Amazon: Anything, Anywhere, Anytime // Customer Value Series

UNDERSTAND TODAY. SHAPE TOMORROW.
THE AMAZON
STRATEGY:
PRIMED FOR
SUCCESS
the latest instalment of our: Customer Value Series
LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME

ABOUT.
At LHBS, we believe that brand or business strategies need to be
prescriptive not just descriptive. A strategy needs to drive action
through meaningful Customer Value Propositions. That’s why we
work with our Customer Value Proposition Canvas as a navigation
system for bringing strategy to life. We’ve created the Customer
Value Series to analyze and share how leading companies bring their
Customer Value Propositions to life through their core products,
added value services, the customer journey and communication.
This issue highlights AMAZON.
We hope you enjoy this deck and are able to be inspired by it in your
innovation process.
UNDERSTAND TODAY. SHAPE TOMORROW. 2
Discover Deﬁne Develop Deliver

INTRO-
DUCTION.
Experts predict that Amazon is going to become the most
valuable company in the world this year. No other online retailer
comes close to the e-commerce giant. With the introduction of
Amazon Go, a new technology that provides a checkout-free
shopping experience, the retailer is pushing further into the
physical realm, setting new standards for the future of brick-and-
mortar.
Amazon is striving to be “Earth’s Most Customer-Centric
Company”. In this report we will shed light on how the e-tailer
actually creates value for its customers in four interrelated but
distinctive areas: core product innovation, added-value services,
shopping experience and communication.
Olivia Köhler
Strategy Consultant
lhbs.com | ok@lhbs.com
INTRODUCTION
3

CONTENT.
CUSTOMER VALUE
CANVAS
DERIVED
IMPLICATIONS
ABOUT
AMAZON
CONTENT
4
Chapter 1 Chapter 2 Chapter 3

ABOUT AMAZON
Chapter 1

REPORT TITLE // IMPLICATIONS. ABOUT AMAZON
“My prediction for
2017 is that
Amazon is going to
become the most
valuable company
in the world” 
 
Scott Galloway 
Founder L2

LHBS Put the Title of the Report here
HOW TO.
Market Cap
Ranking
2017 Prediction
by Scott Galloway
1.
2.
3.
4.
ABOUT AMAZON

55%
45%
UNDERSTAND TODAY. SHAPE TOMORROW.Source:
What about Amazon 
right now?
LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME ABOUT AMAZON
8

55%
45%
9
Amazon’s worldwide revenue
$107 bn2015
2016 $92 bn + Q4
Source: Amazon - Quarterly Results

55%
45%
310 Mio. 
active customer accounts worldwide
10Source: Statista

55%
45%
11
+1910%
+2%
-15%-21%-46%-49%-59%-83%-95%
Market Value Percent Change
2006–2016
Source: Yahoo! Finance
No retailer comes close to Amazon

55%
45%
12
$383 bn
$383 bn Market Capitalization
Source: Yahoo! Finance
$385.3 bn Market Capitalization
$90.1 bn $88.3 bn$206.9 bn
Amazon vs. Top 3 Retailers on Forbes Global 2000 List

55%
45%
of U.S. consumers start
their shopping searches
on Amazon
13
45%
55%
55%
Source: bloomreach - State of Amazon 2016

55%
45%
… but how does Amazon
create continuous value for
its customers?
14

CUSTOMER VALUE CANVAS
Chapter 2

The better a company manages the interrelation
between their products, services, experience and
communication the more value it will create for its
customers and in turn, generate value from its
customers.
LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME CUSTOMER VALUE CANVAS
16

Customer Value Canvas®
CORE PRODUCT
How might your Customer Value Proposition inspire or impact the
performance or quality of your core product?
ADDED-VALUE SERVICES
How might your Customer Value Proposition inspire or inﬂuence
additional services to simplify or enhance that create added value
around the consumption or usage of your product?
COMMUNICATION & CONTENT
How might you create communication that  
delivers your Customer Value Proposition and  
not just promises it?
SHOPPING EXPERIENCE
How might your Customer Value Proposition
inspire a smoother, more pleasant customer
experience in your omnichannel touch points.
CUSTOMER
VALUE PROPOSITION
A clear, concise and compelling
articulation of how the needs that are
important to the customer are satisﬁed by
the company / business unit.
Designed for: Designed by: Date: Version:
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
How does Amazon facilitate and
deliver services that enrich and
simplify the lives of their customers
around their core products?
Which products that meet a real need
does Amazon create?
How does Amazon solve real customer
problems with their product design?
How is Amazon growing their core
capabilities of being a market place?
How does Amazon make searching
for, shopping and interacting with
their products & services a uniquely
positive experience?
What kind of content does Amazon
create that leads people to enjoy
consumption and sharing, rather
than wanting to escape the
advertisements?

LHBS Put the Title of the Report here
HOW TO.
AMAZON'S
CUSTOMER
VALUE
PROPOSITION.
Customer Value Proposition
Amazon is a place where
people can come to ﬁnd and
discover anything they might
want to buy online – with a
focus on low prices, large
selection and convenience.
CUSTOMER VALUE CANVAS

55%
45%
LHBS // WHY BRICK & MORTAR ARE THE “NEW BLACK” INTRODUCTION
19
"It's impossible to imagine a
future 10 years from now
where a customer comes up
to me and says:
'Jeff, I love Amazon, I just
wish the prices were a little
higher.... I just wish you
delivered a little more
slowly.’"
Jeff Bezos: Founder, Chairman & CEO of Amazon

How is Amazon adjusting their offerings in the
four areas of products, services, experience and
communication to best meet emerging customer
expectations and to fulﬁll their customer value
proposition?
20

CORE PRODUCT
Which products that meet a real need does Amazon create?
How does Amazon solve real customer problems with their product
design? How is Amazon growing their core capabilities of being a market
place?

LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME CUSTOMER VALUE CANVAS: CORE PRODUCT
E-tailer launched
“Amazon Cable Store”
! Explore the Sign
Amazon has entered the TV-and-Internet-services
game with a new partnership with Comcast Xﬁnity.
The e-commerce site has created the 'Amazon Cable
Store,' which offers a variety of Comcast products
including Internet service, Internet and TV
bundles, and Triple Play offers (Internet, phone and
TV). In addition to offering Comcast service, it
appears Amazon would allow customers to purchase
TV programming bundles in a slightly different way.
The package would start with a 'pre-bundled' lineup
of local broadcast channels and a set number of base
channels. Then, consumers would pick a plan based
on their budget and four different categories:
Specialty Channels; Family Channels; Sports
Channels; and Premium Entertainment.
22

Amazon Starts
Restaurant Deliveries
! Explore the Sign
Prime customers in some London postcodes can
order food from more than 100 restaurants on
Amazon.
The service is offered in certain London postcodes
and delivers meals from restaurants via an Amazon
app. Delivery is free within an hour on orders of £15
or more and there are no mark-ups on restaurants’
standard prices. The delivery service is only available
to Amazon Prime customers which costs £7.99 a
month or £79 a year and includes other offers, like
one-day delivery and free music streaming.
23

Further Amazon
Bookstore Expansion
! Explore the Sign
The retailer confirmed to open a physical
bookstore in New York City, next to three existing
ones and two more in planning.
After opening the first brick-and-mortar Amazon
Books Store in Seattle, the company’s home town, in
November 2015 it built two more in Portland and
San Diego due to its success. Now Amazon
confirmed three more locations: Chicago, Dedham
and New York City. The stores sell not just books, but
Amazon devices such as the Kindle e-reader and Fire
TV. The aim is to make its products more tangible for
customer in the physical world.
24

Amazon’s Home
Assistant Echo
! Explore the Sign
Amazon has launched a device, called Echo, that is a
hands-free speaker you control with your voice.
Amazon's Echo is a connected speaker that’s always-
on, listening for commands that its virtual assistant
Alexa can then respond to with providing
information or by triggering a task. The smart home
device is equipped with 7 microphones and can ﬁlter
out background noise including playing music, in
order to better understand requests. Voice inputs
are processed via Amazon’s cloud-based web
servers, meaning that it can get better at identifying
requests and responding to commands over time.
Alexa plays the music via command or can give
you information on weather, the news or provide
basic information from Wikipedia.
25

Alexa Skills
Marketplace
! Explore the Sign
Customers can now shop for Alexa skills on the
amazon website, just like you shop for everything
else.
Owners of Amazon Alexa-enabled devices like the
Echo or Tap can now ﬁnd all skills via an Alexa skills
marketplace or dedicated URLs for individual skills.
The website shows all the skills divided by 21
categories, which range from business to shopping to
weather. David Isbitski, Alexa chief evangelist, said:
“This is the ﬁrst time that we are offering a pre-
login discovery experience for Alexa skills. Before
now, customers would need to log in to the Alexa app
on their mobile device or browser. Developers can
also improve organic discovery by search engines by
optimizing skill detail pages.”
26

Amazon Rolls Out
Private Label for
Foodies
! Explore the Sign
Amazon’s newest private label, Wickedly Prime,
targets the foodie crowd offering Amazon’s own line
of snacks.
Wickedly Prime is not the first private label Amazon
has launched lately. The snack line, however, is
different from Happy Belly, Mama Bear and Presto!
because it is the first private label to embrace its
affiliation with Amazon. Besides the “Prime” in its
name, Wickedly Prime also is sent in boxes with the
iconic smile brand logo and the packaging states
“Distributed by Amazon Fulfillment Services”.
27

Amazon Studios Shine
Bright
! Explore the Sign
Amazon obtained the rights to the film Manchester
by the Sea and gave it a theatrical release - now
Casey Affleck has won a best-actor Golden Globe for
his performance.
While not an Amazon original, Amazon Studios made
a smart move last year by picking up the rights to
Manchester by the Sea for $10million. After Casey
Affleck won a best-actor Golden Globe for his
performance in the film this year, it marks a first the
Amazon Studios have received a major film
category award. Bets are on that they also pick up
an Oscar for Affleck's performance, and this could
really spur publicity for Amazon, as well as early
streaming rights to their own project.
28

Amazon to Launch
Athleisure Brand
! Explore the Sign
Amazon are currently looking to hire brand
managers to help launch their upcoming athletic
clothing label and take over as the leading activewear
retailers.
Amazon have conﬁrmed they will be launching
their own athleisure brand soon. They already have
a number of their own trademarked brands being
sold through several clothing retailers, but now are
pushing to really stand on their own as a clothing
brand.
Their share of the US clothing market is predicted to
jump from 5% (2014) to 14% in 2020, which would
place Amazon above Macy’s, the current leader in
this industry.
29

Amazon’s Move
Towards Autonomous
Car Technology
! Explore the Sign
A newly revealed patent suggests that Amazon is
exploring how it might get involved in autonomous
vehicle technology.
The patent that has been granted to Amazon
describes a system that helps self-driving cars
safely deal with reversible lanes that change
direction depending on the volume of trafﬁc at any
given time. The self-driving vehicles would send
trafﬁc data to computerized road management
systems, so this system can work out the ideal lane
usage at any given time while sending information
back to the autonomous vehicles to ensure safe
driving.
30

Amazon Releases Self-
Branded Streaming
Channel
! Explore the Sign
Anime Strike is a new subscription channel added by
Amazon that – compared to the other offered
channels – doesn’t come from an other provider but
is put together by Amazon itself.
The new channel Anime Strike is a niche offering
and self-branded. It provides a mix of new and old
anime series and movies, as well as same-day
broadcasts of series. Some of these series are
available via other services, while some are exclusive
to Amazon in the United States. Amazon’s VP of
digital video and head of Amazon Channels
worldwide Michael Paull said: “With anime in
particular, there’s a strong, passionate audience that
is underserved by traditional pay TV.”
31

ADDED-VALUE SERVICES
How does Amazon facilitate and deliver services that enrich and simplify
the lives of their customers around their core products?

Amazon Home Services
! Explore the Sign
The e-commerce giant Amazon continues its
expansion beyond almost any conceivable physical
good and into services, offering professional help for
products that require service after purchase.
Through Amazon's new Home Services, customers
can book 700 different services that go along with
purchased products, from help installing a new toilet
to removing spyware from a home computer.
Amazon's professional contractors have been vetted
by a stringent selection process, making sure that
each business is licensed, insured, and passes an
extensive background check. They are also offering
speed and transparency in their service booking,
which is claimed to take only 60 seconds, since the
services are carefully standardized and prepackaged,
with costs ﬁnalized up front.
33
LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME CUSTOMER VALUE CANVAS: ADDED-VALUE SERVICES

Amazon X-Ray
! Explore the Sign
Amazon X-Ray, a tool that helps viewers keep track of
what's going on in the content they are consuming, is
now coming to Fire TV and Fire TV stick.
Available for the Kindle for a few years now, helping
readers get more information on a book, or look up
words in the dictionary, the X-Ray feature is now a
reference tool for Amazon's video products, that
displays content that helps viewers keep track of
what's going on in a ﬁlm or TV show. It offers in-
depth information about the movie, but also
important information about what is happening in on
screen. By simply pausing, the X-Ray feature, using a
connection to IMDB, lists what actors are in a given
scene, what is happening in the plot, and even trivia
about the content.
34

Amazon’s Dash Buttons
Now Customizable
! Explore the Sign
Amazon is now selling AWS IoT Buttons,
customizable versions of its Amazon Dash buttons.
The buttons take the company's "one click" ordering
semi-ofﬂine by allowing users to order products by
pressing an internet-connected physical button. Until
now, there has been no way for customers to create
their own. Amazon is pitching the buttons as a way
for developers to learn how to use the company's
various cloud services. “You can click the button to
unlock or start a car, open your garage door, call a
cab, call your spouse or a customer service
representative, track the use of common
household chores, medications or products, or
remotely control your home appliances,” the
Amazon site said.
35
LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME CUSTOMER VALUE CANVAS: SHOPPING EXPERIENCE

Amazon Educates with
Reading App for Kids
! Explore the Sign
The online retailer developed an app for kids ages
7-12 that engages them in reading due to the chat-
based interface.
Amazon’s new mobile app is called Rapids and
contains hundreds of stories, all written as dialogue
and embellished with custom illustrations. The
stories are ranging from the genres of adventure and
animals to science ﬁction and sports and are told
through the concept of characters chatting with
one another, one message at a time. "We want kids
to read for fun," Robinson, director of consumer
products at Amazon Education, says. "If a kid is
reading on a regular basis and seeks it out, all
these other beneﬁts will accrue."
36

Amazon’s New Prime
Credit Card
! Explore the Sign
Amazon have launched a credit card exclusively for
Prime members, offering 5% cash back on Amazon
purchases.
The new credit card - created in partnership with
Chase - for Prime members is similar to the
previous card for regular Amazon shoppers, but
offers 5% instead of 3% cash back on Amazon
purchases. Users can also redeem 2% cash back at
restaurants, gas stations and drugstores, plus 1%
back on all other purchases.
Amazon users with Prime and the current card will
be automatically upgraded to the Amazon Prime
Rewards Visa Signature Card, and those lapsing on
their Prime payments will simply be downgraded to
the regular credit card.
37

SHOPPING EXPERIENCE
How does Amazon make searching for, shopping and interacting with
their products & services a uniquely positive experience?

42%
58%
of U.S. consumers
have left a retailer's
site for Amazon after
having a poor
site experience
58% 48%
52%
distinguished Amazon’s
site search and product-
ﬁltering capabilities
as superior
>50% 67%
33%
List Amazon’s site
experience as the main
reason they choose
Amazon
over other retailers
33%
UNDERSTAND TODAY. SHAPE TOMORROW. 39Source: bloomreach - State of Amazon 2016

Shopping With Twitter
#AmazonCart
! Explore the Sign
Amazon shows a new feature that lets Twitter users
add items to their Amazon cart by including a
hashtag within a tweet.
After the user connects their Twitter account to
Amazon, they can extend their Amazon shopping
experience by tweeting a reply to Amazon product
links they see on Twitter including the hashtag
#AmazonCart — or #AmazonBasket in the UK — to
add the product to their shopping basket. The
feature not only extends the retail reach of Amazon
beyond its own website, reducing purchase friction,
but co-opts Twitter users into product marketing
activity — since they are publishing tweets indicating
which items they are buying from Amazon.
40

Amazon Prime
Membership without
Commitment
! Explore the Sign
Amazon Prime is now available on a monthly basis, if
you buy it with a Sprint plan.
Sprint meets the needs of customers who intend to
only use two-day shipping around the holidays, want
to watch a certain show or just dislike long contract
commitments. American telecommunications holding
company Sprint offers its customer a monthly
Amazon Prime membership.
For having full access to videos, music, video games,
kindle book as well as early access to limited-time
deals just like regular member, customers pay
$10.99 a month at a time.
41

REPORT TITLE // IMPLICATIONS. CUSTOMER VALUE CANVAS: SHOPPING EXPERIENCE
Amazon Sets Up P.O.
Boxes in Gas Stations
! Explore the Sign
Amazon and Shell are cooperating and testing P.O.
boxes in 10 gas stations in Munich, called “Amazon
Locker”.
Amazon is aiming to deliver orders independently
and without third party parcel services like DHL.
Together with Shell, they want to make their
customers lives easier and more comfortable. Both
companies can beneﬁt from the cooperation by
taking advantage of each other’s infrastructure. For
customers, the lockers offer more ﬂexibility because
they can receive deliveries even if they are not at
home. They can just pick everything up later at the
closest gas station.
42

Convenient In-Trunk
Deliveries
! Explore the Sign
Amazon Prime and Audi partnered with DHL to
launch an easy-delivery service to their customers.
The companies want to start offering a special
logistic service. The packages ordered on Amazon
would be delivered by DHL directly to a car’s trunk
using a temporary authorisation for keyless access
to the Audi’s luggage compartment. The DHL
driver would receive a digital access code for the
trunk, that could be used only once and only for a
speciﬁc period of time. In the future, customers
shopping online would have an option of inserting
the trunk of their car as a delivery address for online
purchases.
43

Amazon Dash Buttons
! Explore the Sign
In a move that seeks to take their concept of one click
buying to the next level, Amazon is sending out Dash
Buttons that let selected Prime Members to buy
products by pressing a physical button in their house.
The new Dash Buttons will initially be sent to
customers who are using Amazon to buy certain
household products such as laundry detergent, but
still occasionally go to brick-and-mortar stores to
purchase them. The Dash Button is meant to make
choosing Amazon to buy household products so
convenient that purchasing comes down to a
simple press of a button at the very part of the
house where the product is needed. Dash Button
syncs with the Amazon app on mobile devices, so
purchases can easily be monitored (or cancelled).
44
LHBS // THE NEAR FUTURE OF AUTOMOTIVE INDUSTRY CUSTOMER VALUE CANVAS: SHOPPING EXPERIENCE

Amazon Is Planning
Many Pop-Up Stores
! Explore the Sign
The retailer is expanding its presence in the real-
world retail market and wants to combine a powerful
assortment of online and physical components.
Over the next year Amazon wants to open many new
pop-up stores in US shopping malls. Next to the
physical bookstore that Amazon opened the pop-ups
are mainly designed to showcase and sell the
company's hardware devices, particularly its Echo
home speakers. This move shows the company’s
drive to reach consumers directly through a
variety of access points including retail
storefronts, home delivery, and innovative
devices. Furthermore, the locations in the middle of
shopping malls boost the brand awareness and to
drive sales, both at the stores and on its website.
45

Amazon Prime Now
! Explore the Sign
Amazon Prime Now offers one- and two-hour
delivery to its members. While it premiers in
Manhattan, Amazon has plans to roll out the service
to other cities in the near future.
Amazon is catering to customers too busy to go to
the store. While currently limited to select areas of
Manhattan, the products on offer range from
everyday items like paper towels and cat food to
more speciﬁc items like books and video games.
Members of Prime Now receive deliveries within
two hours for free, or can choose a one-hour
delivery for only $7.99. The service is available from
6 a.m. to midnight, seven days a week, and the
delivery is even tracked via GPS so recipients can
follow their item on the Prime Now mobile app as it
gets closer to their door.
46

Amazon Drone
Delivery
! Explore the Sign
The retailer is working on a future delivery system to
get packages to customers in just 30 minutes or less.
It will still take some time until Amazon will take its
Prime Air into service but it already started an
extensive drone trial in the United Kingdom. "The UK
is a leader in enabling drone innovation – we’ve been
investing in Prime Air research and development
here for quite some time," said Paul Misener,
Amazon’s VP of global innovation policy and
communications. These tests pave the way for a
new way of delivering packages in just 30 minutes
or less using small unmanned aerial vehicles, also
called drones. This will result in rapid parcel delivery
that will also increase the overall safety and
efﬁciency of the transportation system.
47

Amazon Go - Just Grab
& Go!
! Explore the Sign
Amazon has created a new shopping technology -
Amazon Go, where you don't have to wait in line at all
since there is no checkout required.
Amazon's checkout-free shopping experience is
made possible by the same types of technologies
used in self-driving cars: computer vision, sensor
fusion, and deep learning. Amazon's Just Walk Out
technology automatically detects when products are
taken from or returned to the shelves and keeps
track of them in a virtual cart.
When you’re done shopping, you can just leave the
store. Shortly after, Amazon will charge your Amazon
account and send you a receipt.
48

Shop on Amazon from
Apple TV
! Explore the Sign
Amazon released a new Apple TV application that
lets you browse and search for products on Amazon’s
site with the function to buy directly from the TV for
Prime members.
The online retailer Amazon has rolled out an Apple
TV app called “Amazon App: Browse, Search, and
Shop.” The user can browse and search for
products directly on TV. They can read the
description, get the product details, and ﬂip through
the product images of an individual product. For
inspiration customers can ﬂip through collections,
such as gift guides or a coat guide, all curated by
Amazon. Prime members are able to directly
purchase items form the app.
49

TOUCH-POINTS &
COMMUNICATION
What kind of content does Amazon create that leads people to enjoy
consumption and sharing, rather than wanting to escape the
advertisements?

LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME CUSTOMER VALUE CANVAS: TOUCH-POINTS & COMMUNICATION
Amazon’s First Editorial
Content
! Explore the Sign
Amazon started testing third-party editorial content
on its homepage with travel gear reviews aiming to
prove a deeper level of recommendations for the
products they sell.
The partnership was announced on Twitter, where
Amazon said that it is experimenting with running
editorial content on their website and Wirecutter
would be the ﬁrst test to explore the possibilities.
Wirecutter is an independent review site to help
people decide what to buy. Their thorough process
starts with reading everything they can about the
product, from Amazon to formal reviews by
professionals in the ﬁeld, and is followed by applying
research from their own team of experts.
51

Amazon Video Offers
Free Episodes
! Explore the Sign
Amazon has announced that it will begin distributing
its Original Series from Amazon Video to social
media sites, including Facebook and YouTube.
Pilot episodes from ten primetime and kids series are
now available in both places, allowing anyone -
including non-Amazon Prime members - to watch.
The goal with this expanded distribution is to give
people a tease of what an Amazon Prime
membership has to offer. Amazon will likely ﬁnd a
sizable audience willing to tune in to watch its free
content on YouTube and Facebook – its Amazon
Video YouTube page has accumulated over 33.6
million views and it has 322,938 Likes on Facebook.
52

Amazon’s First Esports
Tournament
! Explore the Sign
The retailer’s app store will be the platform to host
an esport event that focuses on casual gaming.
Amazon is expanding its investment in esports with
the ﬁrst-ever tournament “Champions of Fire
Invitational”. 16 gaming inﬂuencers and celebrities
will aim, tap and swipe for $100,000 in prize money.
The event takes place in Las Vegas and will be live-
streamed to the Amazon-owned streaming site
Twitch, to Amazon Fire TV, amazon.com and some
social media networks that support live streams.
With the focus on casual games, that can also be
downloaded and enjoyed by the customers in the
Amazon Appstore, the retailer hopes to attract a
broad group of viewers.
53

Amazon’s Luxury
Beauty Shop offers
Rich Content
! Explore the Sign
Amazon launched a Professional Skincare page
offering rich content and guided selling.
It’s the retailers way of luring prestige shoppers. The
offerings go beyond what is available on retailer
websites and beauty blogs. Part of the page are an
ingredient glossary, articles, and guides on
choosing a dermatologist including a ﬁnder that
links to Yelp reviews and books appointments.
Amazon’s approach is different from the usual how-
to videos, celebs, and inﬂuencer campaigns and
concentrates more on customers that have a clinical
approach to skincare.
54

DERIVED IMPLICATIONS
What can we learn from Amazon?
Chapter 3

ONE
Amazon is not afraid to fail.
Jeff Bezos wrote in the annual report of 2015 “I believe we are the best place in the world to
fail (we have plenty of practice!), and failure and invention are inseparable twins. To invent you
have to experiment, and if you know in advance that it’s going to work, it’s not an experiment.”
Amazon Marketplace is one of the three main pillars the company stands on. It was only
possible to create this success through the learnings from two big failures – the launch of
“Auctions” and “zShops”.

TWO
Amazon acts as a startup.
Despite Amazon being a high-performing large organization it strives to also be an invention
machine with the speed of movement, nimbleness, and risk-acceptance mentality of start-ups.
Its company culture helps Amazon to work hard on avoiding the common pitfalls of large
organizations.

THREE
Amazon is guided by
customer obsession rather
than competitor focus.
The retailers vision is to be Earth’s most customer-centric company. They serve consumers –
and that’s what they are known for amongst them – with a special focus on selection, price and
convenience at the same time. The value of Prime is directly addressed to the customers and
described simply by “We want Prime to be such a good value, you’d be irresponsible not to be
a member. “

FOUR
Amazon meets customer
needs in the best way
possible.
The e-tailer fulfills its customer needs in a way that resulted in a strategic advantage over its
competitors. Amazon created a cycle in which it takes the lowest profits and therefor it has the
lowest prices. That’s why it has the most customers which keeps the company alive despite the
lowest profits. As long as Amazon is the market leader the business model remains
sustainable.

FIVE
Amazon succeeds to fulﬁll its
vision and customer value
proposition.
The company succeeds to manage the interrelation between their products, services,
experience and communication in a way that it creates real value for the customer in the four
interrelated but distinctive areas.

ABOUT
Need help in deﬁning emerging
customer expectations & bringing the
Customer Value Canvas to life?
Get in touch

Discover
ABOUT
LHBS. Define Develop Deliver
We are an unconventional strategy firm that helps clients to
better understand today and successfully shape tomorrow. LHBS
has extensive experience & expertise in business development,
brand building and customer experience. The firm works across all
major industries for clients from the FT Global 500, German
Mittelstand and fast growing startups.
! http://www.lhbs.com
ABOUT
We work with legacy organisations to adapt their customer value
proposition to meet emerging customer expectations. Together with our
clients we discover business opportunities and deliver integrated customer
offers for products, services, experiences and communication.
! http://www.lhbs.com

LHBS Put the Title of the Report hereUNDERSTAND TODAY. SHAPE TOMORROW.
INSPIRATION
-HUB
LHBS // AMAZON: ANYTHING, ANYWHERE, ANYTIME INSPIRATION HUB
63
This report is powered by the LHBS Inspiration-Hub.
The LHBS Inspiration-Hub is a digital platform that brings customized
insights and inspiration to the heart of your organization. It is a digital
platform that tracks changes in people, markets and technology.
Request a demo at https://inspiration-hub.com/

Die in dieser Präsentation dokumentierten Gedanken und Vorschläge sind geistiges Eigentum der  
LHBS Consulting Berlin GmbH und unterliegen den geltenden Urhebergesetzen. Die unauthorisierte Nutzung,  
die ganze oder teilweise Vervielfältigung sowie jede Weitergabe an Dritte ist nicht gestattet.
LHBS Consulting Berlin GmbH
Köpenicker Straße 154
10997 Berlin Germany
IMPRINT
www.lhbs.com
THANK YOU
64

Amazon: Anything, Anywhere, Anytime // Customer Value Series

More Related Content

What's hot (20)

Viewers also liked (9)

Similar to Amazon: Anything, Anywhere, Anytime // Customer Value Series (20)

More from LHBS (20)

Recently uploaded (20)

Amazon: Anything, Anywhere, Anytime // Customer Value Series