+1 862 207 3288 E-Commerce Evaluation on Amazon PPT
Based on the attached document, please make a powerpoint (pretend it is a presentation).
Please turn in a PowerPoint slideshow that you would use if you were presenting in class. The slideshow should include information in the NOTES section. The notes section would include the items that you would mention if you were speaking in front of a group.
E-Commerce Evaluation on Amazon
Amazon, one of the largest retailers of the world, has been the role model for e-commerce websites and activities for many existing and new ventures for years. Study conducted during 2001,on finding correlation between usability of e-commerce websites and sales growth over twenty competitive e-commerce websites, shows that Amazon scored almost 65% higher than the average websites and its increase in sales was recorded a growth of 126% between years 2001 and 2004(Nielsen, 2005). Despite being market leader in e-commerce business, Amazon’s popularity index is decaying mostly because of its cluttered and overly annoying e-commerce interface. For example, if someone browses to buy a product in Amazon, its landing page would come with thousands of irrelevant products including hundreds of other product suggestions, which might confuse the potential buyer about the specification or correct info of the product he wishes to buy. Experienced customers might figure it out somehow, but new customers find it annoying and cumbersome to look for specific product in Amazon.
Amazon sponsors its own featured search engine A9, which is embedded in the main e-commerce websites that violate webpage usability rules (Nielsen, 2001). Because of this web based search engine, Amazon’s webpage becomes clumsy, whenever a product search is performed. Amazon’s multimarket policy includes webpage advertisement feature that includes 2” advertisement on all of its pages, which distracts its customers and take them away to another website. Amazon has large product base but it does not have any feature to help the customersto identify the best offer for them. A customer might feel exploited if he makes any purchases based on Amazon’s suggestion rather than investigating the product info he wants to purchase. Amazon features location or country specific websites that are independent from each other. Amazon hassix individual websites that operate in six different countries across the world. Theproduct, price, and administration of these websites are independent from each other. Therefore, a person buying a book from French Amazon might not get the deal he could have gained from the USA Amazon.
In order to achieve customer satisfaction and attract new customers to the business, Amazon must keep its primary focus on its e-commerce platform. With product selling being primary business objective, Amazon must make its e-commerce website user-friendly for potential customers, to encourage them to make their sales and purchases; it must incorporate product review or rating feature, best product recommendation, reduced advertisement or website publicity, website-only search engine to avoid unwanted results, and secured payment gate. If the company cannot capitalize on new and returning customers, its profit margin might decline substantially and it might lose its market share. Therefore, making the e-commerce experience pleasant for customers can be a great tool for Amazon in achieving large customer base. The business is currently using its goodwill and past reputation to attract new customers, which would eventually fail to give substantial customer base.
The proliferation of the Internet and computer technologies has made e-commerce business highly competitive and challenging. There are many competitors for Amazon like Target and Walmart that own very neat and highly effective e-commercewebsites. Unlike Amazon, Target provides relevant search results only, whereas Walmart is one step ahead by merchandising its search results. Walmart and Target provide categorized and ordered search results that help the customer in making his purchase decision quickly(Traxler, 2014). Both Target and Walmart provide specific product details inclusive of large images of the product in a visually appealing and non-distracting web interface. Where Amazon offers thousands of products for a single query, Target and Walmart provide only few results that match most of the search criteria. Consequently, searching speed is fast for Target and Walmart compared to that of Amazon. Lack of product comparison features, absence of add-to-cart button, and no quick look popup window are few limitations of Amazon, where its competitors excel in. Both Target and Walmart include product comparison features, add-to-cart button next to all products to facilitate ease of shopping, and a short and quick view of product details.Amazon is quickly losing its loyal customers to its competitors for its unpleasant e-commerce features and lack of organization.
In order to avoid losing of its customer base, it is high time for Amazon to change its business strategy and e-commerce platform activities and functionalities. First of all, it has to ensure better customer satisfaction and returning customers. It must remove web-wide search feature that helps it earn revenue from different websites for advertisement. A little sacrifice on these revenues might end in large customer volume to the website. The website should incorporate all types of modern e-commerce website features and avoid large volume data. Customers on the e-commerce website always prefer simplicity and ease of use. Therefore, Amazon must redesign its website to include and avoid different features based on the discussion presented in the paper.
Amazon is losing its customer base because of its highly cluttered, unusable, and not-user-friendly website design. While its competitors are attracting more and more new customers because of their e-commerce website features and simplicity, Amazon must review its design and implementation technique to avoid losing customers.
References
Nielsen, J. (2005). Amazon: No Longer the Role Model for E-Commerce Design. Nngroup.com. Retrieved 12 June 2015, from http://www.nngroup.com/articles/amazon-no-e-commerce-role-model/
Nielsen, J. (2001). 113 Design Guidelines for Homepage Usability (Jakob Nielsen). Nngroup.com. Retrieved 12 June 2015, from http://www.nngroup.com/articles/113-design-guidelines-homepage-usability/
Traxler, D. (2014). Evaluating Site Search on Target, Walmart, and Amazon. Retrieved 13 June 2015, from http://www.practicalecommerce.com/articles/64776-Evaluating-Site-Search-on-Target-Walmart-and-Amazon
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