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Disclosure & Image Rights: Image rights by Markus Fost.

Here writes for you:

markus-fostMarkus Fost is the winner of the Vendor Award and works in business development as well as a consultant to the board at metabo. Markus Fost, BA cand. MBA, born in 1984, studied business administration at the HfWU Nürtingen-Geislingen. In his professional activity for well-known industrial companies and consulting companies, he was able to gain extensive experience in the e-commerce sector. Markus worked for Graupner GmbH & Co. KG for a total of nine years, most recently in 2009 - 2010 as Commercial Director / CFO. In 2009 he was given the Vendor Award Climber of the Year by Amazon.de as part of his work at Graupner GmbH and Co. KG. Markus Fost is currently working at the power tool manufacturer metabo in business development and as a consultant for the CEO and CFO. More information at www.all-ecommerce.de All texts by Markus Fost.

Selling on Amazon: How's the internet giant ticking?

Inspired by the violent Discussions on selling on Amazon Best of HR – Berufebilder.de® Let us now deal with the opportunities and risks that the marketplace offers potential entrepreneurs.

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How does Amazon® tick?

Amazon®.de opened its virtual doors in 1998 after the parent company Amazon®.com, founded in 1995 by Jeff Bezoz in Seattle, had already made a remarkable development. Nowadays that belongs Company to the Fortune 500.

The secret of the success can be found in the basic attitude of the founder: "We see our customers like the invited guests of a party, and we are the hosts!" - this quote has been passed down from Jeff Bezoz, multibillionaire and founder of Amazon®.com and hits the nail on the head.

If you really want to understand how Amazon is ticking, you have to look at the history of the company.

The story of Amazon®

Amazon® started as a pure online bookstore. The process quality of a smooth processing and fast delivery convinced numerous customers.

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Amazon® therefore quickly expanded the range to include media-related products Items and thus became a mega department store that covers almost all product groups that people consume, from A to car tires to Z to toothbrushes.

How high are the sales

The sales of Amazon® in Germany are generally not published, but these can be derived relatively precisely over the 10-K Filings of Amazon®. The figure below shows Amazon® derived revenues in the years 2007-2010 by product group.

As can be seen from the table, the non-media sector was already in the year 2010 a nearly as strong sales column as the media sector itself, and in the meantime it should even exceed this significantly.

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Rapid growth also in Germany

The rapid growth of Amazon®, which also takes place in the German market, can also be seen. This can only be achieved by a massive expansion of the product range or range.

This is why Amazon®.com began its opening up of its leading e-commerce platform in 2000, also for retailers and retailers. The Amazon® volume was born.

Full service for retailers

This enables retailers not only to use the entire sales platform, but also offers them logistics services, e-fulfillment or e-payment services as convenient online payment methods.

Thus, Amazon®.de, taking into account the market traders in the year 2010, comes to a trading volume of 4,9 billion. Taking into account the annual growth in sales of Amazon®.de over the past four years, which is an average of approx. 34 per cent per year, 2013 has a forecast of a trading volume of 11,8 billion EUR in Germany alone!

The secret of success

Amazon®.de is therefore not only by far the largest e-commerce provider on the German market, but also the online trading company with the highest growth rates. In e-commerce retail, Amazon® can therefore be described as an absolute “market maker”, similar to Apple® in the IT / entertainment electronics sector.

Amazon's mission is to be the place where customers quickly and conveniently find everything they want to buy, and at a great price. This mission and Amazon's vision to be the most knowledgeable company in the world have so far been unmatched.

What counts for the customer?

Here, Amazon® takes into account six main aspects, which are the most important to the customer in the long term, such as a favorable selection and a wide assortment. You will find an overview on the following figure:
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9 responses to "Selling on Amazon: How does the Internet giant tick?"

  1. Benjamin Wagener says:

    So if you already publish excerpts from a book here, then you should make it consistent and publish the content mentioned in the extract accordingly.

    "Figure h in the appendix shows the derived sales of Amazon® in the years 2007-2010 by product group."

    What attachment? The picture is missing.

    “The table above shows that the non-media area
    Already in the year 2010 a nearly as strong sales column as the
    Media sector itself, and in the meantime it has even become clear
    should surpass. "

    Which table? There is no to see.

    So the whole thing has an effect, sometimes just copy & paste divided into several parts, without meaning or understanding. The series “The 7 pillars of the success factor resilience” is not much better, because there is not one self-contained article after the other, but in principle only one article, which is formulated accordingly, piece by piece is expanded.

    • Simone Janson says:

      Hello Benjamin,

      thanks for the hint. Unfortunately, we made a mistake and displayed the wrong table. The first table above was originally at this point, but I have you then wg. of the layout. We correct that. I have asked the author for the correct table. Can take a while, sorry.

      What bothers you because that excerpts from books that you would otherwise have to buy expensive, make available free of charge? If we were to contribute all the parts, no one would read because of the length. And the resilience series is very well received, as the positive feedback proves:

      • Benjamin Wagener says:

        It does not bother me that extracts from books are published. I would just customize it a little for publishing in the blog in the wording. So it reads for me simply very wry.

        • Simone Janson says:

          I will pass this on to the authors. Unfortunately this is always a bit difficult with the rights between publisher and author. And also a question of time.

          In addition, books are written quite differently: for example, you are automatically bouncing more, because you have a lot more space, a blog post quickly gets to the point and communicates directly with the reader. Unfortunately, the authors do not always have the time to write a blog post.

          • Benjamin Wagener says:

            Then I would consider whether it would not be more meaningful then the readability because of the reading sample as a PDF or so in a framework of the literary work and the respective excerpt commenting blog article. But finally, this is your blog, you need to know what you like.

          • Simone Janson says:

            Hello Benjamin,

            yes, the request for printable texts we had schonmal.

          • Benjamin Wagener says:

            Well, the texts are printable that way. A round of copy & paste or appropriate browser add-ons and you're done.

          • Simone Janson says:

            I would have thought also, but it gave just the request. Apparently, many readers would like to have an expressive button. And: of course, the texts are not as nicely legibly formatted as in the PDF, but that is just synonymous complex.

    • Simone Janson says:

      The table is now here ;-)

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