In: Economics
Why do you think that Amazon decided to enter the B2B Marketplace?
What makes their offering different from traditional B2B marketers and will this differentiation be enough to encourage B2B sellers and buyers to move to Amazon Business? Frame your answer (either pro and con) with arguments to backup your assessment.
What can and should traditional B2B marketers and sellers do to combat Amazon’s entry into this marketplace?
1)Amazon is a vast internet based enterprise that sells goods.lts the largest internet company by revenue in the world. Amazon has entered the b2b world in 2015
Amazon decided to enter b2b market place due to the following reasons
*To enable global selling. (Amazon launched b2b selling as a part of its global selling program ).its an excellent opportunity for brands who may not otherwise sell on amazon to make their products available in the world's largest market place.
*To serve the needs of business customers
*To form brand level relationships
*There will be lower pricing for Amazon customers, as a result Amazon's profits will rise.
2)Amazon's offering is different from traditional marketers .
*The sellers can reach high volume of buyers quickly and easily
*its possible to offer a unique product catalogue only available to business buyers
*itS possible to increase conversations and visibility in Amazon search by including additional documentation for products.
* products can be sold to a worldwide customerbase.
These advantages will encourage b2b sellers and buyers to move toward Amazon
3)ln order to combat amazon, traditional b2b marketers will have to take huge effort.But its not impossible.
*Focus on innovation and try develop webstore models that can beat amazon
*Differentiate business by delivering a customer- centric experience that goes beyond transactions to meet specific needs of the customers
*Deliver convenience and cultivate loyalty with extended credit
*Deliver a complete,customized digital experience.
The B2B sellers and marketers must position themselves competitively.