At Amazon, Marketing Is for Dummies

Instead of lavish ads, it invests in technology and distribution—and the results are startlingly effective

http://www.businessweek.com/magazine/content/09_39/b4148053513145.htm

This article talks about how the company Amazon, does not spend hundreds of millions of dollars to advertise and promote their brand. Instead, they have avoided the uses of conventional tactics of marketing and use their money into the technology of their website like distribution capability and good deals on shipping. As a result, customers are satisfied with a smooth shopping experience. With a jump of 13 spots to a No. 43 in the ranking of the Best Global Brands, Amazon has been successful during the recession earning a reported 16% revenue growth.

Unit 4.1 – The Role of Marketing, Unit 4.3 – Product (Branding, Brand development and brand loyalty)

This article basically argues that a company does not need to spend millions of dollars to promote themselves and one such example is the thriving company of Amazon. Amazon has taken a big risk to spend their money on technology rather than advertising but they predicted that in time, this would be useful to them. This is due to the account of its brand and high market share. Amazon has been known for its low prices, wide selection of products and quality service that has increased its customer base and customer loyalty. They have developed their brand through this where customers are very satisfied with the results of their shopping experiences. Although the company did not focus on promoting their brand, their investment into the technology of their website proved very advantageous in the long term because the company thought of the user experience to please their customers.