Competing with Amazon is possible
You might not be able to compete on price with Amazon, but you certainly can compete on working out what your point of differentiation is and exploiting that to its fullest.
Amazon’s weakness is in its greatness. It has everything for sale and no one not even Amazon can be good at everything. Be the place that customers go to for inspiration and differentiation.
Amazon’s power is undeniable. Their strength as a 3PL is only going to grow as time goes on. There will be a divide between those who want to use Amazon, and those who don’t. There will be retailers which decide to go to Amazon because it makes financial sense. And there will be others who will value the more personalised service of a traditional 3PL; with Amazon encroaching in the 3PL world, it’s going to be more important than ever to offer a strong client experience.
So, what can you do?
Great Experience + Great Product = Loyalty.
* Branding – give consumers a story
Beyond just a memorable logo, good branding increases the value of a company, provides employees with direction and motivation, and makes acquiring new customers easier.
People love to tell others about the brands they like. People wear brands, eat brands, listen to brands, and they’re constantly telling others about the brands they love.
Amazon’s lacks any type of branding when you drill down below the surface. What you can do to differentiate your product/services is to go beyond the brand, and exceptional experiences. Provide your consumers with a story they can identify with and remember.
* Exploit the latest WMS technologies
Choosing the right WMS for your operation can have profound effects on your business and deliver important benefits. The key benefits are:
Increase efficiency with WMS system driven tasks to manage your workforce. Let the WMS system prioritise the important jobs to make sure the warehouse runs smoothly. Get real time visibility of exactly what is going on and be alerted if there is anything that requires attention.
By implementing system driven best practice within your warehouse. Clarus warehouse management system will enable you to scale your operation efficiently, keeping a lid on operating costs. Maximise the capacity of your warehouse with system driven inventory planning.
Improve Customer Service
The Clarus WMS system offers 360-degree visibility and full audit traceability. The customer experience you will be able to provide will be world class.
Give clients the information they need when they need it. Deliver on time and accurately for excellent customer feedback every time!
* Create a subscription service
Another way that Amazon has ramped up revenue is by creating subscription services:
- Subscribe and save (recurring shipments)
- Amazon Prime (annual fees)
- Amazon Simple Storage Service (AWS)
The subscription service is one of the smartest ways to sell a product. You don’t just get a one-and-done transactional experience with your customer. Instead, you get a relationship, and revenue every month or year.
You don’t have to be a software provider to make the subscription model work. Any form of recurring deliverables warrants recurring payments.
* Boast the best customer service experience in the industry
Amazon are too big to go that extra mile and provide the ideal customer experience, but you can.
Your customer service; it needs to be exceptional, and it is essential. Great customer service increases acquisition and retention to help you compete against the biggest online businesses in the world.
When you shop on Amazon you are likely to receive the bear minimum in customer service – if any at all – so this is your chance to standout. The big giants can’t provide personalized, one-on-one service to human beings like you can.
Don’t complicated customer service. All you need to do is provide personal care, and be nice about it. There is consensus around the fact that customer retention via customer service and relationships has a better ROI and cost-effectiveness than other methods of marketing. It’s about cohesion, connection, and knock-out service.
* Narrow your niche market
As mentioned Amazon’s weakness is in its greatness. It has everything for sale and can’t be good at everything.
You? You don’t sell everything. You just sell a few things or specialise in a specific market. It’s extremely important to narrow your ecommerce niche and dominate it through content marketing.
Amazon.com doesn’t do content marketing. They buy PPC, they do conversion optimisation, they do SEO, they release products, they claim more verticals, and they do a lot of other things. But they don’t do content marketing very well at all. They don’t even do email marketing that great!
Don’t delay – Amazon won’t stand still
This leaves you with a huge opportunity to go into your niche, content market to your hearts content, and start to rank for all kinds of unique keywords.
Getting your business to rank higher on Google than similar, non-branded, products being sold on Amazon can go a long way to getting consumers to convert. Build trust and authority by creating great content to get your product page to rank first in search results.
This is a movement that’s happening right now. Work out what your point of differentiation is and go for it.
Why not start with ensuring your warehouse is in tip top condition with the latest cloud WMS system?
Speak to one of our team to understand how Clarus’ WMS system can cost effectively support best practice warehouse management processes, better customer service and highly efficient working for a range of warehouse operations with pay per month options and no IT infrastructure needed.
Our platform can scale from a one user, small depot system to a 100’s of user distribution centre operation. The ClarusWMS platform will cost effectively scale with your business based on demand.
ClarusWMS is a UK based supplier of warehouse management solutions with a wealth of industry experience in third party logistics, wholesale / retail distribution, online fulfillment and manufacturing warehousing.