AMAZON MARKETING PLAN
EXECUTIVE SUMMARY
The US consumer electronics retail industry has passed a period of sluggish growth
marred by economic recession, decrease in per capita income and changing customer
preferences. However, the economic rebound will be driving revitalized customer spending and
take the sector into a stunted comeback. Smartphones have garnered huge popularity enabling
the retail stores’ sales to stay afloat despite the testing economic times.
The present report takes a deeper look at the US consumer electronics industry and how
Amazon.com is carving its place leaving behind the likes of Walmart and Best Buy. American
sales of consumer electronics grew by $5.6 billion in 2015, nearly none of which would have
been possible without Amazon. The internet retailer recorded a staggering 90% growth in
consumer electronic sales in 2015.
The SWOT analysis of the company revealed that the retailer’s brand image is being
impacted by waning focus from its core competencies. In addition to this, there is huge
opportunity for the retailer to leverage on its strengths and robust technical know-how.
In light of this analysis, a new product has been designed for Amazon’s flagship brand. It
is a laptop named Kindle Pro and is positioned against Apple’s MacBook Lite. The new product
offers several value propositions to the customers and is in consistency with the W-O strategy
profile of the retailer.
TABLE OF CONTENTS
INTRODUCTION ………………………………………………………………………………………………………….. 1
MARKET DESCRIPTION ………………………………………………………………………………………………. 1
SWOT ANALYSIS ………………………………………………………………………………………………………… 3
RECOMMENDATIONS …………………………………………………………………………………………………. 5
a. Target Market ………………………………………………………………………………………………………….. 5
b. New Product Description ………………………………………………………………………………………….. 6
c. Customer Value provided by the new product ……………………………………………………………… 7
d. Fit with the SWOT Analysis ……………………………………………………………………………………… 7
REFERENCES ………………………………………………………………………………………………………………. 9
INTRODUCTION
The aim of the current report is to analyze the consumer electronics market in the United
States with a specific focus on Amazon.com. The analysis will be helpful in identifying the
opportunities and threats present in the US market and how Amazon could use its strengths to
counter the threats and exploit the opportunities. Based on the different evaluations, a new
product has been recommended with accompanying marketing mix elements. This is line with
the company’s strategy profile.
Amazon.com, commonly known as Amazon is a US based e-commerce and cloud
computing organization established in 1994 by Jeff Bezos. It is the biggest online retailer across
the world in terms of market capitalization and total sales. The online retail giant began as a
digital bookstore, subsequently diversifying to sell audiobook downloads, MP3 downloads, CDs,
DVDs, Blu-rays, video games, software, electronics, furniture, apparel, jewelry, toys and food.
The organization also produces consumer electronics mainly Fire tablets, Echo, Fire TV and