Introduction: Amazon and Walmart Company Analysis
Amazon:
- The largest digital company in the United States.
- It began as an e-commerce bookstore but has expanded to a diversified chain.
- The Retailer has the largest variety of products on sale.
- It applies the One- to- One (Relationship) Marketing Concept for value proposition and marketing mix (Morgan, 2021).
Walmart:
- Amazon is a global chain company with the largest turnover rate.
- Involved in offline selling all types of products at a discounted price in supercenters.
- It operates in 15 countries with a variety of business methods.
- Use of psychographic and demographic segmentation strategies for value proposition and marketing mix (Morgan, 2021).
Marketing Concept Analysis- Method
- One-to-one marketing concept- Amazon.
- Psychographic and demographic segmentation strategies- Walmart (Morgan, 2021).
Amazon’s Marketing Strategy
- Low Pricing.
- Online dominance through a social media campaign.
- Cross-docking (Morgan, 2021).
Walmart’s Marketing Strategy
- Quality at a Low price.
- Efficient technology and inventory management.
- Cross-docking
- Offline dominance (Morgan, 2021).
Results
- Amazon operates 600 physical stores.
- The Revenue of $404.4 Billion by 2020.
- Market share 40.4%.
- Customer population of 300 million (Morgan, 2021).
- Walmart operates over 11,000 stores in 27 countries.
- Revenue at 39.78 Billion by 2020.
- Market share 7.2%.
- Consumer population of 220 million (Morgan, 2021).
Five Cs for Amazon online
- Company:
- Global technology company.
- Controls 44% of the US retail e-commerce.
- Collaborators:
- Microsoft.
- Customers:
- Customer satisfaction rate 83% (Morgan, 2021).
- Competitors:
- Netflix.
- Disney Plus.
- Climate:
- Economic fluctuations.
- Technological disruptions (Morgan, 2021).
Five Cs For Walmart Company
- Company:
- Founded in 1962
- Provides affordable prices for retailers
- Collaborators:
- Collaborators include Goldman Sachs.
- Customers:
- Middle-class consumers
- Affiliate consumers (Morgan, 2021).
- Competitors:
- Amazon and Target.
- Climate:
- Political instability.
- High economic activity (Morgan, 2021).