Branding Agency London – 3 Colours Rule is a creative branding agency based in London. We work with SMEs and international corporations to engage their audience and attract prospects. Our team of designers, developers, copywriters, marketing consultants, brand experts provide bespoke creative branding, marketing & business consultancy, brand experience and graphic design. From your brief to the launch, we help you build distinctive, effective and creative branding solutions to stand out from your competition. Contact 3 Colours Rule, your creative agency in London for a complimentary brand review or bespoke quote. In this article, we explain why the customers are the key to your success with Amazon as an example.
Your customer is everything, especially if you are entering a market and striving to attract them. Actually, an excellent customer service is the common point of several incredibly successful companies. Amazon is one them, their obsession for the quality of their services is what led them to become the e-commerce world leader in less than 20 years. The founder, Jeff Bezos only wanted to sell books online when he originally created his company, but its clients were so fond of the experience that they quickly claimed for more. The message was received, crystal clear. Amazon extended exponentially its offer and grew into a $300 billion company.
Amazon has bet everything on its customers and regularly operated massive investments to always ensure that the service comes first. Since the very beginning, they were already offering what the competition wasn’t: a great website, among with little innovations like the one click buying, the shopping carts, the shipping follow-ups and the possibility to post critics online. Everything were made to improve the convenience of purchasing act.
This culture also applies on every angle of their business. Indeed, Amazon gradually bought huge warehouses in order to increase their efficiency when fulfilling orders. They implemented a strategy of scale and optimisation of their operations. It allowed the company to reduce its costs, and then the savings were reinvested on consumers by applying low margins while undercuting competition.
To a small extent, the lesson from Amazon’s strategy is that you should strive to solve customer problems, and once you do, reinvest with the purpose of solving even more problems. That’s when the magic happens, and creates a virtuous circle. Thanks to this strategy, the company build an extremely loyal customer base, with more than 60% of sales made by regulars.
Improving the operational efficiency has been the key to ensure Amazon’s sustainable competitive advantage. Indeed, its ability to provide shopping convenience, ease of purchase, decision-enabling information, a wide selection, discounted pricing and high reliability completely depends on the logistical competencies of the company. To achieve such a high level of efficiency, amazon implemented several innovations. For instance, they introduced robots into their warehouse. The KIVA robot is a small feat in itself, for every order, it picks up the racks with the item, scan it, put it in the cardboard with its customer shipping label and deliver it to its operator. Moreover, the warehouse themselves are the results of deep research. Everything has been thought to reach a maximum of optimization: the human and robot collaboration, the racks and alley organisation, the order circuits: Every seconds counts. As a result, Amazon is today able to ship 95% of their products on the day of the order.
Over the course of its career, Jeff Bezos gave out a few valuable advice for entrepreneurs, here is a subjective selection:
- Not getting it right since the first time is definitely not a failure, indeed, success does not come from one big idea. Success flows from learning. Thus, the CEO promotes the benefit of experimentation, of trying new things, building cheap prototypes and then get feedback to improve them.
- Regarding the importance of customer service, he declared that “a brand for a company is like a reputation for a person, you earn a reputation by trying to do hard things well”.