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Berg Natalie - Amazon : How the world’s most relentless retailer will continue to revolutionize commerce

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Berg Natalie Amazon : How the world’s most relentless retailer will continue to revolutionize commerce
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The retail industry is facing unprecedented challenges. Across all sectors and markets, retailers are shifting their business models and customer engagement strategies to ensure their survival. The rise of online shopping, and its primary player, Amazon, is at the heart of many of these changes and opportunities. Amazon explores the e-commerce giants strategies, providing original insight at a time when the company is on the cusp of revolutionizing itself even further. Amazons relentless dissatisfaction with the status quo is what makes it such an extraordinary retailer. This book explores whether Amazon has what it takes to become a credible grocery retailer, and as it transitions to bricks and mortar retailing, explores whether Amazons stores can be as compelling as its online offering and if innovations such as voice technology, checkout-free stores and its Prime ecosystem will fundamentally change the way consumers shop. Written by industry leading retail analysts who have spent decades providing research-based analysis and opinion, Amazon analyzes the impact these initiatives will have on the wider retail sector and the lessons that can be learned from its unprecedented rise to dominance, as stores of the future become less about transactions and more about experiences Read more...

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PRAISE FOR AMAZON If you believe in the philosophy of knowing your enemy then - photo 1
PRAISE FOR AMAZON

If you believe in the philosophy of knowing your enemy then Amazon is a must-read for any omnichannel retailer. Tim Mason, CEO, Eagle Eye Solutions

Natalie Berg and Miya Knights have written one of the definitive accounts of the rise of Amazon and its dramatic impact on the world of retail. As a financial analyst that has followed Amazon for over two decades, I found this book to be chock-full of insights and datapoints. Berg and Knights explanation for why Amazon went physical developing Amazon Go Stores, acquiring Whole Foods is particularly compelling. There are valuable lessons in this book for investors and for retailers, especially for companies looking to excel at WACD: What Amazon Cant Do. I highly recommend this book. Mark S Mahaney, Managing Director and Analyst, RBC Capital Markets

Amazon is a phenomenon focused relentlessly on customers, reinvesting heavily to drive growth, not letting the here-and-now distract it from its long-term vision. For any e-commerce entrepreneur, Berg and Knight bring rich insight into how Amazon has become a 25-year overnight success. But as well as unpicking Amazons growth, its also a well-timed reminder about the seismic and exciting changes in customer behaviour thats helping new retailers like Missguided make an impact. Nitin Passi, CEO and Founder, Missguided

Berg and Knights in-depth look at Amazon will be the go-to handbook for retailers looking to understand its impact. And because of their comprehensive, up-close-and-personal knowledge of that business, and its peers across US and Europe, its rich with objective insight. But its much more than a book about Amazon; its a social commentary on the impact of higher-than-ever customer expectations supercharged by technology. Shoppers know what was impossible is now possible; what was unfeasible, feasible; what was a dream is now a reality. Berg and Knights remind us reinvention to serve this new customer is not optional for any retailer. Andy Bond, CEO, Pepkor Europe

As well as being a comprehensive and authoritative insight on how the Amazon model relentlessly evolved to create more Amazon, its also an indispensable insight into the future of shopping and how retail must adapt to stay relevant to the on-my-terms customer. Robin Phillips, CEO, The Watch Shop

Berg and Knights lay out in a comprehensive manner an essential primer on Amazon. This roadmap of history and progression of the online behemoth surgically explores key inflections and pivots that have led to the DNA of Amazon. Most importantly, the insights and implications presented will provoke anyone who participates in the Industry of Everything that Amazon competes in to reassess and evolve their own strategies. I know I will. Anh Nguyen Lue, North America Open Innovation and eCom Category Management Leader, P&G

Amazon

How the worlds most relentless retailer will continue to revolutionize commerce

Natalie Berg

Miya Knights

Amazon How the worlds most relentless retailer will continue to revolutionize commerce - image 2

Publishers note

Every possible effort has been made to ensure that the information contained in this book is accurate at the time of going to press, and the publisher and authors cannot accept responsibility for any errors or omissions, however caused. No responsibility for loss or damage occasioned to any person acting, or refraining from action, as a result of the material in this publication can be accepted by the editor, the publisher or any of the authors.

First published in Great Britain and the United States in 2019 by Kogan Page Limited

Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the Copyright, Designs and Patents Act 1988, this publication may only be reproduced, stored or transmitted, in any form or by any means, with the prior permission in writing of the publishers, or in the case of reprographic reproduction in accordance with the terms and licences issued by the CLA. Enquiries concerning reproduction outside these terms should be sent to the publishers at the undermentioned addresses:

2nd Floor, 45 Gee Street

London EC1V 3RS

United Kingdom

www.koganpage.com

c/o Martin P Hill Consulting

122 W 27th St, 10th Floor

New York NY 10001

USA

4737/23 Ansari Road

Daryaganj

New Delhi 110002

India

Natalie Berg, Miya Knights, 2019

The right of Natalie Berg and Miya Knights to be identified as the authors of this work has been asserted by them in accordance with the Copyright, Designs and Patents Act 1988.

ISBNs

Hardback 978 0 7494 9772 9

Paperback 978 0 7494 8279 4

Ebook 978 0 7494 8280 0

Typeset by Integra Software Services, Pondicherry

Print production managed by Jellyfish

Printed and bound by CPI Group (UK) Ltd, Croydon, CR0 4YY

CONTENTS
List of Pages
Guide
LIST OF FIGURES
LIST OF TABLES

Relevantrlv()nt appropriate to the current time, period, or circumstances; of contemporary interest.

Retail is going through a transition. The naysayers will call it an apocalypse; to others, its digital transformation. But one thing we can all agree on is that this is a period of profound structural change.

The rise of online shopping, combined with broader shifts in consumer values and spending habits, has exposed an overbuilt retail landscape. Stores are now closing at record rates and retail bankruptcies are at recessionary levels. Traditional business models are being displaced and everyone is scrambling for survival. The worlds largest retailer has even changed its name: after nearly half a century as Wal-Mart Stores, in 2018 the retailer dropped Stores from its legal name to reflect the new digital era. This is retail Darwinism evolve or die.

But theres one word that often gets overlooked in all this talk of an impending apocalypse relevance. The most important rule in retail is being relevant to customers. If you cant deliver on the basic principles of giving customers what they want or standing out from the competition, then you dont stand a chance. For these retailers, yes, the Doomsday clock is ticking.

For those willing to embrace change, however, this is a fantastically exciting time to be in retail. The future is fewer, more impactful stores. The future is offering shoppers a more blended online and offline experience. And the future is excelling at WACD: What Amazon Cant Do. The titan of 21st-century commerce, Amazon has grown from online bookseller to become one of the most valuable public companies in the world. At the time of writing, Amazon accounted for nearly half of US e-commerce sales. Those cardboard boxes are certainly changing retail.

As if thats not enough, Amazon has been busy ramping up its global operations. In 2008, Amazons international presence was limited to six markets: Canada, UK, Germany, France, Japan and China. A decade later, operations outside of the US accounted for one-third of retail sales, spanning 18 foreign markets from the bright lights of Mexico City to the remote hills of the Himalayas.

Amazon more than doubled its square footage in just three years; by 2018, Amazon owned or leased more than 250 million square feet of space around the world.

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