TravelCrate by Amazon

Travel Crate

BY AMAZON

HEATHER CARNEY & DANIELLE RHEW

Contents

Executive Summary 3 Brand History 4 Competitors 5 SWOT 6 TravelCrate 7 Target Audience 8 Social Media Presence 9 Media Mix 10 ROI Analysis 11 Evaluation 12 Appendix 13

Executive Summary

Objective: To extend global inclusion, increase subscription box profits by 5%, brand awareness by 3%, and maintain customer satisfaction.

Campaign Period: January 1, 2020 - December 31, 2020 Target Audience: Consumers between the ages of 24-44 with an annual income of $50,000-$100,000.

Research Summary: Secondary research guided the decisions used to create an advertising campaign for Amazon Inc.

Summary of primary findings: Amazon is the leader of the eCommerce market. Subscription boxes, having grown by over 100% over the last five years, prove to be a desirable commodity among today’s online consumers. New efforts will extend to market to the subscription box audience.

PR: Digital and social media platforms will be the basis for this non-traditional media campaign.

Considering the high visibility that Amazon has on Social Media, this will be the main form of advertising.

Evaluation: A post-campaign survey and a mix of analytic software will be used to measure the effectiveness of the campaign.

Brand Overview

50% Marketplace Sellers

2 Billion

Items Sold

600,000 Selling Jobs

300 Million

Active Customers

More than

185

Countries

$220 Billion Achieved in sales in 2018

Competitors Marketplace offers more focus on the seller versus the site as a whole.

Free 2-day Shipping* Option to pick up items instore Grocery Pickup/Delivery No Subscription Fee

Free 2-Day Shipping* Option to pick up items instore No Subscription Fee** Grocery Pickup/Delivery**

When compared to the competitors above, Amazon does have an initial subscription fee for Prime membership, but there is no minimum order total, Features include free Prime shipping, Whole Foods grocery delivery, and same day delivery options. Amazon's large e-commerce audience makes them visible to new sellers. The aquisition of Whole Foods and Kohl's in-store returns expands their desirability. *Orders must be over $35 for free 2-Day Shipping or use a REDcard (Target)

**Grocery Delivery through Shipt costs $14.99 a month

Large global presence international brand recognition.

Amazon Prime Customer Service Diverse Products Strategic locations

Partnership with Kohl’s to launch an in-person return option.

E-marketing and E-services Headquarters Expansion

S W

Strengths

Weaknesses

O T

Opportunities

Lack of Oversight Trust Crisis surrounding product quality control.

Returns Process

Threats

Competition from brands that are choosing to go online, Increased costs Threats from hackers The inability to reach consumers who are wary of shopping online.

TravelCrate By Take a Trip Around the World with Amazon's TravelCrate!

TravelCrate takes the top-selling and trending items from various, global regions and combines them into one subscription-based box.

FEATURES: 5 curated items each month from 5 featured countries. Including information about each item and it's use.

Customers can customize their box according to food allergies and dietary needs.

COST: Monthly: $20 subscription fee billed on the 1st of each month.

Quarterly: $50 subscription fee if members sign up for a three month subscription.

Saves consumers $10.

Target Audience Consumers between the ages of 25-44.

Income between $50,000- $100,000

Amazon Prime Members

Social Media Presence

29M

80K

1.7M

3M

Media Mix

ROI Analysis Benchmark: Current Subscription Performance Measurement Tools: Google and Facebook analytics will be used to measure the effectiveness and overall reach of the campaign. Klout metrics software will measure and compare the effectiveness across various social media platforms. Thus, allowing Amazon to know which form of social media was most effective and which platforms need more focus.

Evaluation

To evaluate and measure the effectiveness of the proposed advertising campaign, follow up surveys will be provided to analyze consumer satisfaction. Facebook Analytics, Google Analytics and Klout will also be used to measure brand awareness and media recognition of event effectiveness.

Further analytics such as pre and post revenue amounts will be assessed to determine if the event is deemed successful. Understanding that this is the first year of the product performance, overall consumer and subscription box sales remain the top priority. Focusing on global inclusion and the promotion of Amazon's global presence, the goal of this event is to first satisfy consumers and create meaningful value among all subscribers. Capitalizing on the target market and subscription box demographic, Amazon is able to further gain brand awareness. If the ROI analysis of the campaign produces increased measures, when accompanied with consumer satisfaction, the advertising campaign will be deemed effective.

Appendix

Armstrong, P. (2019, March 31). Amazon Primed: CIA Disruption, Market Share Data, Business Blueprints Launch. Retrieved from Forbes: https://www.forbes.com/sites/paularmstrongtech/2019/03/31/amazon-primed-cia-disruption-market-share-data-business-blueprints-launch/#7515d80474dc Basingstoke. (2016). Amazon.com, Inc. : Retailing - Company Profile, SWOT & Financial Analysis. Canadean Company Reports. Retrieved from https://login.proxy006.nclive.org/login?url=https://search.proquest.com/docview/1820065949?accountid=8337 Cameron, S., Kiersz, A., & Sharma, U. (2018). Jeff Bezos is Worth Over $100 Billion - Here's How the World's Richest Man Makes and Spends His Money. Business Insider. Retrieved from https://www.businessinsider.com/amazon-ceo-jeff-bezos-richest-person-net-worth-billions-2018-12 Chen, T., Fenyo, K., Yang , S., & Jessica , Z. (2018, February). Thinking inside the subscription box: New research on e-commerce consumers. Retrieved from McKinsey & Company: https://www.mckinsey.com/industries/high-tech/our-insights/thinking-inside-the-subscription-box-new-research-on-ecommerce-consumers#0 Columbus, L. (2018, 03 04). The State Of The Subscription Economy, 2018. Retrieved from Forbes: https://www.forbes.com/sites/louiscolumbus/2018/03/04/the-state-of-thesubscription-economy-2018/#364aedc253ef From Tribune, N. S. (2009, February). HACKERS DISRUPT AMAZON.COM, EBAY SITES. Chicago Tribune. Retrieved from https://login.proxy006.nclive.org/login? url=https://search.proquest.com/docview/419027859?accountid=8337 Gomes, L. (2008). Revisiting 'Long Tail' theory. Wall Street Journal Europe(33). Retrieved from https://search-proquestcom.proxy006.nclive.org/docview/308735521/fulltext/32E03B91E7614FB2PQ/1?accountid=8337 Lahart, J., & Jakab, S. (2017). Amazon's Margin-Crusher Invades the Grocery Store; Amazon's purchase of Whole Foods is a targeted bet on a part of the grocery business and is awful news for Kroger, Wal-Mart. The Wallstreet Journal. Retrieved from https://search-proquest-com.proxy006.nclive.org/docview/1910355530/fulltext/9D3D33489E5C41E9PQ/3? accountid=8337 Lonoff Schiff, J. (2014, October 20). Pros and Cons of Selling on Amazon, eBay and Etsy. Retrieved from CIO: https://www.cio.com/article/2836077/pros-and-cons-of-selling-onamazon-ebay-and-etsy.html Low, E. (2017, July 14). 5 things wal-mart is doing right as amazon threatens: Goldman. Investor's Business Daily. Retrieved from https://login.proxy006.nclive.org/login? url=https://search.proquest.com/docview/1919013701?accountid=8337 Lunden, I. (2018). Top US Companies Based on % of e-Commerce Sales. e-marketer. Retrieved from https://techcrunch.com/2018/07/13/amazons-share-of-the-us-e-commercemarket-is-now-49-or-5-of-all-retail-spend/ Patrick, S., Leung, C., Shu, S.-A., & Chang, C. (2014, February 19). The Changing Geoepidemiology of Food Allergies. Clinical Reviews in Allergy & Immunology, 46(3), 169-179.

Retrieved from https://search-proquest-com.proxy006.nclive.org/docview/1519118135/fulltextPDF/A37E4555BE24406FPQ/4?accountid=8337 Petro, G. (2019, March 8). Amazon's Crisis Of Trust. Retrieved from Forbes: https://www.forbes.com/sites/gregpetro/2019/03/08/amazons-crisis-of-trust/#79d231b07921 Q&A: JEFF BEZOS: Amazon.com. (1999, May 31). Bloomberg Businessweek(3631), 137. Retrieved from https://login.proxy006.nclive.org/login? url=https://search.proquest.com/docview/236746093?accountid=8337 Ratnasingham, P. (2006). A SWOT analysis for B2C E-commerce: The case of amazon.com. International Journal of Cases on Electronic Commerce, 1-23. Retrieved from https://search-proquest-com.proxy006.nclive.org/docview/192333057/C2D04592780348F8PQ/5?accountid=8337 Stock move: Kohl's surges jumps after expanding amazon returns program; amazon receives kohl's warrant. (2019, April). Live Briefs US. Retrieved from https://login.proxy006.nclive.org/login?url=https://search.proquest.com/docview/2212734599?accountid=8337