Marketing Plan – Amazon

In India, the majority of the population i.e. the customers reside in Tier 2 and Tier 3 cities and
it is important for company’s not to ignore this category of cities since this enables entities to
generate huge and larger profits as compared to other Tier 1 cities. Moreover, the world is
rapidly moving from analogue to digital and when it comes to online shopping, it is important
to create a sense of trust and loyalty in the minds of the customers in Tier 2 and Tier 3 cities.

The core value proposition for Amazon in order to target the Tier 2 and Tier 3 cities should
revolve around means to spend less and save more since they consider PRICE as a major
parameter. Amazon could offer discounts in the products and also make the EMI facility
visible and available for its customers. This will help Amazon to attract a large set of customers
who primarily also have trust issues while purchasing products online.

The key points around which Amazon can conduct its marketing campaign are as follows:

 Free Shipping and Returns – Amazon should highlight this feature in their campaign
in order to induce the customers to make their first transaction and also providing
them a guarantee that they would get full refund for the product incase they do not
like the product. Moreover, Amazon should work on the concept of Free Trials so that
the customers can trust the online medium of shopping.
 TV advertisements and Hoardings – The campaign would require the the involvement
of emotion marketing in the lower income group in order to showcase their daily life
and how Amazon was making their life more convenient by simply ordering from an
application which would be delivered at their doorstep free of cost. At the same time,
Amazon should portray certain categories like durables which are more prevalent in
the lower income groups.
 Taglines and Hashtags – The objective of the campaign would be to create more first
time customers as well as create a sense of loyalty among the existing customers.
Therefore, it is important to establish a connect between the customers and Amazon
which could be done by various taglines like Saste mein Saaman, Chote Budget mein
Bade Sapne and so on.
 Converting First Time Buyers to Loyal customers – Consumers in Tier 2 & 3 cities
generally believe in word of mouth. With the help of heavy discounting strategies
offered to first-time buyers, Amazon should convert them into loyal customers.
 Social Media platforms – Due to subsidized telecom rates, social media has attracted
a large set of population primarily in Tier 2 and Tier 3 cities. Amazon could leverage
on this by attracting customers through videos/advertisements on YouTube, Facebook
etc.
 Target consumers during Festive seasons – Since festivals are extremely close to the
hearts of people in these cities and involves additional spending, Amazon could offer
additional discounts during this time and help induce customers to make their first
transaction if they can easily purchase products within their budget and gifts could be
easily delivered to their relatives free of cost.
Moreover, consumers from these cities could be asked to share their first time
experience which could be used as testimonials with taglines such as EkNayiSoch. This
could be used in advertisements and can also be displayed in various hoardings
primarily near local shops and bus stops since these are the places which are most
visited by people in tier 2 and tier 3 cities.