Page 24 - BOSS Today Issue 26
P. 24

Special Report - Amazon






                                0%                                                        3%
                                                                        13%                             9%

         55%                                          27%









                        Figure 1: OP                                        Figure 2: Interest In
                        Purchasing From                                     Buying All OP Items
                        Amazon By UK                                        From Amazon: UK (% Base)
                        Respondents (% Base)
                                                                            Base: all 400 respondents
                        Base: all 400 respondents                           Source: MWA
                        Source: MWA







                                                        16%

                                                                     39%                                  37%
                                            2%



       n Yes - both Amazon & Amazon market place              n Yes, definitely
       n Yes - Amazon only                                    n Yes, probably
       n Yes - Amazon market place only                       n Probably not
       n No                                                   n Definitely not
         Don’t know/refused                                   n Don’t know/refused


       Amazon Fans                from an industry-wide trend   Interestingly, it was evident   age). Certainly, on average,
       Another of the perhaps     towards online purchasing   that even many of those    the expected share of their OP
       surprising findings of the   (indeed, it is no surprise that the   respondents whose   purchasing from Amazon is
       research was that these    survey found that the majority   organisations did not currently   forecast by these respondents
       Amazon customers tend to   of respondents in each country   buy OP from Amazon still   to increase steadily over the
       be very enthusiastic about   now placed orders for OP   used the company for price   next three years.
       the company: when asked to   electronically), but it is also clear   comparison exercises and   Indeed, as Figure 2 shows,
       indicate the disadvantages of   that the company is regarded   found it to be competitive.   when asked whether – in
       buying OP from Amazon, few   by OP buyers as the leading                          principle – they believed that
       could find anything negative to   exponent of this model:  How It Looks           it was possible for Amazon
       report about their experiences                         Downstream                 to be used for all of their OP
       of the company. Conversely,   “Simply the best online shopping   Many of the questions covered   purchases, a very significant
       when asked to report the   experience. Fast response.”  in the research investigated   share (46%) of respondents in
       advantages of buying OP from   - UK OP Buyer           the respondents’ vision of the   the UK stated that they could
       Amazon, the respondents                                future of their OP purchasing,   – in theory – envision this
       were full of praise, particularly   In addition, the company is   and it was clear that – in both   scenario, with 9% stating that it
       concerning the company’s   perceived to be ‘hungrier’ than   countries – many expected   was ‘definitely’ possible.
       low prices and wide product   conventional OP resellers:  their OP purchasing not only to   Again, the reports show that
       range: both being key factors                          switch further towards online   there were some variations
       in respondents’ choice of OP   “Other companies that we have   sourcing, but also to a greater   here by size of company and
       supplier.                  used for years take us for granted;   use of Amazon (although   age of respondent, with the
         There is no doubt of course   Amazon wants our business.”  the extent of this varies by   overall picture being similar in
       that Amazon has benefitted   - UK OP Buyer             company size and respondent   the US.


       24  BOSS TODAY | February/March 2015


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