Introduction
In this controlled assessment I'll be explaining the challenges of globalisation with
Amazon which uses internet as a marketing tool. Secondly I will be analysing the
marketing opportunities and challenges that Amazon faces when using internet
marketing. Lastly I'll be evaluating the effectiveness of internet marketing in meeting
customers’ needs with Amazon.
Low customer confidence in payment security
The problems that amazon faces with low customer confidence in payment security is
that some customers don’t feel confident in paying online because of not receiving their
product, furthermore some customers don’t have secured payment security such as
PayPal, bank account therefore they can’t purchase the order.
Challenges of delivering higher reliability and raised expectation.
The problems that amazon faces with challenge of delivering higher reliability and raised
expectation is that customers expect the order to be reliable and accurate and that the
order comes on the expected date. If the order doesn’t come on time, then the
customers won’t shop again and it will be a bad reputation for their business.
Managing overload of marketing feedback
The problem with this is that amazon had to manage and view tonnes and tonnes of
feedback and respond to the questions as this can be time consuming and some
customers will be frustrated due to no reply from the customer service.
Volume of customer profiles
The problem with this is that amazon will have to manage millions and millions of
customer profiles and react upon their products, questions and services, therefore
amazon will have to employ more people.
Keeping pace with market and technology change
The problem with this is that amazon has to constantly adjust and adapt as technology
evolves so this can mean that they can change some features of their website and
features so it will be easier for the customers to access and use. Furthermore Amazon will
have to pay for researches of the new markets that they are entering and find out more
about their target segmentation and what sort of products and services they require.
Challenge of constantly changing marketing goals in line with customer
expectation
This is another problem that amazon has to face because as customers preferences and
expectation in market changes amazon will have to adapt and create new products to
meet the needs of their customers.
Ensuring maximum access via ISPs and search engine
, The problem with this is that amazon has loads of customers worldwide therefore
customers will have to visit the site, and sometime the ISP of the site restricts some
customers to enter at time because of maximum entry, therefore amazon has to pay
more to increase the ISP capacity.
Site security
The problems face with this is that there are loads of hackers and viruses trying to exploit
websites, therefore amazon have to pay for software’s to protect it and prevent future
exploitations from different groups of hackers. Furthermore Amazon has to employ
people in this type of field because they need to maintain the website regularly to avoid
any exploitation or errors, therefore they need to add special features towards the
website and avoid any hacking.
M2
Low customer confidence in payment security
Amazon deals with this type of problem by securing their website with different types of
software’s to avoid hackers gaining the information from the customers, secondly
Amazon website is secured by the web address “https” which means that the website is
secured and this therefore leads high consumer confidence and this is very beneficial to
amazon as they can add more offer which will increase offers.
Challenges of delivering higher reliability and raised expectation.
Amazon deals with this type of problem by signing contracts with highly known
professional, qualified delivery services such as DHL, FEDEX and UPS to deliver the
products to the customers in a fast and reliable time, therefore there will be no
complaints back. Secondly Amazon has many warehouses across the world, therefore
this will make delivery even faster by getting the products from the specific warehouse
and delivering it to the customers by the registered delivery services.
Managing overload of marketing feedback
Amazon deals with this type of problem by employing employees in the IT department
and make them to control the feedback and complaints from the customer by answering
them back with the possible solutions to their problem. Secondly Amazon also stores the
feedback in separate databases which makes it easier for the Customer service team to
view it and act upon the feedbacks.
Volume of customer profiles
Amazon deals with this type of problem by employing the right people for the job role
that deals with customer services. Amazon deals with millions of customers by
separating them into databases which makes it easier for the customer service team to
deal with the questions and queries from the customers.
Keeping pace with market and technology change
Amazon deals with this type of problem by keeping up with the news and new technology
being introduced to different businesses. For example Amazon launces an Amazon
application for android with barcode and scanning features and check by Amazon in the
UK. This makes it a whole lot easier and less complicated for customers as they can