An Example of an E-Commerce success and its Causes

Amazon.com, Inc. is an American electronic commerce company in Seattle, Washington. Amazon was one of the first major companies to sell goods by Internet.

The key to Amazon.com's success is a strong focus on customer experience.Amazon.com seeks to be the world's most customer-centric company, where customers can find and discover anything they may want to buy online. For example, Amazon.com's All Product Search scours the Web to help customers find merchandise that is not available at Amazon.com, Amazon.com Auctions, or Amazon.com zShops, making Amazon.com the shopping destination to find anything.

By the way, Amazon.com also understands customer profiling without invading customer privacy. In other words, Amazon.com will suggest books and products that might interest the customers based on the purchasing behavior of customers -- yet the customers will never get spam or a bunch of junk mail from Amazon.com that is off topic. It is a form of permission marketing that greatly respects the customer and their privacy. Amazon.com has found exactly the right balance between customer profiling and customer privacy.

Beside that, Amazon differentiates itself by making sure that it offers the same quality products as any other company with a noticeably lower price. In order to make this happens, Amazon.com is doing great effort with wholesalers and tends to “connect to resources that give it scale rather than adding internal physical mass.” In addition, customers do not have to pay sales taxes on their purchases. In effect, Amazon has been allowed to set itself up as a virtual tax-free shopping zone.

In fact, Amazon has build up trust that it will deliver orders on time. Amazon always make improvement to increase the company's stocking and shipping capabilities and reduced the time it took to fill customers' orders. Any goods that are ordered by customer will be shipped on time and customer is able to track that shipment easily through the web.

In conclusion, Amazon has won over the masses with its straightforward web design and friendly interface, and most importantly the unique shopping experience. Therefore, Amazon is able to develop an extremely loyal customer base.