Introduction
The modern world is quite fast-changing, and adaptive modifications are required from all industries, including the field of online shopping. Recent developments in the sector of Internet retail have been affected by global and national consequences of the spread of COVID-19. In particular, the current pandemic has dramatically boosted the demand for digital collaboration and has encouraged the adoption of virtual reality (VR) (Web). Before the COVID-19 outbreak, many companies were interested in utilizing VR, but the spread of the virus has shown that nowadays, the customers are ready to accept the technology in their retail experiences (Web). Therefore, it is urgent for Amazon to now respond to the trend of implementing VR in the corporation’s online shopping to face the challenges of COVID-19.
The purpose of this memorandum is to encourage Amazon to concentrate more on VR in order to offer unique experiences and differentiate from rivals, improve procedures, and satisfy the interests of those involved in the enterprise’s work. First, VR can help Amazon surpass its competitors and stand out among internationally-renowned brands. Second, the technology can influence the organization by enhancing Amazon’s operations. Third, VR can affect several stakeholders who are concerned with the company’s growth. Amazon should focus on developments in virtual reality and apply the technique to retail, transportation, and customer business.
The Positions of Amazon and Its Competitors
Amazon can advance its Internet sale of goods through the usage of VR. Considering that the pandemic has forced firms to work remotely, VR has the advantage of creating stores that are not constrained by physical boundaries. VR can enhance product affordances, such as sitting on a chair or holding an object, and provide richer communication channels between the consumer and the item. For instance, Image 1 represents a visual analogy of how clients can view goods in VR and on a website. Accordingly, the evidence demonstrates that VR allows customers to experience how to utilize an object before purchasing it.
Amazon’s online shopping services have the potential to implement VR successfully. Since 2017, the corporation has been interested in virtual shopping and has recently presented a “try before you by” feature based on augmented reality (AR) (Web). AR is different from VR in the sense that the latter generates a three-dimensional simulated environment rather than simply enriching a current space. Nonetheless, because Amazon has a history of modifying its retail surroundings, one can argue that the enterprise is likely to be triumphant in pursuing the new trend of VR.
By utilizing VR, Amazon can stand out among its rivals. For example, although offering less diverse products, most firms that enable online shopping, such as Nike and Zara, concentrate on AR. In comparison, the majority of brands that employ VR seem to implement the technology only in their physical stores. Therefore, the evidence suggests that, by applying VR alongside AR in Internet retail, Amazon can differentiate itself from other enterprises.
VR’s Role in Advancing Amazon’s Operations
The use of VR can assist Amazon in improving certain procedures, such as those related to transportation. For instance, drivers who operate delivery vans can employ VR to broadcast route information on the windshield and not be distracted from the road ahead. Moreover, VR can be utilized to train employees to manage transport in different situations, such as driving at night while it is raining. Consequently, the development of VR matters for Amazon to instruct its drivers.
Furthermore, Amazon can employ VR to enhance operations within the corporation’s warehouses. For example, VR can create a replica of a particular warehouse for employees to determine the location of a product instantly, minimize human error, and increase the speed of deliveries. The evidence indicates that the VR trend can optimize Amazon’s processes so that customers will receive their orders with fewer delays from storage.
The Effects on Amazon’s Stakeholders
The implementation of VR will affect Amazon’s stakeholders and especially the interests of the clients. Amazon’s mission and vision statements signify that the business is quite customer-centered, and the decision to apply VR is likely to impact consumers’ online shopping affairs. In comparison to visiting physical stores or participating in Internet retail, VR shops can generate a sense of purchasing in a regular outlet from the comfort of one’s home. Accordingly, VR will directly influence how Amazon’s clients buy on the corporation’s platform.
VR will specifically affect Amazon’s employees in both executive and subordinate positions. For example, as discussed above, truck drivers and staff from warehouses will have opportunities to receive sufficient training and methods to enhance their work. Moreover, Amazon’s managers will be able to use VR collaboration platforms by putting on headsets and joining virtual environments that can depend on the purpose of the meeting. Evidence suggests that VR can benefit not only Amazon’s customers but also employees whose performances can be improved by employing VR.
When ranking the interests of the corporation’s stakeholders, those of customers and employees play vital roles, but Amazon’s determination to focus on VR may generally impact other businesses in the industry. In particular, if Amazon manages to identify VR solutions for online shopping, such as creating a virtual store for specific products, other firms are likely to be interested in adopting the corporation’s changes to their operations. Therefore, VR can affect several parties involved in Internet retail.
Recommendations
Amazon should respond to the VR trend by determining which items should be presented in a VR setting and what customers will need to do to enter a certain environment. For instance, while the company uses AR for clothes, VR is better suited for such tools as hammers. Furthermore, it is necessary to resolve how clients will access VR stores. VR settings require headsets, and although they are becoming cheaper, not all Amazon’s users can afford such devices. Accordingly, Amazon should begin by identifying what will be displayed in VR shops and how to enable customers to join the stores.
The implications of responding to the VR trend appear rather positive for Amazon. Despite challenges related to acquiring headsets, people seem excited about applying VR to online shopping. Moreover, as discussed above, VR can present advantages to clients and employees of Amazon. In comparison, deciding not to participate in the implementation of VR sales may not be practical. Considering that the VR market for the retail industry is anticipated to witness market growth at approximately 68% by 2027, standing aside from VR may result in financial losses. Amazon’s customers and workers may benefit from VR, but evidence indicates that if the corporation resolves not to react to the trend the business may encounter monetary droppings.
Conclusion
Amazon should concentrate on the development of virtual reality to be applied in the corporation’s online shopping. The company has the potential to profit from VR by differentiating itself from other brands and providing clients with unique purchasing experiences. VR can advance such processes as transportation by training drivers and helping them better navigate routes. The implementation of VR can affect several stakeholders but is especially important for customer business because Amazon centers on its clients. The next steps for Amazon would be determining which products should be presented in VR stores and how to help consumers visit such shops.
Work Cited
www.euronews.com
www.forbes.com