Ye Olde Gadget Shoppe
Written: Oct 28 '01
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The Bottom Line
Tried and true online merchant. Gets the job done when other stores cant
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Amazon.com sets the standard for online commerce. It has always distinguished itself, not necessarily for being the greatest store, but for being the most professional of all the online stores. From the beginning when we were all very wary of buying things online, Amazon always came with the best of everything - user experience, security, and customer service. But like everything else, you have to take the good with the bad.
Good: Customer Service & Usability
What really sets Amazon.com apart is its customer service. Not only can I find everything that I would need at this one site, but I can find it relatively easily. Being a web developer myself, I know how difficult it is to create a good search utility. Amazon.com seems to have nailed theirs pretty well. I can find just about any product I need and in just about any category (books, movies, electronics, etc). Even more, the site can recall my last purchases and recommend other products I might like. So when I go to Amazon.com, it recommends Star Wars releases, Jazz CDs, civil rights books, and computer software - because that's what I'm into. That's pretty good for someone who can't even find a pair of pants at the local Sears.
Beyond just the ease of use, it is also easy to order your items quickly and easily. They have even gone so far as to 'remember' your purchase settings. Their most aggressive measure to date has been their 1-click shopping feature where all you need to do is click that item and it charges your card and ships that item to you (all in one stroke).
One of its best features is the ability to compare consumer electronics devices with each other. I learned a lot about DVD players just from being able to compare the different models on Amazon.com's site (I didn't buy mine from Amazon because I got a better price elsewhere). This is a much needed feature for any site selling such products.
Lastly, Amazon is very good at explaining what exactly is going to happen with your order and why it is safe for you to order online. This has been important in building their customer base and ensuring repeat customers.
Bad: Prices aren't always the best
Most times, Amazon gives competitive pricing on all of its items. But when you factor in shipping costs and the actual time it takes to get the item, its sometimes not worth it. For example, I ordered Enter the Dragon on DVD for $14.99 from Amazon.com. With shipping included, it cost about $17 and some change. If I had gone to the local Borders - which was selling it for the same price - I could have gotten it for $16.22. Plus, I had to wait a week to get it. This same thing happens for books and electronics (especially). It does have some good deals on software titles - Acrobat 5 sells for $10 cheaper on Amazon than on the Adobe.com website (but it sells for $50 less on Buy.com). So it seems that Amazon.com's competitive advantage really lies on its user experience and not always in its prices.
Good: Caters to publishers
The internet has always been a place where everybody can make their claim. I like the fact that Amazon has continued in that spirit and has set up programs for authors and artists to promote their talents to a wide audience (for a fee of course - this isn't a charity). Individuals can set up an Auction to sell items. Publishers of books and music can distribute their authors' works directly through the site, and web publishers can become an Associate and earn commission for sales generated from their websites.
All of these programs have been extremely successful. I am personally an Amazon.com Associate and have had some financial success (even with my modestly popular websites) with their program. It's not as good as it was in the good-old days, but I'm still taking some things in. There are even major players who utilize this as another source of income (MaximOnline for one). Good for them.
Bad: Not profitable
The bad news that looms over Amazon.com's head is the fact that it's not yet profitable. Its expansion and growth into new territories beyond just books and music has added more and more debt to its balance sheet. The only thing to say is - make more money.
I think we've all become accostomed to having an Amazon on the internet. It's become an online version of Sears or Target - names that we know and rely on for a variety of products. So with any luck and knowhow, Amazon will get it together.
Recommended:
Yes
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About the Author
Location: Stanford, CA
Reviews written: 93
Trusted by: 18 members
About Me: Grad student
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