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Tag: amazon india

  • The Latest Development About Business Model Of Amazon Prime That You Have To Know

    Amazon is the world’s leading e commerce business with an annual turnover of over $100 billion  and its growth is still exponential.  At the same time, Amazon is one of the world’s leading membership businesses with Amazon Prime.  The service is believed to have more than 80 million members worldwide.

    Amazon Prime is considered an important part of Amazon’s great success.  Amazon Prime members pay an annual amount of $99 or a monthly amount of $10.99 and receive free two-day delivery on over 15 million different items.  In addition, Amazon provides various content including data storage, movies and music to its core members.

    Amazon Prime Logo

    Amazon Prime Objective

    The primary objective of Amazon Prime is to create loyalty between Amazon and its customers.  When the customer has paid $99 or $10.99  for free delivery, he will wish to get the most from the already paid membership fee.  In other words, Prime Members get what we call ‘Golden Handcuffs’ within the subscription industry;  Benefits for customers.  As a result, Prime Members spend three times as much money as non-members on Amazon.com in addition to the membership fee.

    How To Become A Jio Mart Retailer In India
    Jio has become a prominent market in today’s India. It is growing up on a dailybasis and are trying to explore different ventures. Well, it is the best time tobecome a part of such an outgrowing organization. RIL(Reliance India Limited) has come up with a new venture and have entered theecommer…
    StartupTalkyYash Raj Srivastava

    Prime is not only critical of Amazon’s current business, with one-third of Amazon’s business derived from Prime membership.  Prime is also an important part of Amazon’s strategy for the future that revolves around the complete disintegration of the interaction between e-commerce and retail and the dominance of the same-day distribution market.Amazon has entered the market for groceries in the US, winning a position as a same-day delivery dominator in the market. Amazon Fresh delivers groceries and other goods directly to the customer’s doorstep, the day the goods are ordered.  Prime also plays an important role here.

    A Prime Fresh subscription at an annual amount of $299 gives customers free delivery of groceries as they often like Other retail and grocery businesses have much to learn from the success of Amazon’s membership.  Businesses have the opportunity to tie customers closer to the business through a membership that builds loyalty and makes the customer spend more on your business and less with competitors. It is very likely that we will see substantial use of the membership model within both the retail market and the grocery market – as we have seen it in other industries over the years

    Other Prime Service

    Amazon Prime Service

    Amazon Prime Music

    Prime Music is Amazon’s music streaming service.  Here users get access to over one million songs, which can be freely downloaded in the “Prime-Library”.  Prime users have the opportunity to purchase CDs at a lower price than usual, even though these purchases are rare at these times.  Compared to Spotify and other music services, Prime Music’s selection is not volatile, as contestants have more than 20 million songs available, but simply that the selection doesn’t exist is incredibly important and gives loyal customers their money.  Gives good value.

    Amazon Mom

    Prime has further membership.  As a Prime Subscriber, it is possible to subscribe as a parent or a family member and thus save 15-20 percent on diapers and similar products.  However, the name has been in the news a bit and has since been changed to the more appropriate “Amazon Family”

    Amazon Cloud Drive

    Amazon cloud drive is Amazon’s “cloud storage”;  Amazon’s response to Dropbox.  Here, users can store files from their computer, so that it is backed up and so that computer memory is not filled.

    Amazon Studio

    Amazon Studio is an additional step in Amazon’s long-term plan to reach as many users as possible.  Amazon Studios Amazon has its own film production service and intends to produce both TV series and films.

    Amazon Prime Instant Video

    The video service competes with some relatively big players, including Netflix, Hulu and HBO.  However, there are many indications that Prime Instant Video is a major success, especially in terms of getting users to subscribe to Prime or getting users to keep up with Prime

    Amazon Prime Two Day Delivery

    It was from here that it started.  For six years, Prime was only a two-day delivery service and was a real success for subscribers.  It was possible to get free delivery with your purchase if you ordered more than $25 and were not a Prime Customer – but as a Prime Customer you could order anything without paying for transportation.  Of course, you have indirectly paid for the load – as an annual payment – but in the end most customers have made the most of the savings on free transport or paid in the subscription amount.

    Amazon Prime Kindle Service

    39 percent of Amazon consumers in the US reportedly own a Kindle reader.  Kindle users, who are not necessarily prime subscribers, are often referred to as good subscribers as prime subscribers, as they make more purchases than the “standard” customer.  Kindle is the name of Amazon’s e-book reader, which gives users the possibility to buy, download and read e-books anytime on their tablet.  Kindle also works with Prime Library, which gives Prime customers the possibility to borrow e-books for free from a website or app

    Top 10 Small Business Ideas To Start In 2020 | Best Business Ideas 2020
    The first six months of the year have brought severe turmoil and tension toeconomy, the COVID-19 pandemic [/tag/covid-19/] being the biggest challenge.Countries have had to implement lockdown [/tag/lockdown/] measures to containthe disease. Thus, starting a new business won’t be the same as earli…
    StartupTalkyDevashish Shrivastava

    Learning From Amazon Prime

    In 26 years, Amazon has managed to grow to be the world’s most successful e commerce company with an annual turnover of over $130 billion and a market value of around  $470 billion.  Nevertheless, the company still finds itself in the “Day One” in the development of e-commerce, as the vast majority of business between companies and individuals is still physical and psychologically driven by customers into a store or supermarket  .  This is what Amazon wants to change.

    According to Jeff Bezos and Amazon this change will only happen if e-commerce is cheaper, faster and easier for the customer in the future, as the customer has to go to the local store or supermarket.  Therefore, the customer, when he is shopping online, must have access to the best and largest selection of items.  More importantly, the goods have to be delivered quickly and most often on the same day.

    One of the most surprising levers in the making of this change is Amazon turning its customers into customers.  The membership model is otherwise not an everyday look in the retail or grocery industry.  In fact, it is virtually non-existent, but Amazon has reinforced and revolutionized the concept of membership, and created a very strong formula for customer loyalty with Amazon Prime.  In fact, to the extent that it is believed that Amazon has more than 60 million customers worldwide – and is still growing

  • Amazon And BigBasket Approved For Home Delivery Of Liquor In West Bengal

    The lockdown due to the Coronavirus Pandemic (COVID-19) affected the Indian economy in a bad way. The Indian economy came to a standstill ever since the lockdown has been imposed. Most of the industries except those which manufacture essential day-to-day products such as food products, medicines, etc. were allowed to operate. All the other businesses, shops, and factories of non-essential products and services were put to a complete stop to contain the spread of Coronavirus. The alcohol sector of India was one of the many that very badly affected. While the alcohol and liquor stores all around the country have started opening, it is still a great risk to stand in long queues for buying alcoholic drinks. However, now the people of West Bengal will be able to buy alcohol online through online stores Amazon and BigBasket.

    According to reports, The West Bengal State Beverages Corp., which manages the sale and distribution of alcohol in the state, has authorized Amazon and BigBasket for sale of alcoholic drinks on their online portals. The online stores can now deliver Beer, Wine, Spirits, and other alcoholic drinks in the state of West Bengal. The stores have been permitted for the sales of alcoholic drinks. The notice stated that both of these stores are eligible to register with the government authorities and to start the sales and home delivery of liquor when they like. However, no announcement or statement has been given by either of these companies regarding the same.

    Also Read: Steps Taken by Online Food Delivery Startups amid CoronaVirus Outbreak

    Apart from this, online food delivery applications such as Swiggy and Zomato have continued the delivery of alcohols, beer, and wines since last month when the alcohol shops were allowed to reopen and restrictions on the ban of alcoholic drinks were lifted by the government after about 45 days from the start of lockdown.

    Also Read: Online Alcohol Delivery in India: Did Zomato and Swiggy get the approval to Deliver Alcohol?

    As of now, these privileges have been granted to the 2 online stores only in the state of West Bengal. Will all the other state governments will permit these stores for the online shopping of liquor is a big question. This is because all the states have different regulations and policies regarding the sales and trade of liquor.

    Will this step help the Indian Economy?

    The alcohol sector of India has a large contribution to its economy. All of the Indian states, combined together, earned about ₹ 2.25 lakh crore from taxes on alcohol in the last financial year. This means that many of the states of India derived more than 15% of their tax revenues through the sale of alcohol and liquor. This means that the states of India combined together earned more than ₹ 600 crores per day through taxes on liquor, which in turn means that the Indian economy suffered a loss of more than ₹ 600 crores per day since the sales of liquor and alcoholic drinks were put to a stop.  So, this step will definitely be a slight help to the Indian economy. And if all other states permit the online sale and home delivery of alcohol and liquor too, it will give a huge boost to the economy of India.

    Amazon Gets Permission For Delivery Of Alcohol In West Bengal

    This step will also ensure the safety of people who consume alcohol, who stood in long queues outside liquor shops when the sale of liquor started again the previous month. People standing in queues outside liquor shops often ignore social distancing, and few of them even do not bother to wear masks for their safety. Thus, the no contact home delivery service for wines, beers, spirits, and alcohol will ensure the safety and good health of the customers and stop the people from putting themselves along with the others at risk by standing in long queues outside the shops to buy liquor.

  • E-Commerce Market Competition Brings War Of Sales To Benefit Consumer End

    Amazon Vs Flipkart

    Time for the evoking battle in global e-commerce market competition is around the corner. A comparative study about the pros and cons of the giants’ tie up in Indian retail market to throw light on the changes which could be possibly seen. Too many sneaks in and brainstorming through varied reliable sources give us a vivid picture on Walmart, the world’s biggest retailer. The American multinational retail chain, Walmart is investing in India. The fervor to establish itself in e-commerce market has driven Walmart here to India. Although, to establish itself in the Indian market is a mammoth task and Walmart has taken a huge leap.

    Walmart has clenched hands with Flipkart, India’s first billion dollar company that brought a revolution in the Indian retail market through online shopping. Flipkart has about one-fourth of its market sales in Indian sub-continent which appealed the Bentonville giant to tie-up with Flipkart. Flipkart controls 34 percent of online sales in India with a wide range of product categories from apparels to electronic goods. It is going to be the major stakeholder of Flipkart which has high revenue base in the Indian retail market. Walmart has invested about $15 billion for this venture and is remaining poised with fingers crossed.

    All this arouse competition with another e-commerce giant, Amazon for which Walmart sensed India to be the better platform. Amazon has a significant customer base and already established a strong foothold amongst Indian consumers. The customers of this Seattle based giant spend about a double-triple time of those spent by Flipkart customers. The Amazon’s app has the highest downloads compared to Flipkart and its sister concern, Myntra.

    Also Read: Mukesh Ambani Is All Set To Revolutionize The E-Commerce Industry with JioMart

    The Competitor’s Insight

    As Amazon already holds a stand-in India, it is a demanding situation for Walmart to creep in with varied strategies. This US-based retailer which has already dug its feet in the cash and carry wholesale market in India is ambitious to get a toehold in the e-commerce sector. Walmart has come with a clever strategy to target Amazon. Flipkart has already acquired Myntra in 2014 and also Jabong through Myntra. It’s evident that by acquiring the Bangalore based retailer, Walmart predicts to have a customer base before its arrival in the e-commerce market. To land and grow on an established branded market seems quite easy which might be Walmart’s insight, but this may even turn out the other way.

    Walmart, the world’s largest company by revenue has an edge over Amazon in India with its brick and mortar stores. The marketing strategy goes this way: Both physical and online presence might cater to customers effectively. This is because shipping charges are really expensive and this can be overcome with in-store access so that they can collect from the local stores. This ultimately allows both the retailer and customer to save money for packaging and shipping costs. Walmart hereby shows its Omnichannel marketing strategy by considering in-store and e-commerce as complementary sectors and not as two different streams. As a matter of fact, Amazon is planning to acquire More’s Outlet of Aditya Birla Group which will give a shoulder to shoulder competition with Walmart.

    The battle has already begun between the US-based rivals and Flipkart is a tool for Walmart to play its turn on Amazon. Though the win is unpredictable, initially the battle itself will bring in more changes and benefits at the consumer end.

    Also Read: Amazon Experimenting In Food Delivery Services In India

    With Amazon Fresh has entered the food and groceries delivery space where Flipkart announced its new program, FarmerMart to give Amazon a run for its money. While the program is yet to be launched, it’s already a large threat to existing e-commerce entities that operate in same field.

    Taking Amazon Prime head on, Walmart-owned Flipkart entered into original video content in India with the launch of ‘Flipkart Video Originals‘ as the over-the-top media services (OTT) war heats up in the country.

    Also Read: Ecommerce Trends in the Indian Ecosystem

  • Amazon Eyeing Airtel For $2 Billion Deal To Fit Into India’s Telecom Market

    Amazon has made a huge impact on India’s market and is now eyeing for an entry into the Indian telecom industry. Reuters has reported that Amazon is trying to buy a 5% stake in Airtel, one of the leading telecom providers in the country. Airtel being the third largest Indian telecommunication provider can prove to be a game changer with the help of the US based e-commerce giant.

    American giants have started to invest in Indian based firms lately. They are focusing on taking the Indian telecom services to the next level. These investments will help Indian based telecom industries expand their business to different countries and create an international presence.

    Also Read: Amazon Experimenting In Food Delivery Services In India

    It can create a big impact in the market if believed to be true

    Deal At an Early Stage

    Although this deal is in its early stages, it’s a small step towards the globalization of India’s telecom industry. And it will surely help in boosting India’s economy. As more and more countries look for investing in India, the coronavirus pandemic being one of the catalysts, this news can be termed as the start of something good from an economic front, a change needed in this time of crisis.

    great competition in the Telecom Industry

    A Wave Of Competition In The Telecom Industry

    What makes this deal interesting is that it has come at the time when Indian telecom service providers are receiving investments from the big shots. Reliance Jio sold its stake of around $10 bn from several investors over the past few months. Investors like Facebook, General Atlantic ($869 Mn), Vista Equity Partners ($1.5 Bn), Silver Lake ($746 Mn), and KKR($1.5 Bn) have pumped cash in Reliance Jio, the market leader at the moment. The investment by Facebook in Reliance Jio has created a more competitive market in the telecom field.

    It can be a great revolution for telecom industry 

    Jio has always done something out of the box which allowed it to grow quickly. This has affected giants like Vodafone who have lost a significant share of Indian customers courtesy of Jio. Many have fallen into debt. The announcement of partnership with US based tech giants will change the playing field for all the competitors. An element of uncertainty looms in the air as no can guess what investment news is going to come next.

    Mubadala Investment Company, an Abu Dhabi based funding company, has recently announced its intention of purchasing around 1.85 percent stake in Reliance Jio. Mukesh Ambani has confirmed this news.

    Also Read: Reliance Industries made Acquisitions worth $3 billion in past 3 years

    Google is trying to help Vodafone pare its debt, as talks of Google buying a 5% stake in Vodafone do the rounds. If the purchase happens, Vodafone can again become a valuable contender in the telecom market. Vodafone, once a top telecom service provider, is not doing well financially for some time now. To sustain itself, it’s imperative for Vodafone to get back in the competition.

    After the Amazon speculation, the share prices of Bharti Airtel have increased by 5.73% per share. Investors have seen happiness after a long time as the investment speculation is no less than a silver lining of hope.

    The deal is in nascent stages of discussion, and any change is possible at the moment since sources haven’t confirmed the news.

    A statement given by an Amazon spokeswoman said the company does “not offer comments on speculation of what it may or may not do in future.”

    Whereas Bharti Airtel said it will love to collaborate with the digital players around and accept their products, their content and their services provided to the customers. Bharti Airtel stated, “Beyond that there is no other activity to report.”

    Amazon And The Indian Market

    Amazon counts the Indian segment as one of its important growth markets and has a total investment of around $6.5 bn in the Indian e-commerce front. The US based company founded by Jeff Bezos in the recent years has developed a multi venture market in India by bringing voice controlled speaker called Alexa, video streaming site namely Amazon Prime Video, and cloud storage.

    Amazon is trying to capture different market opportunities around India and teaming up with the telecom industry players is a major step. Amazon has been a hit in India, becoming a household name.

    When Amazon was launched in India in February 2012 via its e-commerce site, it became an instant hit with the people. Indians started to prefer online marketing instead of going out and shopping. It attracted a large range of customers back then and became a major part of India’s revolutionized retail segment.

    In 2016, Amazon dived into India’s streaming industry and has created solid name for itself. Amazon Prime Video has been one of the best streaming platforms in India, and is a formidable competitor to Netflix and Hotstar. Amazon Prime Video is known for its awesome content wand has come up with tailor made Indian content to target audience of all age groups. The music streaming platform provided with the membership of Amazon Prime has only improved its reach. Providing membership to customers at low costs has assisted Amazon in creating a strong hold in India.

    With Amazon’s entry in the Indian telecom segment through Bharti Airtel, people can expect new enhancements at lower costs. If Airtel can succeed in leveraging Amazon’s capabilities, it can potentially seize a large number of Indians. It would be interesting to see the Indian telecom industry with the re-emergence of the market leaders.

  • Amazon Experimenting In Food Delivery Services In India

    The e-commerce giant Amazon,  now a days is  to expand all of it’s service in all the sectors by entering in the new sectors trying to build tough competition for the existing players of that sector. Now, the company has joined India’s online food delivery market, and now focusing on becoming the market leader in this sector by giving tough competition to the top local players i.e. Swiggy and Zomato. Let us see the complete report on the topic, Amazon experimenting in food delivery services in India.

    Insights of Amazon Food

    Amazon Food

    The American-based e-commerce giant Amazon, has invested a good amount in their new venture i.e. around $6.5 billion in India. The name given to their brand new food delivery service is Amazon Food. At the present moment, the Amazon food is working in selected pin-codes of Bangalore i.e.  560048, 560037, 560066 and 560103. From the past news from many sources, it was heard that the company was originally planning to launch their food delivery service in India last year, which they pushed to match. No clear reason was provided by the company in this regards but later on they had to push it further more due to the nationwide stay-at-home order (National lockdown) by the Indian government, which they issued in late March before the immediate starting of their services.

    Also Read:  Steps Taken by Online Food Delivery Startups amid CoronaVirus Outbreak

    E-commerce giant at present testing the food delivery service with the selected restaurant partners in Bangalore with some of the employees. They are going to expand this venture in the upcoming span of time.

    Competition in food delivery services

    The basic idea behind the Amazon’s entry into the food delivery market sector to try the new sector. Also, many of it’s rival in their sectors are presently started working in this sector. Google is also working in this sector indirectly with the help of their funded company i.e. Danzo. At present, Danzo (Google backed startup) is working in all types of delivery services and now has started delivering the food services.

    Also Read: The Unpredictable Acquisition of Online Food Delivery

    Other startups like Zomato is itself working in this sector and has now acquired Uber Eats in the starting of the year. The biggest rival startup, Swiggy is also giving the tough competition in this sector, making this sector difficult for any type of future competition. After looking a great opportunity in this food and delivery sector, Amazon is also trying to experience this sector.

    Amazon strategy behind Amazon food

    Amazon is now promoting it’s Amazon prime services to their customers to experience all the facility under a single roof. The company was waiting to integrate this facility with their prime services. According to the company, this brand new integration of this service can help them in increasing their revenue and can help in achieving their goal of converting their business model into profits. This will also help them in acquire more customers which can become their potential customer and so they will be able to experience all the facility within the same brand name in the single servicing platform.