Question

Customer perceived value is the idea that the success of a product or service is mostly based on whether customers find that the product or service satisfies their wants and needs. Amazon has historically rated very well in its ability to provide satisfactory customer service. According to the Foresee Experience Index: US Retail Edition, Amazon has consecutively ranked #1 in customer satisfaction for nine years in a row. (Amazon, 2020) In order to provide such valued customer service, market research must be done on Direct Customer Feedback, Products and Services, and Competition.

I. Background of Amazon

a) The Technological juggernaut

1.) One of the Big 5 U.S Tech Companies alongside Google, Apple, Microsoft and Facebook.

2.) Founded my Jeff Bezos in 1994.

3.) With 100s of millions of unique customers a month they are the most influential e-commerce site in the world.

II. Perceived Customer Services

a.) What does Perceived Customer Service mean?

1.) How the common consumer sees your brand.

2.) These perceptions can come from Direct experiences and Indirect experiences.

3.) Direct perceptions are formed when a customer first-handily has a positive, negative, or neutral experience with a company.

4.) Indirect perceptions are formed when a potential consumer hears about other peoples’ experiences and judge a company’s services based off second-hand information.

III. Direct Customer Feedback Research

a) What is the direct customer feedback?

1.) Amazon is known as a customer focused business. There is no better way to understand how the customers feel about a business than to hear directly from the customer themselves. Jeff Bezos, CEO of Amazon once said, “We start with the customer and work backwards.” (Lyons, D., 2009) Because Amazon has made customer focus as one of its strategies and apart of its mission and vision, direct customer feedback is extremely important.

IV. Products and Services Research

b) How do customers feel about various products and services?

1.) Products are services are extremely important to Amazon. Most important, identifying which products and services attract repeat customers that keep the customers coming back to Amazon.

2.) If an organization continuously provides products and services deemed undesirable or unnecessary by customers, then the business could lose the market or the market may not exist.

V. Competitive Research

c) How are competitors doing with customer service?

1.) Every business should have an understanding of who their top competitors are and how their top competitors are performing specifically in customer service.

2.) Identifying what other companies are doing successfully and unsuccessfully can help a business adjust its services to meet the desires, needs, wants, and demands of customers and can be used to develop strategies.

Amazon wants a few items to be addressed and prepared for to adjust offerings and prices. Research into revenue and forecasts, a pattern study and consumer reviews would be part of the market research overview.

VI. Sales and Market Share Analysis

3.) Amazon gets great traffic of people accessing its pages and shops. Data from how many Amazon services are used by these customers may illuminate projected sales figures. Each user who shops with Amazon online is a future customer as services are put and sold to consumers.

VII. Trend and Scenario Analysis

4.) Analyzing patterns and collecting high and low season details would offer predicted estimates and help for sufficient staffing to satisfy our time frame. Seasons like holidays or back to school typically reflect high-traffic hours for Amazon and can help divisions meet their expected targets by setting exact dates.

VIII. Customer Segmentation

5.) The happiness of the customer is one of the most significant things to the business group. Feedback from consumers by polls, insights or even focus groups will help to spot possible concerns and will help the department to make improvements where appropriate.

References

Amazon.com. (2019) Retrieved on Dec 3, 2020, from:

https://www.amazon.com/gp/feature.html?ie=UTF8&docId=1001924291#:~:text=ForeSe

e%20ranked%20Amazon%20highest%20in,ever%20recorded%20by%20the%20firm.

Kokemuller, N. (2019). What Is Customer Perceived Value? Retrieved from:

https://smallbusiness.chron.com/branding-vs-product-marketing-22583.html

Lyons, D. (2009). “We Start With the Customer and We Work Backward. Retrieved from:

https://www.growthink.com/content/jeff-bezos-and-amazons-success-secret