Amazon.com was established in 1994 with the aim of satisfying the demands of the clients. It has experienced continuous success over the years as well as the development of online stores across the globe. It has managed to employ over 750000 employees, enabling it to over e-commerce services effectively (Coombs & Holladay, 2012). Generally, the development in online business has taken way in its operation, and therefore significant riches have been witnessed. However, with the rising e-commerce business, Amazon has always faced considerable competition that, in one way or another, has declined its sales. The development of the strategy to enhance consumer loyalty and best service delivery is one of the plans that competitive businesses have engaged in. Regarding the same, Niche e-commerce store has developed to compete out with Amazon.com. It has improved its services over amazon while still maintaining a good rapport with its potential and existing clients. For that reason, Niche e-commerce store is now well developing to overtake Amazon in all dimensions on which they have used different strategies in inducing provision of a wide range of varieties, employment of timely delivery, presences of physical store displays, and also use of differentiation methodologies to rebrand their products better. Concerning that, the paper will articulate and provide the essential causes of the stiff competition over Amazon by Niche e-commerce stores with respect to its success.
Internal Structure of Niche Ecommerce
Niche store has been one of the efficient and profitable since 2017. Occasionally, the management team alongside the staffs are well coordinated to provide adequate services in its operations. Consequently, following the online services such as queries by their esteemed customers that always ever ready to get them their response. It is through sufficient communication structure inboard of management that they are able to develop ideologies that they can be able to use in the development of the company. The latest technologies have been innovated with regard to improve the business image as well as developing strategic advancement to promote consumers. The sales team are well equipped with the necessary information and knowledge that is vital in the development of competitive measure with existing and rising companies in the same field. Internal management is specifically aimed at a segment of the audience whom they are able to manage and manipulate at that particular time.
Based on the operation of the Niche e-commerce stores, various factors are put under consideration, and therefore they are discussed collectively with the aim to address them. Some of these factors include capital required to stifle development and growth, the existing competitors, product advertising styles, and consumer preferences with changing dynamics. Primarily, webpage designing was one of the critical bases that Niche store had to improve to induce a user-friendly interface upon which they would be able to develop a business rapport with their customer collaboratively. The website, therefore, is always easy to use and access whenever in need to make some orders and does not require massive internet server to load. The customer service is of crucial role in the company in ensuring that they are able to address the customer's claim or even the issues affecting them. They are also responsible for conveying the information that is needed by the public to enhance their reaction and adaptability to change.
The store has taken over measures in expanding its stores across the globe. They have persistently plowed back profits to establish physical stores in them that help them display their products. As a result, they have been able to gain a comparative advantage over which they persistently win more customers. Capital investment has triggered an increase in innovation and development of the research studies to enhance the means on which to counter compete with rivalries such as Amazon. Amazon, having dealt with a variety of the items and gained stability, they were a bit static to change, and therefore, Niches store took advantage of its ignorance to develop its reputation. The insufficient physical stores for Amazon reduce the loyalty of the customers on their products. Alternatively, Niches store by venturing its capital on the construction of the physical stores they have been able to win more clients over time (Head, 2015). Capital investment is termed as a central part of Niches e-commerce, especially in conducting market analysis. Its continuous research has enabled it to provide an articulate solution to the current crisis, especially dealing with cultural and consumer preferences. As a result, it has been able to pose a positive impact on its sales hence winning a proportionate percentage of the market that was initially owned by the Amazon. Generally, the Amazon market has kept shrinking due to reduced Niches Store competition.
Amazon.com despite is a pre-existing condition, it has always failed to find the remedy toward delayed order delivery and overcrowded website (Coombs & Holladay, 2012). For that reason, the site is still slow, thus reducing accessibility by the consumers. Niches store with innovative measures and researches were able to develop an efficient website upon which sellers find it reliable to sell their products at (Ghura & Ghura, 2012). For that reason, it has persistently gained popularity hence increasing sales day by day to outdo Amazon. However, Amazon remains at the top, and the Niches online subject a stiff competition whenever they intrude to.
Benefits over Amazon.com
The following are the benefits that Niches e-commerce has over Amazon. Customer relations are well maintained in that they are precise to whom and where to affect their sales. For that reason, they usually have general knowledge about the consumers' demand as well as their consumption behavior. Through promotions and discounts that they often give to their loyal customers enables the stores to expand their market shares. They are able to customize their services and are mobile depending on the demand of the clients. Unlike Amazon, who are more fixed to their norms and guidelines, customers find it difficult to express their gratitude and also enhance their satisfaction (Ghura & Ghura, 2012). It is, therefore, the revocable behavior of amazon to influence customers in a continuous buying process from them. Niche markets allow customers to provide personal requests on which they ensure that they meet the desire of the client. By so doing, the customers' relationship is integrated hence developing continuous expansion of the sales. Under such growth and development of the company income growth, Amazon faces a significant threat that is not able to resist. The focus of the Niches Store on a specific product enables it to create a positive rapport and also make sound decisions on how to develop the products in the desire of the customers.
The specialization and concentration towards a specific population of the consumers have enabled the company to develop strategies and plans to mitigate competition and meet the need of the consumer. Solid midtown specialty gives purchasers an enormous determination, however, inside a constrained scope of product and administrations. Therefore, the shops in the specialty establish a specific strip mall with the attraction of a solid shopping goal. Reliable midtown specialties are known to draw numerous clients from more than 40 miles away.
The way into the quality of any retail specialty is not the number of stores, however the measure of assortment they can give inside the constrained scope of product and administrations that characterizes the specialty. Value variety likewise makes a specialty increasingly appealing. The home lighting specialty on the Bowery in Manhattan has been around since the late 1960s, and it draws customers from everywhere throughout the New York metro zone. Its history is informative. By the mid-1980s, it had developed colossally in its number of stores and the geographic region in which those shops were found (Ghura & Ghura, 2012). Today, the specialty has contracted to around 20 shops situated along with a couple of block faces along Bowery and Grand Street (Head, 2015). Even though the number of shops had developed significantly, shoppers started detailing that they all appeared to sell comparable products with unimportant varieties in cost. The withdrawal in the size of the specialty was unavoidable and most likely left it in a severe superior position. A substantial retail specialty needs an area where it is simple for customers to stroll, starting with one specialty shop then onto the next. It implies midtown are frequently helpful areas for reliable specialties. Downtown retail specialties can last from only a couple of years to over 50 years (Head, 2015). Besides, the disintegration or vanishing of a formerly solid specialty may not flag downtown financial disintegration, however, that the specialty has carried out its responsibility, and significantly more grounded dealers are entering the midtown. For instance, numerous retail specialties will build up themselves in battling midtown and Main Street communities when rents for suitable business spaces are entirely moderate. Regularly the accomplishment of these specialties makes the midtown a considerably more appealing business area. The net outcome is expanded interest for nearby retail spaces and inflated rents. A large number of the shippers in the specialty that made the midtown an appealing business area will most likely be unable to pay these rents.
Regarding the stiff competition between Niche and Amazon, employees have been weighing wage rates in the comparative advantage of their welfare. Niche store provides a free and favorable condition for the employees since they are not restricted in raising issues of concern. Occasionally, they are able to have horizontal communication with senior staff; hence addressing issues becomes easy (Head, 2015). For that reason, the working culture within the Niches attract employees from different organization and companies. Consequently, the earning of the employees are not constant and is developed according to employees' output. Amazon has its salaried employees at fixed wages, and therefore, the motivation to improve in their work operation is minimal. Generally, the company productivity is low as well as the employees are neither motivated to make extra coin from their earning. However, due to a high number of employees in Amazon Company, the firm can never feel the effect of the employee transfers to the Niches stores.
Coombs, W. T., & Holladay, S. J. (2012). Amazon.com's Orwellian nightmare: exploring apology in an online environment. Journal of Communication Management. https://www.emerald.com/insight/content/doi/10.1108/13632541211245758/full/html
Ghura, A. S., & Ghura, H. K. (2012). Niche website, the new era in E-commerce. Sansmaran Research Journal, 2(2), 15-18. https://search.proquest.com/openview/d943f22ac1c9d6ce1d96c47283363456/1?pq-origsite=gscholar&cbl=2046061
Head, M. (2015). A multifaceted campus store model for creating a business-academia partnership for a niche market of fiber optic products (Doctoral dissertation). http://dpoc.uark.edu/xmlui/handle/10826/1116
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