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Group 8 - 2nd Phase

The document provides an overview of Amazon's growth in the e-commerce sector, highlighting its market size expansion from $1.5 trillion in 2015 to a projected $18.8 trillion by 2025, with Amazon's share increasing from 11% to 30%. It also details Amazon's revenue growth, operating income, and net income trends, showcasing significant profitability improvements and a strong customer-centric CRM strategy. Additionally, the document analyzes Amazon's competitive landscape and alignment of its CRM mission with its overall business goals.

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0% found this document useful (0 votes)
25 views13 pages

Group 8 - 2nd Phase

The document provides an overview of Amazon's growth in the e-commerce sector, highlighting its market size expansion from $1.5 trillion in 2015 to a projected $18.8 trillion by 2025, with Amazon's share increasing from 11% to 30%. It also details Amazon's revenue growth, operating income, and net income trends, showcasing significant profitability improvements and a strong customer-centric CRM strategy. Additionally, the document analyzes Amazon's competitive landscape and alignment of its CRM mission with its overall business goals.

Uploaded by

bepir42178
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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SECTOR AND ORGANIZATION

OVERVIEW

GROUP-8
Neeraj Sanse- MBA24165
Pragya Singh- MBA24191
Rupali Thareja- MBA24215
Shelake Aarohi Rajkumar- MBA24244
Shruti Choudhary- MBA24258
Sunaina Gupta- MBA24276
Yash Sharma- MBA24306
Vaishnavi Barthwal- MBA24290
MARKET SIZE
In 2015, global e-commerce market size
was $1.5 trillion; Amazon's estimated
share: $165 billion (11%)
By 2020, the market grew to $4.3 trillion;
Amazon’s share rose to $774 billion (18%)
In 2023, the market reached $9.1 trillion;
Amazon captured an estimated $2.37
trillion (26%)
Projected for 2025:
1.Global market size: $18.8 trillion
2.Amazon’s estimated share: $5.64 trillion
(30%)
Amazon’s share nearly tripled in value
from $1.5T to $5.6T between 2015 and 2025
Market share percentage grew steadily:
from 11% (2015)→ 30% (2025)
MARKET SHARE ANALYSIS

UNITS DELIVERED
9 billion same‑ or next‑day delivery units globally, with Context Within
Metric Amazon (2024)
>60% expansion in delivery sites and fastest fulfillment E‑commerce Sector

speeds on record
Massive; >65% growth in
Leads industry; e.g.,
Units Delivered fast (same/overnight)
REVENUE deliveries
Walmart 5b same‑day/year

Total Net Sales: $638 b (up 11% from $574.8 b in 2023)


U.S. E‑commerce Market Share: 40% in 2024 Annual Revenue $638 b (+11%)
38% of U.S. e‑commerce;
6% of total U.S. retail

PROFIT (OPERATING & NET INCOME) AWS: $39.8 b (58% of total


Operating Income $68.6 b (10.8% margin)
profit)

Operating Income: $68.6 b (10.8% margin; up 86% YoY


from $36.9 b) Net Income $59.2 b (doubled YoY)
Significantly higher profit
levels than peers
Net Income: $59.2 b (nearly double prior year)
GROWTH PATTERN
ANALYSIS

Revenue Growth: From $386B to $638B (2020–


2024)→ Strong CAGR ~13.4%
Profitability:

Peak in 2021→ sharp loss in 2022→ full


rebound by 2023 and 2024.
2024 Net Income nearly tripled from 2023.

Operating Margin:

Declined in 2022 due to high costs and


investment.
Recovered sharply to 10.8% in 2024,
Amazon’s most profitable year ever.
APPENDIX

https://www.annualreports.com/Company/amazoncom-inc
https://s2.q4cdn.com/299287126/files/doc_financials/2025/ar/Amazon-2024-Annual-Report.pdf
https://s2.q4cdn.com/299287126/files/doc_financials/2024/ar/Amazon-com-Inc-2023-Annual-Report.pdf
Your
COMPETITORS ANALYSIS

Average Revenue Per


User (ARPU) Analysis

We aim to evaluate Lenskart’s performance in terms


of Average Revenue Per User (ARPU) over the period
FY20 to FY24. ARPU is a critical CRM metric used to
assess how effectively a business is generating
revenue from its customer base.

we adopted the following key assumptions:


1. Active Paying Users: ARPU is calculated using an
estimated count of users who made at least one
purchase in a given fiscal year, rather than total
registered users.
2. Purchase Frequency Consideration: Given that
eyewear is a low-frequency category (typically
12–18 months between purchases), the active user
base is significantly smaller than the total install
base.
3. Revenue Source: All revenue figures are derived
from public financial data reported in media and
investor insights.
CLOSEST COMPETITORS ANALYSIS

Category Retail + E- Online All-round E- Super App (multi- Grocery, Fashion,


commerce Marketplace commerce category) Electronics
Focus

Omnichannel Personalized App-based Centralized Jio-linked


CRM
CRM, loyalty via dashboards, targeting, Flipkart loyalty insights, localized
Capabilities
Walmart+ buyer protection Plus loyalty (NeuCoins), promotions
cross-brand CRM

Strategic CRM Unified data Strong trust & High engagement Integrated data Hyper-
across offline & user retention in Indian market for personalization &
Advantage
online channels personalization & seamless last-
cross-selling mile delivery
CRM Mission
Statement
“To strengthen every Amazon customer relationship by
delivering timely, personalized and friction‑free experiences that
anticipate needs, reward loyalty and build trust—across retail,
digital content, devices, cloud and beyond.”
CRM Vision
Statement
“An intelligent, unified customer ecosystem in which Amazon
knows, serves and delights each customer uniquely—seamlessly
across touchpoints—so that Amazon becomes their first and
trusted choice for everything.”
Product Description
Amazon is a global e-commerce and tech giant offering a seamless digital marketplace with products ranging from books and
electronics to groceries and digital services.

Online Marketplace Everything from gadgets to groceries Key Features

Amazon Web Services Vast product variety


Leading cloud platform
(AWS) AI-powered
recommendations
Amazon Prime Fast delivery + streaming One-click checkout &
delivery
Personalized user
Alexa & Echo Smart home solutions
experience

Kindle & Audible eBooks and audiobooks


APPLY THE FRAMEWORK WHETHER CRM CAN BE
IMPLEMENTED FOR AMAZON?
Amazon’s Customer Amazon is deeply customer CRM aligns with its focus on
obsessed personalization, loyalty, and
Centric Culture service excellence

Technology Highly advanced cloud CRM integration is feasible


using existing AI, Data lakes,
Infrastructure based system via AWS
and personalization

Data Availiablity & Massive and diverse Enables rich segmentation


customer data (purchase,
Quality browsing, alexa, etc)
and customer insights

Enhanced recommendations,
Strategic Alighment CRM supports key goals like
Retention, CLTV growth, churn prevention, and
Personalization, etc omnichannel engagement
https://docs.aws.amazon.com/managedservices/latest/userguide/apx-crm.html
Alignment of CRM Mission & Vision with Amazon’s
Business Mission & Vision

Amazon’s business mission emphasizes customer obsession, innovation, and


operational excellence, while its vision is to become Earth’s most customer-centric
company.
Amazon’s CRM Mission focuses on strengthening customer relationships through
personalized, friction-free experiences, and its CRM Vision aims to build a unified,
intelligent customer ecosystem that delights each customer uniquely.

Perfect Alignment:
Both CRM and business missions center on customer focus and trust.
Shared commitment to personalization, seamless experiences, and long-term loyalty.
CRM acts as a strategic enabler of Amazon’s core goal: being the customer’s first and
trusted choice for everything.

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