Amazon has been operating on Australian shores for some time now, but the ‘Amazon Effect’ has yet to hit. Amazon’s launch has signaled a culture shift for shoppers, with eCommerce sales set to almost double in the next five years. With this in mind, how can you ensure your small business doesn’t get left behind?
Consider how you could use Amazon to your advantage
Amazon’s Marketplace platform provides opportunities to reach a whole new segment of customers. With the recent introduction of Fulfillment by Amazon, small businesses can use Amazons capabilities for storing and sending products. This is especially useful for when their Prime service launches later this year, offering flagship shipping times. The service also processes returns, freeing you up to focus on what you do best.
Focus on your delivery times
If you decide you aren’t going to use Amazon’s logistics services, make sure you are nailing your shipping times. As Amazon keeps growing, delivery speed is going to be a growing driver of business, according to Deloitte’s David White.
Get your online right
Reports from Hitwise and OFX show Australian consumers are eager for a multi-channel shopping experience. Focusing on options such as click-and-collect are critical to bridge the gap between online and in-store customers.
The largest demographics using online shopping are the 25-34 and 35-44 age groups, think about how you can effectively reach these audiences and convert them into customers. Effective online presence is key for this, especially for small business, have a read of our article on online presence HERE.
Brand loyalty was also shown to be increasingly more important in the current retail landscape, that means continuing to engage with customers post-purchase through online newsletters, deals, or targeted ads.
Remember the power of price
Amazon sells products at a premium to US prices with their advantage coming from their range of products and delivery, not their price. Focusing on delivering prices that blow customers away is a simple way to compete against Amazon.