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Kagan: Amazon needs to fix weak links in otherwise strong chain

Like so many others, I am a happy Amazon.com customer. However, there are times when this train runs off the track and they harm their own brand. These moments are like black holes that can surprise the customer and damage the brand. That’s why they need to fix these problems in order to protect their valuable brand and their relationship with customers. 

Many items for sale are similar. However, when bits of information that are different, they should be communicated in a bold and large way to catch your attention before you purchase. 

This is the only way to protect the customer and solve this problem. Shoppers need to understand who they are buying from, what they are buying and the rules of the game. 

This is the weak link in the otherwise strong Amazon chain.

A company can spend years building a successful brand, then lose it in an instant. A bad experience with customer care, customer service and customer satisfaction can instantly destroy brand loyalty that has been built over time.

Since its founding in the 1990’s, Amazon has built a strong brand relationship in the marketplace.

Even though their system is mostly automated, when you do connect with a live human being, they do seem to care and want their customer to be happy and satisfied. 

Amazon understands keeping customers happy keeps customers

That’s smart. Amazon understands it is more important to keep a happy customer coming back, than fight a battle and lose future business. It costs much less to keep a customer happy and onboard, than to lose and replace them. 

All that being said, they are missing the mark in several areas. There are some obvious problems that have plagued Amazon for as long as I can remember. 

Let me suggest several problems areas Amazon needs to fix.

When ordering on Amazon, the customer can’t see and touch the product until they purchase it, and it is delivered. Once received, if they don’t want to keep it, they simply return it. 

However, what if the vendor does not offer a return policy? 

You see, the brand Amazon has built over decades is reliability and no risk. That being said, customers are always surprised that many products cannot be returned and refunded. 

Customers trust Amazon until they get burned

The problem is things have changed over time. Today, there is not one return policy. That means it us up to the customer to thoroughly read the fine print on the sales page before they make any purchase. Once they hit the button and buy, it’s too late. 

Amazon does not explain this to the customer. So, the unsuspecting buyer gets lulled into a false sense of security and often gets trapped. 

The least Amazon should do is, if a product has a different return policy, make sure the customers understand everything before they purchase.

You see, once a customer has trust, they can quickly log on, shop, find what they want, buy it then get on with their day.

While that was fine yesterday, it can be a disaster today. This means it is up to the customer to make sure they read the fine print on every purchase, small or large so they don’t get burned. 

While the information is all on the sales page, many customers rely on trust and don’t read every word. Increasingly, that is the mistake. 

This is because in the past, everything you bought from Amazon came from Amazon. Today, it’s like a giant, international shopping mall with countless stores. 

Each store can have their own return policy and shipping policy. Too often it is difficult for the customer to know who they are doing business with and what the rules are for each. 

Knockoffs are growing customer relations problem on Amazon

I learned something very interesting on a recent order. I purchased a brand name, refrigerator water filter. When it arrived, it was a generic. Plus, the generic was the same price as the brand name version. 

After I complained, the store said they didn’t understand. They only sell brand name products. They said, apparently Amazon, on their own, shipped me what they had on their shelves. Not part of this stores inventory.

So, apparently, in an effort to deliver quickly, Amazon delivered the wrong item. 

This was just one of many ways Amazon is damaging their own brand. 

Knockoffs are becoming a real problem for Amazon. However, this is something they can fix immediately. 

Customers need to be sure they understand whether the product they are buying are real or fake. Amazon does sell both. 

And if you scour the sales page, you can usually find the information. The problem is customers don’t scour every word like they should. 

Rather, they trust Amazon. While that is good for Amazon, when a customer gets burned, they sour on the brand.

Want another example? 

I recently purchased new Apple Airpods. They arrived, but they were not a real Apple product. They were a knockoff. And they didn’t work. So, I logged on and searched the sales page. I found that was mentioned, but in small print. 

I have been a long-term Amazon customer, and I still get burned now and then. I trusted Amazon would not hurt me, so I simply ordered quickly, assuming I’d get what I wanted. 

I was wrong. Fortunately, Amazon let me send it back to them and gave me a refund. Then I found the actual Apple Airpods and ordered them.

There are many other problems as well.

Sometimes shipping is included. Sometimes it is not, and the customer must pay an extra cost. Even for Prime customers. 

Sometimes the product arrives within hours. Most times within a day or two. But many items can take many days, weeks or even longer.

Sometimes the product you purchase never arrives at all. Sometimes the seller runs out while the customer waits. If the customer knew this, they would have purchased from a competitor. 

This causes more damage to the Amazon brand.  

To straighten out a problem, sometimes the customer needs to speak with an Amazon.com representative. Yes, a real, live human being. But finding the number can be a chore on its own.

So, it is important for the shopper to make sure they understand everything before they purchase. Make sure they understand the return policy. Make sure they understand how long it will take before they get the item. Make sure they know the business they are ordering from. 

Amazon is good company, but needs to fix problems customers face

All in all, Amazon is a good place to do business. I believe they want to do the right thing.

They care about cultivating the customer relationship. However, there are black holes in their universe that can suck the customer in before they know what happened. 

Amazon could also reduce operating expenditures and save themselves money on the first order if they make it clear to the customer, this was a knock off.

Many customers don’t think when shopping on Amazon. They simply log on, find what they need, buy it and get on with their day.

Amazon needs to increase clarity on each purchase

Amazon should say in the title of each product whether it is real or a knockoff. They should disclose the return policy. They should disclose whether the product is from Amazon or another company. 

They do some of this, but it is all part of quite a bit of chatter on the page. Important items need to be in bold to capture the attention of the customer.

Customers simply do not read every word with every purchase. They trust the company they do business with. 

Here is an idea. Create one more page before the purchase outlining certain items the customer needs to know. This must be short and to the point.

That would save the customer time and money. That would also protect the Amazon brand. And that would even increase profitability by reducing the cost of doing business.

The bottom line is the customer must be satisfied. Customer expectations must be met. Otherwise, the brand value will be damaged and will unravel.

ABOUT AUTHOR

Jeff Kagan
Jeff Kaganhttp://jeffkagan.com
Jeff is a RCR Wireless News Columnist, Industry Analyst, Key Opinion Leader and Influencer. He shares his colorful perspectives and opinions on the companies and technologies that are transforming the industry he has followed for 35 years. Jeff follows wireless, wire line telecom, Internet, Pay-TV, cable TV, AI, IoT, Digital Healthcare, Cloud, Mobile Pay, Smart cities, Smart Homes and more.