Almost a third (32%) of digital marketers have admitted to ‘losing sleep’ over fears about how competition from Amazon will impact their business over the next 18 months.
The survey by digital marketing agency Greenlight Digital on 200 marketing professionals from across a range of industries found the e-commerce juggernaut's dominance over the sales market to be of top concern (37%), with shopping days such as Black Friday, Cyber Monday, and, of course, Amazon’s own Prime Day, becoming synonymous with the brand.
With the shopping platform holding a grip on these retail calendar landmarks, there are fears that consumers are becoming “locked into” the Amazon ecosystem.
Interestingly, the level of concern also differs by age group, with 42% of those aged 16-24 worried about Amazon’s ownership of retail days, compared to just over a quarter of those aged 45-59 (27%).
More widely, it’s Amazon’s sheer success in competitive pricing and logistical efficiency which is keeping marketers up at night; these being top concerns among 33% and 31% of those asked respectively.
However, while some are reeling from Amazon’s dominance, others see it as an opportunity to ride on coattails, with as many as 38% of those surveyed ready to tap into the company’s logistical prowess via the Amazon marketplace to aid global distribution, while 37% would use its ad space to market to a captive audience.
Despite the site’s dominance in e-commerce leading many to question how they can compete, marketers shouldn’t work against the Amazon tide, says Greenlight Digital’s CEO, Andreas Pouros, who adds that marketers shouldn’t ignore the “immense opportunity” presented by its global marketplace and captive audience.
“Partnering top quality customer service with effective brand communications via Amazon’s advertising capabilities is the most effective way to work together moving forwards – be that for small, independent retailers or large organisations,” said Pouros; “The focus on the customer experience and customer service remains at the heart of competition.
“Only once this is widely accepted will businesses with niche expertise and high-quality customer service co-exist and thrive in a world where Amazon continues to deliver on large-scale e-commerce efficiency.”
Last year’s Black Friday saw Amazon haul in approximately 45-50% of all online sales across the globe, according to GBH Insights, creating what was an arguably significant impact on the festive trading period for the remainder of the ye