Amazon Understands
Technology and innovation are very challenging, and somehow, Amazon has figured it out quite well.
Among other things, they have brought some key features to the market:
- Constant availability –
I can shop on my terms, and at my whim. If my computer is working, the information I need is available. - Global reach –
I have bought books, via Amazon, from a small bookstore in Sussex, UK, and at least twice from the same small bookshop in northern California. Needless to say, I’ve never visited either place. I just ordered an out-of-print book for my sister from another small shop. Amazing. - Rich Information –
As I read the reviews of a given book, I have a pretty good idea if the book might be what I want. I can tell as much from the wording and tone of the review as I can from the reviewer’s comments, and maybe more. - Branding –
I look forward to getting that brown box with the little trademark Amazon Smile on it. I feel like I have a personal stake in the company. Frankly, I buy from them because they have earned my trust. - Community –
Because Amazon knows my tastes, they make recommendations that are meaningful and (occasionally) perfectly accurate.
Years ago, in my home town of La Crosse, Wisconsin, there was a wonderful record store known as “The Tree Records.” What I loved about The Tree was that they knew my interest in music so well that they made suggestions and even special ordered the impossible things that I was looking for. They always used the same flat, green bags in their store, and it became their trademark–whenever you saw someone carrying that color of package, you knew that they had been to The Tree. Not long before they went out of business, the manufacturer quit making those green bags–I wonder if that record store didn’t die of the grief (I’m joking, but you know what I mean). Well, they went out of business years ago, long before the internet revolution, but Amazon provides that same level of friendly service that I expected from my friends at The Tree.
Now, with Kindle striking up a good deal of interest, Amazon is continuing to grow. Here’s a link to CEO/Founder Jeff Bezos’ recent letter to shareholders. Note that he also includes a shareholder letter from 11 years ago to add perspective and context to his comments.
Regardless of whether you are a fan of Amazon or not, you have to admire the business sense and cultural benefits that this organization has brought to society. Bezos offers a kind of bold, visionary leadership that is rarely seen today. One of the greatest challenges for organizations is to innovate from a position of success or power: Somehow, Amazon has managed to do that quite consistently.