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Amazon's Innovative Just Walk Out Technology

Amazon is pioneering Just Walk Out Technology, allowing customers to shop without checkout lines by using advanced machine learning, computer vision, and AI to automatically track items in a virtual cart. Additionally, Amazon Web Services (AWS) has become a significant part of Amazon's business, offering cloud computing solutions that cater to various organizations and enhance customer experience. The company's strategy of providing a broader selection of items and personalized recommendations further solidifies its position as a leading e-commerce platform.

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Sharvin Sharma
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0% found this document useful (0 votes)
187 views12 pages

Amazon's Innovative Just Walk Out Technology

Amazon is pioneering Just Walk Out Technology, allowing customers to shop without checkout lines by using advanced machine learning, computer vision, and AI to automatically track items in a virtual cart. Additionally, Amazon Web Services (AWS) has become a significant part of Amazon's business, offering cloud computing solutions that cater to various organizations and enhance customer experience. The company's strategy of providing a broader selection of items and personalized recommendations further solidifies its position as a leading e-commerce platform.

Uploaded by

Sharvin Sharma
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd

1. Watch YouTube ([Link]

Explain the
process and technology being pioneered by Amazon. (10 mark)

Based on the video, the technology that is being pioneered by Amazon is Just Walk Out
Technology. The new system, which has been under development for four years, uses “the most
advanced” machine learning, computer vision, and artificial intelligence technology, according
to Amazon in the video. The new system, which has been under development for four years, uses
“the most advanced” machine learning, computer vision, and artificial intelligence (AI)
technology, according to Amazon in the video below. Everything you put in your shopping cart
is automatically added to a virtual cart. The item will be removed from your cart if you return it
to the shelf.

The original Amazon Go store was billed by Amazon as a new kind of store with no
checkout required. The first Amazon Go store opened in Seattle, and it was essentially a small
convenience store with about 1,800 square feet of retail space. This compact size has since been
replicated elsewhere. The customer would never have to wait in line at one of these stores. The
stores operate via the Amazon Go app for iOS or Android. Customers can enter, select the items
that they want, and then exit using the app. For billing purposes, the app is linked to the
customer's Amazon account.

The process is very simple. First, the customer needs to go to an Amazon Go store (at this
time, Amazon has only revealed one store in Seattle). Second, customers need an Amazon
account, a supported smartphone, and the Amazon app. Then customers need to scan their phone
as they enter. Lastly, customers can then stow their phone and gather the rest of the belongings.
Customers can just exit the store once they have finished collecting their things. Customers do
not need to check out and they can replace items at any time. There will be no more lines or
registers. When customers leave the store. The Just Walk Out Technology will add up a
customer's virtual cart and charge their Amazon account then the receipt will be sent straight to
the app.

In the video, Amazon also said that checkout-free shopping experience is made possible
by the same types of technologies used in self-driving cars: computer vision, sensor fusion, and
deep learning. When you take an item from the shelf, the technology recognises it and records it
in your virtual cart. This great technology that was pioneered by Amazon will become a flow and
create a massive new wave in the business sector, which will be followed by a slew of other
companies or competitors.

2. Examine Amazon Web Services as listed in the case study. Why do you think the
company offers this service? (10 marks)

The company provides this service since [Link]'s cloud platform has grown to be a
significant part of the e-commerce giant's business portfolio. AWS (Amazon Web Services) is
Amazon's complete cloud computing platform, which comprises infrastructure as a service
(IaaS), platform as a service (PaaS), and packaged software as a service (SaaS) products. AWS
services can provide a company with resources like compute power, database storage, and
content distribution. Amazon Web Services (AWS) was founded in 2006 as an extension of
[Link]'s internal infrastructure for handling its online retail operations. AWS was one of
the first firms to offer a pay-as-you-go cloud computing model that scales to meet users' needs
for computation, storage, and throughput. For businesses and software developers, AWS
provides a variety of tools and solutions that may be used in data centres in up to 190 countries.
AWS services are available to organisations such as government agencies, educational
institutions, charities, and commercial companies. Because they created the best customer
experience, Amazon has become the world's largest and most successful store. When customers
buy products online, they expect three things: Large Selection. Customers always want to find
the product they're looking for, and this product should, of course, be available. The Amazon
Web Service has seven reasons to succeed and is a huge success. The first is innovation,
customer service, execution, diversification, exceptional user experience, design-content
integration, and a win-at-all-costs mentality.

AWS Simple's deceptively simple beginnings. Amazon S3, the first Amazon Web
Services (AWS) service, is named after that word, Simple Storage Service. It's hilarious because
what we were attempting to do, which was to store data on the internet—and do it well—wasn't
easy "Dr. Werner Vogels, Amazon's Chief Technology Officer, recalled the early days of what
we now call the cloud. "It had to be "easy" for customers, but developing and building S3 wasn't.
Today, we store and access a wide range of data in the cloud with little effort or thought given to
how it occurs. It's easy to lose sight of what life was like 15 years ago. The iPhone had not yet
been released. Mariah Carey topped the pop music charts in the United States (again). 30 Rock, a
comedy series, made its debut. Facebook had only recently begun to extend beyond college
students. People were therefore anticipating, if not clamouring for, the concept of online storage.
However, it had to be equal parts secure, persistent (in the sense that data was never lost),
constantly available, and trustworthy in order to truly prosper. All of this, plus it's quite simple to
use and inexpensive.

Others have attempted to hit all of those engineering points and create their own internet
storage, particularly within major organisations that dealt with a significant number of scanned
documents. It frequently didn't work out because the systems were either too difficult to use or
just too expensive to justify. Another reason creating an online storage system was difficult was
that you couldn't simply copy and paste a standard file system structure over the internet.
The early S3 team had to figure out what was truly needed for internet storage and then come up
with a means to implement it. At the time, the design trend was to pack as much functionality as
possible into a software suite. However, during an early meeting with Jeff Bezos and Andy Jassy
to explore how to execute their internet storage concept, the conversation took a different turn. In
contrast to all of the era's over-engineered software, the S3 team chose to go the other way.
They'd create a storage system that did exactly what it was supposed to do, and did it really
effectively. What they came up with was a brand-new system that used "objects," "buckets," and
"keys" to provide secure internet storage that developers could use and afford at $0.15 per
gigabyte of storage per month (the price for what is now known as S3 Standard storage has since
dropped to around $0.02 per gigabyte per month).

3. Check all the personalization features on [Link]. List their advantages.


(10 marks)

Amazon Personalize makes it easy for developers to build applications capable of delivering a
wide array of personalization experiences, including specific product recommendations,
personalized product re-ranking, and customized direct marketing. Amazon Personalize is a fully
managed machine learning service that goes beyond rigid static rule-based recommendation
systems and trains, tunes, and deploys custom ML models to deliver highly customized
recommendations to customers across industries such as retail and media and entertainment.

1. Deliver high quality recommendations, in real-time

The ML algorithms used by Amazon Personalize create higher quality recommendations that
respond to the specific needs, preferences, and changing behavior of your users, improving
engagement and conversion. They are also designed to address complex problems such as
creating recommendations for new users, products, and content with no historical data.

2. Easily implement personalized recommendations in days, not months

With Amazon Personalize, you can implement a customized personalization recommendation


system, powered by ML, in just a few clicks without the burden of building, training, and
deploying a “do it yourself” ML solution.

3. Personalize every touchpoint along the customer journey

Amazon Personalize easily integrates into your existing websites, apps, SMS, and email
marketing systems to provide a unique customer experience across all channels and devices
eliminating high infrastructure or resource costs. Amazon Personalize provides flexibility for you
to use real-time or batch recommendations based on what is most appropriate for your use case,
enabling you to deliver a wide variety of personalized experiences to customers at scale.

4. Data privacy and security

All of your data is encrypted to be private and secure, and is only used to create
recommendations for your customers. Data is not shared between customers or with
[Link]. You can also use one of your own AWS Key Management Service (AWS KMS)
keys to gain more control over access to data you encrypt. AWS KMS enables you to maintain
control over who can use your customer master keys and gain access to your encrypted data.

Example of Amazon Personalize and its advantages (Recipes)

Amazon Personalize can provide recommendations based on a user's browsing context. For
example, Amazon Personalize can provide different recommendations when a user is browsing
on a mobile device than when that same user is browsing on a desktop.

Amazon Personalization you can train a solution for different use cases. For example, user
personalization, items related to an item, and re-ranking of items. You choose a recipe based on
your use case and provide the input data. A recipe performs featurization of your data, and
applies a choice of learning algorithms, along with default hyperparameters, and hyperparameter
optimization job configuration.

Recipes in Amazon Personalize allow you to create custom personalization models without
needing machine learning expertise. You can choose which recipe to use to train a solution
version, or let Amazon Personalize decide on the best recipe to use for your data. To help you
decide which recipe to use, Amazon Personalize provides extensive metrics on the performance
of a trained solution version.

4. (i) Find some recent materials on [Link]’s e-commerce digital marketing strategy
and discuss your findings. (10 marks)
According to Statista, India is one of the world's fastest growing e-commerce markets.
This alone should persuade us to consider opening an online business in India. The advancement
of technology gives entrepreneurs an excellent opportunity to reach customers in a much faster,
easier, and cost-effective [Link] recent years, online shopping has exploded in popularity.
The internet has captured the interest of the retail business in recent years. Hundreds of millions
of people shop on the internet. People use online shopping to buy a lot of items. Based on this
statement, Amazon is one of the more innovative online retailers, and has experienced great
success and failure in that country and has implemented a number of digital e-commerce
marketing methods to assure the company's long-term prosperity.

First and foremost, there's Amazon PPC advertising. Advertising on Amazon is perhaps
the most effective strategy to boost sales. According to a recent research, most firms advertising
on Amazon enjoy a 400% ROI, which is remarkable. Ads on Amazon are comparable to those
found on Google. They display when a user conducts a search on Amazon using the advertiser's
chosen keywords. Advertisements can also be found on product pages and at the bottom of
pages. Consumers, like Google Ads, can be charged each time a user clicks on an ad. Based on
the case study,by using this advertising,it can overcome the weaknesses in SWOT Analysis,
which is that Amazon's self-publishing facilities will change the publishing industry business
model, but the beneficiary may not be Amazon.

Then there's SEO as a digital marketing strategy for Amazon. The majority of product
searches now begin on Amazon. It is critical that their product listing be optimised so that
individuals searching to buy things may locate them. Buyers look for products based on a variety
of factors, such as size, type, and material. They might also type a product's name, such as
"waterproof hiking backpack." Consumers benefit from a detailed product description in these
scenarios. For starters, the most significant ranking criteria for Amazon SEO is the product title.
As a result, Amazon has included the most important keywords in the product title. Plus, the title
includes the following: the product's brand name; a clear description of what it accomplishes; a
specific ingredient or important element; colour; size; and quantity, if relevant. Second, the
company's product descriptions and bullet points were persuasive and very informative. From a
sales standpoint, work on the copy to make it readable, compelling, and natural.
Last but not least, Social Media Digital Marketing for [Link] have been
using social media marketing to communicate with existing consumers and reach out to new
ones while also promoting their intended culture, mission, or tone. They grow their brand by
expanding their presence on digital channels outside of Amazon after optimising their Amazon
listing. Instagram is, without a doubt, the most popular platform for physical product merchants.
Whether believe it or not, Facebook's image and video-based social media platform has aided
them in showcasing their products and raising brand awareness. Based on the case study,they can
use social media to mention their discounts, low prices and wide range of products sold via direct
selling or marketplace. In the U.S., by contrast, Amazon holds and sells its own inventory of
toys, books, and more in addition to selling goods from third-party sellers.

5. Is Amazon’s decision to offer a much broader selection of items as stated in the case
study; a good e-commerce strategy? (10 marks)

Amazon’s business model of offering a broader selection of items in its ecommerce


platform can be defined as a good ecommerce strategy. A broader selection of products means a
wide variety of products that are listed on amazon by looking at a few key components like value
proposition, market opportunity, revenue model, competitive environment, competitive
advantage and market strategy to ensure a higher customer search exposure of amazon product
listings overall. This broader selection product strategy by amazon can help the consumers or
buyers to quickly gauge what products can be successful in a particular marketplace. Amazon
strategy on offering a wide range of products were sold via direct selling or marketplace. As
mentioned in the case study, amazon in the U.S market by contrast holds and sells its own
inventory of toys, books, and more in addition to taking and selling goods that are from third-
party sellers

Broader product selection choices on amazon will be a good strategy that can benefit
people in a lot of ways. when a customer has highly differentiated tastes and needs when
scrolling through amazon or any other ecommerce platform there will be more choices to let
those customers to satisfy their own particular wants. For example, different people may have
different tastes in buying earphones and the same person may like different earphones at
different times. For a teenage person that prefer to hear music would buy an wired earphone and
after few days, that teenage customer realised there is an improvement in the earphone like
introduce of wireless earphone it will make the same teenage customer to buy the wireless
earphone even though he just bought his wire earphone few day ago by following the current
trend and his satisfaction and this would enable amazon or any other ecommerce platform to
continuously providing broader product selection to cater various customer that deals with
various taste and needs.

Secondly, A lot of inventories or product offers by amazon had led to those products to
have a Highly Competitive Pricing. The key advantage of broad product offering drives the
amazon marketplace to have wide product options for potential buyers to choose on an
aggressively lower pricing rate. There are a lot of customers who have similar needs and those
with similar needs will tend to get more choices on amazon marketplace and it can be beneficial
because it promotes competition among providers that leads to lower prices or improved quality.
For example, a rich dad poor dad book is a fairly standard book that is having sales margin but in
the ecommerce marketplace those books also come with different grades and prices that may be
easy for customers to compare and buy with price that they are preferred with. A customer from
amazon or any other ecommerce platform will benefit the most when given a choice among the
ubiquitous products because competition from various retailers or FBA sellers in amazon can
drive down prices. This broader product selection is more likely to bring high sales and
conversion in amazon and it is considered as a good strategy to deal with ecommerce customers
that have various needs , taste and Etc.

6. What are [Link]’s critical success factors in the everchanging e-commerce world
since its inception in 1995? (25 marks)

Amazon was founded in 1994, and since 1995, the company has set out to be “Earth’s
most customer-centric company, where customers can find and discover anything they might
want to buy online, and endeavours to offer its customers the lowest possible prices.” Basically
for Amazon they have a great factor that might be the best way for them to achieve success, for
example Amazon has to deal with the content of the services that they have interrupted in their
whole day working. Past items and administrations, Amazon considers content to be a solid
advantage for the present advanced customer. This relates to both creation of unique substance
for Prime Video individuals, and deals of content, for example, through Amazon Music
Unlimited. Amazon Devices, for example, Fire TV, Echo and so on, support gushing of content.

Next, is worldwide recognition from the Amazon Company. For example, Amazon
affects any new market it enters. Amazon has had the option to use its image acknowledgment
internationally, which conveys such an intimidation to new business sectors. Amazon presently
has 31% of the portion of the overall industry in Germany and 47% piece of the pie in the UK.
Amazon also focuses on the price factor, since the value is a particularly significant piece of a
customer's experience, their point is to have the least cost on the web. Also, they are succeeding.
The Buy Box encourages rivalry inside the stage to keep it low.

The other Amazon success factor is their delivery factor. Making a steady and
dependable shopping experience which is best in class implies ensuring the item is conveyed
rapidly as frequently as could be expected. This is a trouble spot for some organizations. A
business may have close to nothing (or no) foundation set up to make this conceivable,
regardless of whether they are acclimated with selling just in enormous shipments B2B, or an
exceptionally independent company working from their own home B2C. Notwithstanding these
assorted conditions, most clients won't make the qualification between things "sold by Amazon"
and "commercial center buys". That implies if Amazon needs a reliable outcome, this
transportation methodology should likewise be applied to dealer items.

This is known as FBA, or Fulfillment by Amazon. Taking on the putting away, picking,
pressing and transportation permits Amazon to control the nature of shoppers' conveyance
experience while offering an exquisite answer for their dealers who might somehow or another
battle to convey as per Amazon's thorough guidelines. This implies that Amazon can be certain
that it is done well – that implies rapidly and precisely – as regularly as could really be expected.
Picking in implies your items are qualified with the expectation of complimentary delivery and
Prime.

Other critical factors are because of its mission of providing world-class customer
service, Amazon has created a number of useful tools that consumers can use to monitor
deliveries and easily return or exchange bought products, adding ease and convenience to their
online shopping experiences. Amazon's Customer Service staff has received several honors for
its devotion to avoiding and quickly resolving customer issues. One of Amazon's overall goals is
to become the world's most customer-centric company and the brand's commitment to this
objective has paid off. Amazon uses social media as another strong tool to interact with
customers and improve the quality of its customer care. When used correctly, social media
platforms may assist your e-commerce firm in addressing consumer issues and establishing a
solid base of devoted and enthusiastic followers that support your brand. As a result, numerous
e-commerce firms collaborate with Snap's Social Media Team to improve and expand their
social presence.

Besides, Amazon's critical factors are merging design with content. It goes without
saying that long-tail content is a critical component of e-commerce SEO. To improve a page's
exposure in search engines, they used a lot of keyword-rich text, which is why Amazon employs
long product descriptions and FAQs on its product pages. Take a look at any product page on
Amazon, and you'll find that this long-tail information has no negative impact on the flow or
UX. Amazon's product text is prioritised behind critical CTAs (such as the "Add to Cart" and
"Buy Now" buttons). Amazon sites attract and convert relevant online visitors because to the
seamless integration of style and content. Consider collaborating with a digital marketing partner
like Snap to improve their site's content without losing its UX. They offer powerful content
marketing solutions to their e-commerce clients in order to improve the performance of their
product pages on major search engines. To boost traffic and conversions, their SEO Team can
generate compelling long-tail content that integrates perfectly with the site's design.
7. Browse specific books on one particular subject, leave the site, and then go back and
revisit the site. What do you see? Are these features likely to encourage you to purchase
more books in the future from [Link]? Check the 1-Click feature and other
shopping aids provided. List the features and discuss how they may lead to increased
sales. (25 marks)

I had visited [Link] to do as mentioned above which is searching a book and


leaving the website. When I finished log in to the amazon website, I had typed in a book called
Rich Dad Poor Dad in the search section and there were a lot of selections of the Rich Dad Poor
Dad book available on the front page so I decided to click one of them and close the amazon tab.
After I tried to log in after 10 more minutes, I noticed that the Rich Dad Poor Dad book had
appeared on the search bar of Amazon's website with various other suggestions on the search bar.
Following that, the front page of Amazon website is full of recommendations of the same Rich
dad Poor dad book that I had searched for on a customized dashboard called "Recommended
based on your browsing history" with various grades like first hand, second hand, ebook and also
offered at different prices. Other than that, I also searched again with a different book titled
Think and Grow Rich and logging in again after a few hours, it showed the exact book of Think
and Grow Rich and Rich Dad Poor Dad on the front page recommendation dashboard of
Amazon. I had also encountered that both books in the recommendation dashboard keep
changing on its prices and grade when I was trying to revisit the Amazon website more and again
and Amazon also suggested some of their other best selling books which had the same genre as
the book I searched above. These particular features on Amazon had made any other potential
customers or also for me to compare their products on the basis of different pricing, grading,
type, author, observing and going through the previous customer feedback section to help the
product buying process more safe, easy and convenient. the comments from the customer review
section and these features had likely encouraged me to purchase more books in the future from
[Link].

Amazon 1-Click feature is a method used by Amazon to make the process of ordering
and paying for products more convenient. Customers can use this option to order and purchase
products without having to go through time-consuming check-out procedures. In general, there
are three sorts of 1-Click order features that users can enable, which is Regular 1-Click Order,
Mobile 1-Click Order, and Digital 1-Click Order. In order, to use the 1-Click order features. The
regular 1-click order and Digital 1-click order settings can be applied to the orders being placed
on Amazon's website and Mobile 1-Click Ordering settings are solely applicable to orders placed
on Amazon's mobile app. The user must then push the turn-on button to enable the 1-Click
settings. To utilise this service, the customer must first create a default address and then set up a
payment method such as a debit or credit card. Finally, by pressing the "Buy now with 1-Click"
button, the consumer can purchase the products. The user has only 30 minutes to cancel or
amend the previous order. This is because Amazon will attempt to combine all of the ordered
items into a single shipment in order to save money on shipping. With this particular 1- click
feature, Amazon was able to increase sales by 5% to 10% and the potential customers also like
the ease of purchasing process that Amazon provided and it drives the existing customer to come
and buy with Amazon again.

NUR IZZATI BT BADRUL HISHAM 268012

SHARVIN SHARMA A/L SIVALINGAM 269745

MUHAMMAD IKRAM BIN IBRAHIM 270033

HANAFI BIN SAIFUL 270976

ANIS NABILA BINTI MAT ZIN 271174

SITI NUR IZZAH BT MOHD RASHID 275660

NUR IZZATI BT BADRUL HISHAM 268012


SHARVIN SHARMA A/L SIVALINGAM 269745
MUHAMMAD IKRAM BIN IBRAHIM 270033
HANAFI BIN SAIFUL 270976
ANIS NABILA BINTI MAT ZIN 271174
SITI NUR IZZAH BT MOHD RASHID 275660

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