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• Amazon.com, Inc. is a Seattle, Washington-based, multinational technology
company focusing in e-commerce, cloud computing, and artificial intelligence.
It was founded in July 5, 1994 by Jeff Bezos.
• Amazon is the largest e-commerce marketplace and cloud computing platform
in the world as measured by revenue and market capitalization.
• Amazon.com was founded by Jeff Bezos on July 5, 1994, and started as an
online bookstore but later diversified to sell video downloads/streaming, MP3
downloads/streaming, audiobook downloads/streaming, software, video
games, electronics, apparel, furniture, food, toys, and jewelry.
• The company also owns a publishing arm, Amazon Publishing, a film and
television studio, Amazon Studios, produces consumer electronics lines
including kindle e-readers, Fire Tablets, fire TV, and Echo devices, and is the
world's largest provider of cloud infrastructure services through its AWS
subsidiary Amazon has separate retail websites for some countries and also
offers international shipping of some of its products to certain other
countries. 100 million people subscribe to Amazon Prime.
• Amazon is the largest internet company by revenue in
the world and the second largest employer in U.S.
• In 2015, Amazon surpassed Walmart as the most
valuable retailer in the United States by market
capitalization.
• In 2017, Amazon acquired whole food market for $13.4
billion, which vastly increased Amazon's presence as a
brick-and-mortar retailer. The acquisition was
interpreted by some as a direct attempt to challenge
Walmart's traditional retail stores.
 From Bookstore to superstore:
The evolution of Amazon
Circa 1994, Jeff Bezos began working on a business plan (in his Garage),
which become the largest internet retailer in the US. In 1995, the
company made its official debut.
Since then, a lot has changed.
The marketplace that originally started as an online bookstore now
produces consumer electronics, cloud computing services and the
world’s most competitive delivery services.

The Year-by-Year Evolution of Amazon

1994:
Cadabra.com (yes, as in “abracadabra”) is built by Jeff Bezos in his
Garage, located in Bellevue, Washington.
1995:
“Cadabra” is quickly dumped in favor of “Amazon” after Bezos’
lawyer reveals he misheard the original moniker as “cadaver.” Bezos
decides to go with a more authoritative name — referencing the
largest river basin in the world — to suggest the business’ scale. (Its
launch tagline was “Earth’s biggest bookstore.”)
1996:
Amazon bumps its employee count to 11 and moves out of the
garage and into a small warehouse — its second official
headquarters.
1997:
Amazon issues its initial public offering (IPO) of stock at $18 per
share.
1998:
Amazon’s appetite grows, resulting in its takeover of multiple
companies — including Drugstore.com, Pets.com and
Overstock.com.
1999:
Amazon’s online shopping platform secures the national
spotlight when Time magazine names Bezos its “Person of the
Year.”
2000:
Amazon updates its logo, introducing the curved arrow
pointing from A to Z that the world recognizes
today. Meanwhile, the marketplace begins offering free
shipping on orders over $100 and opens to third-party sellers.
2001:
Amazon turns its first profit — $5 million on revenues of
more than $1 billion.
 `

The transformation of Amazon’s logo

2002:
Amazon Web Services (AWS), a platform for
developers to include features of Amazon.com into
their own sites, launches.
2003:
Amazon launches Search inside the Book — a feature allowing
customers to hunt for keywords in the full text of books listed on
Amazon.com.

2004:
Amazon’s consumer electronic sales surpass book sales for the first
time.

2005:
Amazon Prime, the company’s now-overwhelmingly popular
membership program, is born.

2006:
Amazon launches Amazon Simple Storage, an online storage
service.
2007:
Several new services make their debut: Amazon Fresh, a home grocery
delivery service; Amazon Music, Amazon’s online music store; and Amazon
Kindle, the now-famous e-reader.

2008:
Amazon releases a paid search feature called product ads to allow
advertisers to drive Amazon traffic back to their own websites.

2009:
Amazon basics, a private-label product line primarily consisting of
consumer electronics accessories, launches.

2010:
For the first time, sales of Kindle eBooks outnumber sales of printed
books.
2011:
This is the year Amazon launches the Subscribe & Save program to
offer discounts on items delivered monthly. It’s also when the kindle
fire comes on the e-commerce scene.

2012:
Amazon eclipses Google as the place more people start when
searching for products. Meanwhile, Amazon Supply (now known
as Amazon business), launches as an online marketplace for industrial
and scientific goods.

2013:
Amazon Art launches as an online marketplace for original and limited-
edition fine art from select galleries.
2014:
Prime Pantry, a delivery service for dry goods and non-
perishable groceries for Prime members, gets its start. Prime
members in Manhattan are given access to one-hour delivery.

2015:
Amazon turns 20! In celebration of the milestone, the
company rolls out the dash button and launches prime day.
On a quieter note, Amazon also starts to roll out sellers
fulfilled Prime to increase the number of items eligible for
Prime two-day shipping.
2016:
Amazon’s private label line expands to the consumer packaged
goods (CPG) and fast moving consumer goods (FMCG) categories.

2017:
Amazon Prime Day sets a new record, with sales growing by more
than 60% compared with 2016. The marketplace makes even more
headlines when it announces the acquisition of Whole Foods.
Additionally, features including Amazon store and coupons are
introduced to help third-party sellers connect with more customers.

2018:
Continued rapid-fire growth, which has now reached 100 million
Prime members, leads Amazon to buy land for its growing fleet of
cargo jets.
Mission
• ‘To leverage technology and the expertise of our invaluable
employees to provide our customers with the best shopping
experience on the internet.’
Vision
• ‘To be earth’s most customer centric company; to build a place where
people can come to find and discover anything they might want to
buy online.’
Values
• Customer obsession
• Innovation
• Bias for Action
• Ownership
• High Hiring Bar
• Frugality
PRODUCTS AND SERVICES
 Amazon Prime :

Amazon Prime is a paid subscription service offered

by Amazon that gives users access to services that would
otherwise be unavailable, or cost extra, to the typical
Amazon customer. This includes free two-day delivery
(one-day in some areas), rapid delivery for a fee
through Prime Now, streaming music and video, and
other benefits. In April 2018, Amazon reported that
Prime had more than 100 million subscribers worldwide.
 Prime Music –

Prime Music is a Spotify/Google Play Music competitor that

offer a library of millions of songs to Amazon Prime
members at no added cost. Amazon Prime members can
stream and download music for free. Prime has a collection
of over 2 million songs available for download without
advertisements.
 Prime Video :

The service debuted on September 7, 2006 as Amazon Unbox in

the United States. On September 4, 2008, the service was
renamed Amazon Video on Demand. On February 22, 2011,the
service rebranded as Amazon Instant Video and added access
to 5,000 movies and TV shows for Amazon Prime members.
Prime Reading :

In November 2011, it was announced that Prime members have

access to the Kindle Owners’ Lending Library, which allows
users to borrow certain popular Kindle e-books for free
reading on Kindle hardware, up to one book a month, with no
due date.
 Prime Pantry :

In April 2014, Amazon began a service for shipping non-

perishable grocery store items. The service is available in the
United States, the United Kingdom, Germany, Austria, India,
Japan, Italy, Spain, and France. This is an Amazon Prime
member exclusive service that helps prime subscribers
purchase household goods and get them delivered fast.
 Prime Now :

Amazon announced the benefit to Prime members the capability

to get products delivered to them within one hour for a fee of
or within two hours for no additional fee.
In India Get exclusive 2-hour Express Delivery to eligible pin-
codes in Delhi, Mumbai, Bangalore & Hyderabad via the Prime
Now App
 Retail Goods -
Amazon product lines include several media (books, DVDs,
music CDs, videotapes, and software), apparel, baby
products, consumer electronics, beauty products, gourmet food,
groceries, health and personal-care items, industrial & scientific
supplies, kitchen items, jewellery and watches, lawn and garden
items, musical instruments, sporting goods, tools, automotive
items and toys & games.
. In August 2007, Amazon announced AmazonFresh, a grocery
service offering perishable and nonperishable foods. Customers
could have orders delivered to their homes at dawn or during a
specified daytime window
In 2012, Amazon announced the launch of Vine.com for buying
green products, including groceries, household items, and
apparel.
Amazon Pay
It is an online payments processing service that is owned
by Amazon. It uses the consumer base of Amazon.com and
focuses on giving users the option to pay with their Amazon
accounts on external merchant websites.

Evolution of Amazon Pay

1. Checkout by Amazon (CBA)
It was an E-commerce solution that allowed web merchants to
accept Amazon account information and use Amazon for
payment processing.
Checkout by Amazon could manage several aspects of the
transaction including order processing, promotional discounts,
shipping rates, sales tax calculation, and up-selling.
2. Amazon Flexible Payments Service (FPS)
It was an Amazon Web Service that allowed the transfer of
money between two entities using a technology built on single,
multiple, and unlimited use payment tokens.
FPS differed from CBA in that FPS did not handle additional
capabilities associated with order processing such as
promotions, tax, and shipping.
3. GoPago technology acquisition
Amazon in 2013 acquired GoPago’s technology (mPayment) and
hired their engineering and product teams. Amazon was
interested in the mobile payment business. GoPago’s app allows
shoppers to order and pay for goods and services before they
arrive at a business.
 Amazon Game Studio :
Amazon Game Studio is a division of the online retailing
company Amazon that focuses on the development of video
games . It was founded on August 7, 2012.

 Amazon Art :
In August 2013, Amazon launched Amazon Art as an online
marketplace selling original and limited edition fine art from
selected galleries. The initial 40000 items listed for sale .
Amazon Business :
On April 28, 2015, Amazon announced its launch of Amazon
Business. Amazon Business is a service that provides registered
business owners with a consolidated platform for buying
products and supplies from Amazon. Business users have access
to shipping benefits, discounts on eligible products, purchase
analytics, and price comparisons from different sellers.
Amazon Echo
Amazon Echo (shortened to Echo and known colloquially as
"Alexa") is a brand of smart speakers developed by Amazon.
Echo devices connect to the voice-controlled intelligent personal
assistant service Alexa, which responds to the names "Alexa",
"Echo", or "Computer“

Some of the Variants are

1. Amazon Echo Dot :
To be used in rooms as an alternative to the
full-sized Echo, it possesses the same
functions as the original Amazon Echo
2. Amazon Tap
It is a smaller portable version
of the Echo. The Tap can do many
things the Echo can do;
however, as it is battery-powered,
it is also portable.

3. Amazon Echo Input

It is an Alexa input device with no
on-board speakers used to Upgrade
your speaker to a smart speaker,
it must be connected to external
speakers for audio output.
 Amazon Fire TV
The device is a small network appliance
that can deliver digital audio/video content
streamed via the internet, to a high-definition
television. It also allows users to play video
games with the included remote, via a mobile
app, or with an optional game controller.

 Amazon Fire TV Stick

It is a smaller version of the Fire TV,
it is an HDMI-port plug-in device that
replicates much of the functionality
of the larger Fire TV.
 SUPPLY CHAIN OF AMAZON
• Amazon.com has changed the face of retail through its use of bold supply
chain strategies and its deployment of innovative technologies.

Rapid Growth In 2004, ten years after Amazon was founded, its annual
revenue was just under $7 billion. According to Statista, in 2016, however,
revenue reached almost $136 billion. In fact, Amazon is the fastest company
to reach $100 billion in sales revenue, taking only 20 years. From its
inception, Amazon has been growing approximately 20 percent per year.
Currently, it enjoys 6.4 percent of gross global e-commerce sales. Many
believe Amazon is working with the $1 trillion yearly revenue goal in mind. If
you take Amazon’s 20 percent yearly growth rate into the calculation, it
should reach the $1 trillion yearly revenue goal by 2027.
 Supply Chain Drivers
Warehousing and order-fulfillment for third-party sellers
fulfillment centers across globe
•United States
•United Kingdom
•China
•Canada
•France
•Germany
•Italy
•Japan
•India
 PROCESS OF SUPPLY CHAIN IN
AMAZON
• Process of supply chain management in amazon
• It starts with the customer placing an order.
• The order prompts red lights to come on in the warehouse which
shows the worker the products that have been ordered, and the bar
code is matched with the order.
• The products is then placed in crates on conveyor , which goes
through the distribution center before being sorted by bar codes .
• Crates arrives at the central point , and bar codes of products are
matched with orders and sorted automatically into one of several
thousand chutes before going into a box.
• The bar code then identifies the customer’s order, boxes are
packed tapes and weighted and they are shipped by either us
postal service or UPS for the last mile , arriving at the
consumers within 1 to 7 days.
AMAZON SUPPLY CHAIN STRATEGIES

1. The use of analytics of buying history to market to

individual customers
When you shop on amazon , you don’t even have to surf their site
because the company is flashing similar products you have purchased
and items that you have searched for in past . there is no jedi mind
trick here , they are simply using analytics of your past purchasing and
browsing behavior to sway your buying habits.
2. Brand packaging
We all knows when we receive a brown box with a smile on it
that it comes from amazon . brand recognition is huge and
putting your company logo on your boxes is great way to stay on
your customers minds
3. Schedule a free tour of your facility .
Any customer can request a tour of amazon ‘s fulfillment
centers to see how efficient they are . if you want to
develop a better relationship with your customers and
suppliers , invite them to your facility and show them how
you do things .
4. Putting cool names to different parts of your
company to drives value
With trendy names like pike street , Pinzon , strathwood , kindle ,
dash , etc… amazon has us chomping at the bit with what they
are coming out with next . truth be and creating a PR campaign
around them comes across as told , many of these brands are
simply amazon private labeling different products
 Amazon Supply Chain Management
Practices

1.Quick and efficient supply chain management.

2.The combination of sophisticated information technology, an
extensive network of warehouses, multi-tier inventory
management and excellent transportation makes Amazon’s
supply chain the most efficient among all the major companies
in the world. Rely primarily on national parcel couriers • UPS,
FedEx, Indian post, DTDC, Blue Dart etc.. • Own logistics network
Transportation
• Outsourcing Inventory Management and Insourcing Logistics
Amazon’s supply chain heavily depends on outsourcing of its inventory
management. Amazon understands too well that depending on third-
party logistics would just lengthen the product delivery time. That’s
why Amazon mostly uses its own delivery vehicles for same day
delivery or one-hour delivery options.

• Delivery Options To Customers

Amazon has different warehouses for different kinds of products and

customer preferences for delivery options. Prime customers delivery,
one-day delivery, first class delivery, and free super saver delivery are
some of the common delivery options available to Amazon customers.
Amazon’s continuous efforts to make product delivery in the fastest
possible time make it a logistics giant and not just the leader in the
retail industry.
• Push/Pull Strategy for Supply Chain Success
Amazon’s own warehouses are strategically placed, moving closer
and closer to main metropolitan areas and city centers. As a result,
it uses a pure push strategy for the products it stores in its
warehouses. On the other hand, it uses a pure pull strategy when it
sells the products from the third party sellers.

• Classes and Zones

Amazon boasts over 70 fulfillment centers in the U.S. and greater
than 90,000 full-time employees. To make good on increasingly fast
delivery promises, the company has positioned many new
warehouses in proximity to local urban markets. (Wal-Mart's online
strategy in China now similarly makes use of a closer to the
customer fulfillment model, operating a network of mini-
warehouses.) The location, size, and the number of warehouses are
important factors in Amazon’s supply chain success.
• Its warehouses are divided into five storage areas. Its library prime
storage stores books and magazines. Next, its pallet prime storage
stores full case products that have very high demand. Next, case
flow prime storage stores high demand products picked in less-
than-case quantities. Its reverse storage accommodates irregularly
shaped and low demand products. Finally, its random storage area
stores modern demand, smaller items.
 Supply Chain Cost
• Due to the huge economies of scale and a bundle of industry-
leading supply chain strategies, Amazon has been able to keep its
overall per unit supply cost to a bare minimum. As a result, it has
been difficult for other companies with far lower sales volumes and
only their own warehouses to compete.
• Drones: One of Amazon’s Futuristic Supply Chain Strategies
• Back in 2013, Amazon’s CEO Jeff Bezos announced that his company
is developing a drone-based delivery system called Amazon Prime
Air which would be delivering products under five pounds in
locations within 10 miles of Amazon’s fulfillment centers within just
30 minutes or less. While that was more of a publicity stunt,
Amazon is actually investing in a drone-based delivery system that
will do a similar service to what they publicized. Research
continues. As of November 2017, it announced the development of
a drone that would self-destruct during flight, if required, to keep
people safe.
 Evaluation of Amazon India’s Supply
Chain Hybrid Logistics Model

• Delivers some of the products itself, while delivering some products

sold by suppliers on its marketplace using other logistics firms. Amazon
SCOT (Supply Chain Optimization Technology)
• “Innovating to get customers what they want, when they want it.”
• Using machine learning, data analytics, and complex simulations.
Managed Marketplace Model
• Seller is free to choose self-fulfillment or marketplace-fulfillment.
• Infused inventory-led in a marketplace by having operational control
over seller entities like Cloud tail (Amazon).
“Be afraid of Our Customers, because those are
the folks who have the money. Our
Competitors are never going to send us money”
…… Jeff Bezos Supply Chain of Amazon Ready
with EVERYTHING EVERYWHERE EVERYTIME.