substitutes that is the

equipment manufacturers. Greater competition positively affects Smart Phone Industry.

There is competition among suppliers to cope up with the demand for fast growing

requirements of device manufacturers

High competition among suppliers -High levels of competition among suppliers acts to

reduce prices to producers. This is a positive for Smart Phone Industry.

Volume is critical to suppliers - When suppliers are reliant on high volumes, they have

less bargaining power, because a producer can threaten to cut volumes and hurt the

supplier’s profits. This can positively affect Smart Phone Industry.

Thereat of new entrants

1. Weak distribution networks mean goods are more expensive to move around and some

goods don’t get to the end customer. The expense of building a strong distribution

network positively affects Smart Phone Industry.

2. High sunk costs make it difficult for a competitor to enter a new market, because they

have to commit money up front with no guarantee of returns in the end. High sunk costs

positively affect Smart Phone Industry

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3. If strong brands are critical to compete, then new competitors will have to improve their

brand value in order to effectively compete. Strong brands positively affect Smart Phone

Industry.

4. Advanced technologies make it difficult for new competitors to enter the market because

they have to develop those technologies before effectively competing. The requirement

for advanced technologies positively affects Smart Phone Industry.

5. Economies of scale help producers to lower their cost by producing the next unit of

output at lower costs. When new competitors enter the market, they will have a higher

cost of production, because they have smaller economies of scale. Economies of scale

positively affect Smart Phone Industry.

6. When barriers are high, it is more difficult for new competitors to enter the market. High

entry barriers positively affect profits for Smart Phone Industry.

7. High switching costs make it difficult for customers to change which products they

normally purchase, due to costs. High switching costs positively affect Smart Phone

Industry.

8. Patents that cover vital technologies make it difficult for new competitors, because the

best methods are patented. Patents positively affect Smart Phone Industry.

Threat of substitutes

1. Mobile phones have become necessity for everyday lives of people and its hard to replace

with any substitute products especially when they are away from home.

2. There exist multiple substitute products e.g. for contacting people, usage of social media,

emails are substitutes, digital cameras for photography, TV/radio/iPod/iPad for listening

music, tablets for internet browsing, reading books, emailing& video calling etc. But

potentially all the value from substitute products could be derived from a single

smartphone, needless to say each substitute product might cost more than the mobile

phone and need to be carried all the time.

3. No other substitute product has the ability to make phone calls, send messages, surf the

web, reading a book, listening to music, use GPS services, communicating via social

media and many more in one device. The idea of being in constant communication with

someone at anytime and anywhere makes the mobile phone a very important device to

people and the perceived value is very high.

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Topic 2 CompetitionAnalysis:

Smartphone industry is going through a radical change. The Chinese brands are

collectively concerned with 32% of the smartphone market from 27% share in the

previous quarter.

"Healthy growth in the offline channel, online-focused vendors expanding their footprint into

retail channel followed by stringent norms to restrain excessive discounting on online platform

are some of the reasons that could be attributed for online share decline this quarter", said

Karthik J, Senior Market Analyst, Client Devices, IDC, India in a statement.

Apple's iPhone SE failed to make any significant impact in the premium segment while its

previous generation iPhone 5S continued to contribute majority volume.

Lenovo Group (including Motorola) with 10.3 % growth over the last quarter regained the third

position in smartphone market.

Intex slipped to fifth position as its shipments dropped 9.8 % sequentially and 30.1 %over last

year.

India’s market leaders Samsung & Micromax suffered huge losses the biggest blows both market

share because both companies dropped market share by 4%. Chinese firms like Vivo, Oppo,

Xiaomi moved up the rankings.

Lava has lost 6% market share to Chinese brands.

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Topic 3 Customer Analysis:

Buying decision process

Stage 1- Need Recognition-The need recognition is the first and most important step in

the buying process. If there is no need, there is no purchase. This recognition happens

when there is a lag between the consumer’s actual situation and the ideal and desired one.

Stage2- Information Search- the customers have wide variety of information’s

available about the different smartphones and their respective brands both offline and

online sources. Offline sources include official brand stores like Smartphone Store,

Samsung store & many online shopping sites like (amazon.com, flipkart.com) etc.

Gadget websites like gsmarena.com, magazines and newspapers also.

Stage 3- Evaluation of the alternatives-A large number of alternatives of smartphones

of different brands are available to the customers through different mediums. Products

are categorized on the basis of features, price system, screen size, memory availability

etc. Allowing customers with better choice availabilities.

Stage 4- Buying Decision- after evaluation of the all the products the best products are

bought by the consumers as per their respective requirements.

Stage-5 post-purchase behavior- This is the most important stage of buying decision

process because if the customers are not satisfied then repeat purchase and brand loyalty

will not be available to the smartphone companies. Availability of service centers& back

office to help the customers are a major part of after sale service which a consumer also

takes into consideration while purchasing a product.

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Topic 4: Product Strategy

There are three types of phones 1. Landline 2. Mobile phones 3. VOIP phones.

Mobile phone there are two types first is Symbian phones and another is smart phones.

The different types of mobile companies are:

Samsung.

Apple.

Microsoft.

Nokia.

Sony.

LG.

HTC.

Lenevo

Xiomi

LYf

Intex

From Intel 24MHz i386 CPU and just 8MB of memory to today’s many cores GHZ processor

like dual core,quad core.

As hardware improves smartphones are becoming increasingly more powerful..

As the older phones has rams in mb just below the 100 mb and now the rams is available in Gbs.

Now we have 1gb...2gb...3gb..ram available in a tiny smartphone.

Similarly the ROM ie Read only memory or in mobile terms we can say it internal memory has

been keeping on increasing as from 5mb Rom to 64 Gb Rom as we see in the case of model mi3

of xiaomi brand.

1. 64-Bit Processors 64-bit chips manages RAM more effectively than 32-bit processors, so the smartphones of the

future will be even faster. This will translate to improved graphics performance, improved HD-

video playback, and faster speeds all around. Users can expect processes such as encryption to be

also sped up in a 64-bit phone.

Models such as HTC’s Desire 510 and Lenovo’s Vibe Z2 are fitted with the 64-bit-enabled

Snapdragon 410 by Qualcomm. Another HTC phone, the Desire 820, also uses a 64-bit capable

chip, the Snapdragon 615.

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In addition to Intel and Qualcomm, manufacturers such as Nvidia and MediaTek are working on

64-bit processors. But it was Smartphone that first pushed for the trend to incorporating 64-bit

processors in smartphones, by building the iPhone 5s with the 64-bit A7 chip in 2013.

While the HTC and Lenovo phones mentioned above are already 64-bit enabled, they won’t be

able to maximise performance from these processors until the Android L operating system – a

64-bit OS – is released by Google this year.

LTE-Advanced Technology In addition to faster speeds, the smartphones of the next few years will have faster networking

speeds. The Snapdragon 805 chip, for example, supports the LTE-Advanced technology, which

means any phone using that chip will be able to realise network speeds of up to 300Mbps. The

LTE-Advanced technology offers faster speeds by delivering data over multiple frequency bands

simultaneously.

However, the faster speeds will only be available if the user’s mobile operator has a compatible

network that’s optimised for these faster speeds. According to research by ABI Research, this is

gradually coming true in many geographic regions. Smartphones with LTE-Advanced or similar

technology include the Samsung Galaxy Note 4 and Huawei’s Ascend Mate7.

Quad HD Screens It seems that smartphones can’t get any bigger without turning into tablets, so users looking for

more phablet models might be disappointed. However, there’s another trend in smartphone

screens that bodes well for consumers.

Resolution is the other area that’s seeing massive improvements, and with LG’s G3 – which

comes with a 5.5-inch, 2560-by-1440 pixel resolution screen – the future of smartphone screens

appears to be in the direction of better quad HD screens with very high resolutions.

‘Quad HD’ refers to the fact that these are screens with four times the resolution of 720p HD

displays. While it’s only been just over a year since 1080p displays entered the market,

manufacturers are already looking to quad HD and beyond to differentiate their devices on the

market.

Theodore Levitt’s Product Level Hierarchy

Product Level Hierarchy

Theodore Levitt proposes that in planning its market offering, the marketer needs to think

through 5 levels of the product. Each level adds more customer value and taken together

forms Customer Value Hierarchy.

In this case we are considering only Smartphone

Core Benefit or Product: - The core benefit of any smartphone is to serve the purpose of

telecalling.

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Basic or Generic Product: - The basic purpose is calling but it may also includecamera,

operating systems, sms (sending messages) & internet facilities, Bluetooth& Wi-Fi connectivity,

sound system, good accessories.

Expected Product: - After the basic the next features of any smartphone is that good megapixel

camera, front camera, internet facilities like email, social networking applications, bigger screen

size.

Augmented product: 3G &4G enabled handsets, front camera with flash, video calling, good

battery backup, expandable memory, full HD screen, and latest operating system versions& free

up gradation, dust & water proof.

Potential product: Irish scanner, finger print scanner, Currency scanner, 5G service, cloud

backup, image processing software, LED screens, voice recognized lock system, shock proof.

PRODUCT LIFE CYSCLE STRATEGY OF A SMARTPHONE:

First Generation:

First generation of phones basically analogue mobile phones have declined rapidly with the

development of digital phones. (Stage 1)

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Second Generation

Second generation phones GSM digital mobile phones and the symbian phones are in a stage of

maturity everyone knows that what they offer on their phones. More player is coming on the market

and technologically they are going to upgraded themselves time to time (Stage 2)

Third Generation

3G/4G digital phones with much greater bandwidth and variety and more player available in the

market but life span of a phone became less because of them technological up gradation happening

too fast .If we are taken a example of android version ,its updated their version interval of 6 to 7

months so previous version of mobile phone became obsolete .so life span of a mobile phone

became less but according to markets size its increasing day by day(Stage 3)

PRODUCT-MIX STRATEGY

Product: -

The product is the centre of the marketing mix and the other three P's are based around it.

Consumers purchase goods and services for a variety of individual reasons and a company must

be aware of all of these when selling a product (that is why they conduct market research). Nokia

does exactly the same and comes up with innovative phones almost every six months. The new

phones that Nokia launches have some new feature or price difference, thus appealing to the

consumer. Sometimes, Nokia launches special and limited editions of its mobile phones, on

special occasions such as the Olympics. In short they offer various phones of various designs and

various varieties with high quality.

Price: -

Price is a key factor in the selling of a product, and is usually the one that is open to most change

based on different pricing strategies, for example, competitor based, penetration or

skimming. The three main factors affecting the amount charged for a product or service are cost

of production, customer demand and competition. We have to have different mobiles available of

different class of peoples at different prices, like sets should vary from Rs 1000-Rs 35,000.

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Place: -

It refers to chosen outlets for a product or service, for a product to be successful it must be easy

to access. Now a day’s mobile phones are easy to access as they are available in supermarkets,

company outlets (Nokia Priority, Samsung Smart Phone shops), specialized outlets (Mobile

Store).

Promotion: -

This involves providing information regarding the product to the customers through various

media platforms like Print Advertising, Outdoor Advertising, Covert Advertising, Surrogate

Advertising, Celebrity Advertising and Broadcasting Advertising. The Promotion also informs

the customer about various offers and discount which is offered. Advertisement should be made

in such a way that it appeals to the psychology of the customer and help them to recall the

product brand while the purchasing is done.

Product packaging strategy

A good packaging is always needed for a good smart phone because not only its feel a good it’s

also safe our phone from damage.

Simplicity: Smartphone’s look is always simple and clean and the packaging for the i-Pad,

Samsung, redmi and other is true to the brand. The art on the cover of the box is a life-size photo

of the product inside. No words, no sell copy. Since this is exactly what the customer can’t wait

to get their hands on, it’s the perfect marketing message, building anticipation and making the

product the star. The only other art on the package is the Smartphone logo and the product name

on the sides of the box. The product specs (16GB, 3G, etc.) and copyright are hidden on the back

at the bottom. Nothing gets in the way of the brand.

Consistency: The packaging and the product are as beautiful, clean, and easy to access as every

other Smartphone product. Opening this box felt just like opening the package for my iPhone and

my iPod, and this trademark simplicity and consistency are exactly what Smartphone buyers

want and expect from the company. Even the accessories in the box are familiar. The Samsung,

i-Pad, Samsung, redmi uses the same USB cable as other Smartphone products.

Ease of Use: Smartphone products, they’re right. The product’s controls and user interface are so

intuitive that you can quickly get up to speed and start using the product. There’s no thick

owner’s manual in multiple languages, just a simple, two-sided card that leads you to product

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instructions on the web and in the product, itself, though you really don’t need them unless this is

the first time you’ve purchased from Smartphone.

Quality: The silk paper stock for the box and “how to use” card are extremely high quality, with

a soft, rich finish, a dull varnish, a slightly creamy color, and a silver metallic foil stamp on the

Smartphone logo. Even the box feels great to the touch. Instead of looking for ways to save

money with a cheap box and an inexpensive paper stock, Smartphone made the package an

extension of the product itself.

Main strategiesof smartphone companies:

1. Know what your customers expect from your brand and deliver it in all aspects of

your product, from the product design to the package you ship it in.

2. Your brand is much more than your logo: it’s everything the customer experiences

when they interact with you. Evaluate all your customer touchpoints to be sure they

truly reflect your brand.

3. Simplify your message and communicate it as directly as possible. Edit copy to its

essence and wherever you can, use visuals to make your points.

4. Be you, all the time. Great brands convey a company’s persona and they do it so

consistently that the company feels like something more than a commercial

enterprise. Your brand persona should be a reflection of who you are and what makes

you different from every other company in your marketplace. Keep it consistent and

keep it real.

Topic 5: Pricing Strategy

The smartphone market is today becoming increasingly polarized between high-end devices

from Samsung and Apple, and low-end smartphones being rolled out by Chinese OEMs such as

Huawei and ZTE. As Apple’s dominance declines, new players emerge and middle ground

players struggle to find their niche the industry is undergoing a next wave.

Ultimately, many companies have realised that it makes sense (at least in India) to adopt a

‘skimming’ price strategy – a name derived from the action of skimming layers of cream off the

top of milk.

Since the class divide is so wide and people with deeper pockets tend to (and want to) pay more

for exclusivity, the skimming makes sense – it grants the exclusivity to those who desire it and

maximises profits for the company.

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Here’s how skimming works – you start by artificially inflating the price of a new, much-hyped

phone. You can generate hype by announcing the release of the phone way before it’s actually

available. You can generate hype by starting pre-orders for the device (without a declared final

price). The pre-order supposedly ensures that you get preference over others for delivery. You

engineer ‘leaks’ in the press and social media, where a pricing is given out so that you can gauge

reactions. All this is step 1.

Step 2: Launch the phone at the artificially inflated price but at the same time, tie up with leading

banks to offer cash back schemes – as much as 20% (a maximum of Rs 5,000 off) – for anyone

who purchases with a credit card. This works in two ways – people with tons of black money

don’t care anyway – they’ll just spend the extra cash. The early adopters with deep pockets full

of white money will get Rs 5,000 off on launch date.

Step 3: Keep a close watch on sales – as soon as they start dipping, it means that the first couple

of layers of customers have been successfully ‘skimmed’. Then, announce a buyback scheme

wherein you get an absurdly high buyback amount for your ratty old phone – a price that you

never thought possible and in some cases, higher even that the price you originally paid for it.

This step also involved trying to convince everyone that there are limited stocks and that this is a

limited time offer. This layer has to be skimmed fast, you see? Wait too long and the other

genuinely interested people who want to pay a lower price will get put off and more attracted by

another new phone model. It’s been about 2 to 3 months since launch at this stage.

Step 4: Reduce the sticker price by a substantial amount – this is when the phone starts looking

like a good deal. This price reduction applies without any cash back or buy back scheme. At the

same time, interest free EMIs can also be announced – interested buyers can split up the total

cost into 3, 6 to 9 EMIs without any added interest charges.

Topic 6: Promotion strategies

When we say promotion, we have image of advertisement in our mind. Although there are plenty

of other methods to promote your products or company but advertisement is key focused element

of promotion. Advertising is art of promoting yourself through different media. In the complex

environment where everything is getting changed and being systematic, advertisement is also

being converted into a whole subject.

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5 m of advertising -

1. Mission -Mission statement of any Smartphone, advertisement a component of

promotion is also having a clear mission that what they want to achieve through

advertisement. In this head, they set their mission, goals and objectives to analyse that

what we are going to do and what we will get through this act.

2. Money – They are always showing their advertisement product price with an

attractivemanner through value, price,value methods .so target audience more attract with

the value and what benefits they are going to get after buys Smartphones.

3. Message - The message is that idea, information, literature and theme you want to

communicate to your target customer. The message will be decided according to the

target customer because you will definitely only transfer important information to your

target audience but a trash.

4. Media – Online, offline, TVC,newspaper etc.

5. Measure -Same like marketing strategy, evaluation and measurement is an essential step

to end advertisement strategy. Without evaluation, how you can identify that you achieve

your objectives? Sam in case of advertisement, you have to measure your advertising

strategy that either you get the same return or not. Again, measurement depends on media

selection. Every media has its own measurement techniques.

BTL strategy –

ATL- Promotions of Smartphone are known to be fantastic and might range from a full

front page ad on the launch of the product, promotions in the radio, the television and

what not. Whenever a new phone is being launched, be sure to see

Smartphoneeverywhere, on each and every ATL platform. Because they are targeting a

premium segment, the presence of SmartphoneSmartphoneis higher in the ATL segment

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than in the BTL segment. The interesting thing here is the taglines in newspaper ads

because many of the Smartphoneads are known to come up with the most interesting

taglines for the new phone.

BTL – BTL marketing, Smartphone uses out of home advertising with hoardings and

point of sale advertising in major retail outlets. It also uses various forms of sales

promotions and exchange offers to lure in the customer via BTL marketing.

Topic 7: Channel Strategies :

Present across the globe with a fantastic service backup – Smartphone factory is

present across many countries and nations and is known to provide an excellent service

backup in all these countries. The target of Smart phonemarket is mainly consists of

different kinds of customers.

Smartphones stores are found in premium places and malls –phonehas named its

retail counter as the store keeping in line with the complete product line of Smartphone

which starts with I resulting in an immediate personal connect with the customer. These I

stores of Smartphone are found in malls and premium areas in premium cities across the

complete country wide network.

Distribution happens through CNF >> Modern retail or Distributor >> Retails – All

modern retail outlets are distributed the Smartphonethrough a carrying and forwarding

agent. On the other hand, individual retailers are given the product through distributors.

Finally, the I stores which are the exclusive showrooms, are given the product directly

from the company at best discounts.

Corporate tie up – Smartphonecompanies also have a corporate sales department for the

Smartphonewhich does corporate tie ups for the company. When Blackberry announced

its exit from the handsetmarket, newsmartphones came into the picture and did many

corporate tie ups to replace itself as the handset with all top CEO’s and managers who

were previously using Blackberry. Thus, it could take over a major market share left over

by Blackberry.

E-Commerce –Smartphone product is also available on Flipkart, Amazon, Snapdeal and

others online platforms.

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Section 2: Brand Management Topic 1 -

Brand: A brand is a name, term, sign, symbol, design, slogan or a combination of them, intended

toidentify the goods or services of one seller and to differentiate them from those ofcompetitors.

The brand is Amazon.

The arrow which looks like a smiling face in Amazons logo has a strong meaning behind it .It is

a representation of wide range of items available for retail by amazon, from A to Z.

"Earth's Most Customer- Centric Company" the slogan of Amazon. Where customers want

to find and discover anything they want online, and at the most lowest possible prices that it will

endeavour.

Topic 2-

Attributes- product-focus, customer-centricity, a focus on value creation rather than revenue, and

a willingness to head off disruption by disrupting themselves.

Benefits- Amazon.com has the ability to offer shopping convenience, ease of purchase, speed,

decision-enabling information, a wide selection, discounted pricing, and reliability of order

fulfilment. These are tied directly to the company’s logistical competencies.

Values- The core values are:

Customer Obsession

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Ownership

Invent and Simplify

Are Right, A Lot

Hire and Develop the Best

Insist on the Highest Standards

Think Big

Bias for Action

Frugality

Vocally Self Critical

Earn Trust of Others

Dive Deep

Have Backbone; Disagree and Commit

Deliver Results.

Culture-Amazon.com Inc. has an organizational culture that enables business capacity to respond

to the demands of the e-commerce market. A company’s organizational or corporate culture sets

the traditions and values that influence employees’ behaviours. For example, Amazon’s

corporate culture pushes employees to go beyond traditional limits and conventions to develop

bright ideas and solutions. As the world’s top-performing online retailer, the company continues

to seek fresh talent.

The main characteristics of amazon’s culture are :

1. Boldness

2. Customer-centricity

3. Peculiarity

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Personality-

Value- Amazon keeps some things consistent. Its value proposition remains price and

convenience no matter the product or service, and low prices can be sustained by ensuring

its customer relationships continue to be mostly automated and self-service.

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Topic 3 The branding components of Amazon:

Added features: When we are remembering about the brand name Amazon that means for us

various collection of products, price is low, a good return policy, now they are also gives

one day to two day delivery so this is a added feature of their brand reliability.

Brand Name: Brand represents that A to Z that means you will be getting every kinds of product

through their websites.

Corporate branding: The brand valueof amazon is very high because of his brand awareness,and

they are using their name on other resources because corporate branding is very much

required as a brand.

Packaging and Design: As a brand logo, they have to be very simple and packaging oriented

which may be easy to recall their brand name place of others competitors name. When

amazon created their brand logo they put an arrow from a to z that shows that they have a

to z products which you requited I your daily life.

Fulfilment: This is a very important phase for a brand they have to fulfilment theirpromises and

they have to focus on their customers and to the brand image.

Image and reputation: A brand like amazon which is already created their name the market they

always very concern about their image and reputation because if they are taken any

wrong decision that will be an advantage to the competitor for like in case of amazon

the advantage taker will be snapdea land flipkart because they are the major player of

online e commerce sector.

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Topic 4

POP: Point of parity means this is the difference that competitor has over you and

it’s have to do counterattack. It’s different with his two contributes

1. Competitive 2. Category.

Competitive -Compete with the other brands, which brands are belonging to

the same market or different sectors.

Category –A category point of parity means that the brand offers necessary category

features. Amazon provides a large number of category features like apparels for men &

women, electronics, households, e-books, stationary, sports & fitness products etc.

POD: Point-of-difference is attributes or benefitsconsumers strongly associate with a brand,

positively evaluate, and believe that theycould not find to the same extent with a

competitive brand.

Amazon is known toeveryone is best for is delivery policy and their kindle and others services

that is very unique. They are also very well known for their collection new range of new

accessories which is always launched first on their website platform like redmi3 and others xiomi

mobile , Lenovo products also they are the only exclusive partner.

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Topic 5

Amazon create their positioning strategies in the way where theyposition their self for the every

type of customer, they does not want to restrict themselves to a limited extent andthey are

explaining through their logo in their logo they use anarrow to A to Z that clearly shows

that that have that kind of variation and they not only for the premium class. The arrow

represents also a big smile to the customer after buying the product from their websites.

They position themselves in this manner wherepeople visit and buy through different

medium and also avail their exclusive offer and feel their window shopping, and their

shopping experience became a real experience to the customer. Theypositioned

themselves that the customers are becoming more brand royal to the amazon and they not

shifted to the other e commerce websites, for that they are always give sudden discounts

& offers like:

Subsidised Item Cost: Amazon, Flipkart or for that matter any other e-commerce

company subsidise the cost of certain trending items to increase their consumer base.

Once you have got a good discount, liked their service, you are bound to come back. That

is the mantra on which such discounts are offered. These kinds of discounts help us save

some money.

Coupons: Again, this is one kind of promotional measure to increase their consumer base

or in some cases retain their customers; they would send us exclusive discount coupons

which can be availed by applying on final check out. Again, it saves us some money.

Promotional festivals: During such festivals, they sell products cheaper than almost

everywhere. Discounts might seem illogical but they are REAL. Such festivals are a huge

PR campaign for all these sites. They attract new customers, advertisers, merchants and

investors. Taking example of Big App Shopping Days, lot of people have bashed Flipkart

for not being able to pull it off the way it was advertised. But at a personal level I got a

few things very cheap, which I wanted to buy since a long time.

Bank offers: Has to be real. Still, be careful about the product you are buying. Your bank

has nothing to do with the listing of that particular item.

Delivery Offers: Sometimes Amazon provides delivery discounts like no COD (cash on

delivery) charges from the customers to special customers who regularly buys products

from the online portal.

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Effective Aftersales service: good return and refund and easy exchange policies

followed a good customer hep care support service enables customers to rely on Amazon

for making their purchase decisions.

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Topic 6:

Five steps of brand strategies-

1. Conduct effective market research: When a company just started their journey then they

became only name but when they are in the middle journey of their businesslife then they

organized effective market research for a brand research is the main part because then

they looking for huge investment and brand extension is also happen so for that they have

to need a great strategies for established their name as a brand in the market.

2. Focus on a unique value proposition:Amazons USP includes: -

Low price

Guarantee & warranty

Wide choice of products

Good quality

After sale service

Convenience & speed of service

Customization possible and knowledge about products of wide variety

3.Choose a brand name that delivers your message clearly-

In case of amazon that clearly shows that A to Z.

4. Emotional connection

Amazon has a strong emotional appeal with their customer. The ad campaigns are both

verbal as well as non-verbal in nature. The famous tagline “khusioki delivery” has a lot of

emotional connect with it. The ad features about festive season’s family bonding love and

care for people at the same time showing the variety of products available in their website

giving customers a wide variety of choice. The ad campaigns during Christmas, New

year, Indian festivals, Halloween etc. amazon makes ad campaigns on the basis of each

festivals to not only highlight the festival but also brings about togetherness of the

customers.

5. Deliver constant communications

Amazon is constantly researching and coming up with new and interesting

communications so that their message is heard to the entire world about what amazon

does.

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