If you have ever wondered how to become rich or how to get rich in the most natural way possible, then you only need to look at the most successful companies in your neighborhood. If you look into the statistical data, most of the world's richest people are business owners or at least in association with those businesses. For example, read this article written on BusinessNewsDaily
I have seen many people online that have attempted to answer the question of (how to become rich?) by giving a cliché advice that I know you have heard a billion times.
I believe we should study the most successful companies because they have found a way to take a large portion of our income and we gleefully allow them to do so.
Luckily, I want this question answered too!
So, this will be an in-depth look into successful companies, their marketing strategy examples, and their founding so you and I can have a better understanding of how to become rich in the most proper and natural way.
It is my hope that the marketing strategy of Amazon teaches and motives us to start our own businesses, and make sure we don’t fail.
I am what you will call a 21st century digital entrepreneur. Constantly learning and striving to enact actions that are customer focused (YOU). I am the founder at Jmusic- singer and songwriter and sidehustle-reviews.com; brands promising to provide the strategies and ideas that will enrich and transform Your life.
HOW TO GET RICH BOOKS? MY RECOMMENDATIONS OF THE BEST LIFE CHANGING BOOKS?
Before You continue reading, I want to recommend some books that I believe will have the greatest impact on your life:
- 1. Thich Nhat Hanh "The Art of Communicating"
- 2. John C Bogle "The Little Book Of Common Sense Investing"
- 3. Grant Cardone "The 10x Rule"
- 4. Og Mandino "The Greatest Salesman In The World"
HOW TO BECOME RICH? BY THE MARKETING STRATEGY OF AMAZON
Amazon (Amazon.com) is a multinational American technology company that started with the business model of ecommerce and has since expanded their services and products extensively to the billions that love, support, and promote their brand.
I am one of those supporters. I have been a customer, a partner and even an employee at some point in my life. Like it is stated on the Amazon about us page “[Amazon is about] customer obsession rather than competitor focus.”
In my opinion, that statement is very true and I think much more can be said about this $1 trillion company. As business owners or individuals wondering how to become rich, the company Amazon is the standard.
I believe, if you want to know how to become successful, you have to study the people and the things that emulate that type of success. Specifically, we will be looking at the mind behind the founding of Amazon, understand the marketing strategy of Amazon, and take out the principles that would answer our question of how to become rich and successful.
I hope this marketing strategy example of Amazon will be as beneficial to you as it is to me. As a new singer myself, I have often said, I am in a business. Any other musician out there that has taken up the mic, listen up.
As soon as you try to become famous, similar to the top famous singers like Chris Brown for example, you have just started a business venture.
The principles of this case study will not just teach you how to become rich, but how to make sure you don’t fail when you too start your own business.
HOW WAS AMAZON FOUNDED?
According to source: Wikipedia Amazon was founded in Bellevue, Washington (United States of America) July 5, 1994. Amazon is ranked as one of the top 5 companies in the US information technology industry. Other comparable companies are Google, Apple, Microsoft, and Facebook. All of these companies are household names that have left a tremendous impact in the lives of Trillions.
The Mastermind founder and then CEO of Amazon is Jeff Bezos. Jeff Bezos is a visionary and a major forward thinker, that saw the possibilities of Amazon before anyone else did.
More specifically, it was Jeff Bezos recognition of the future impact that the ‘internet’ was going to have in the world that allowed Amazon, as a company, to grab market share that no one can easily compete with today.
It is said, Jeff Bezos started Amazon in his garage in Bellevue, Washington. According to Insider, the name “Amazon” was not the first concept Jeff Bezos came up with. He had the intention of naming the company “Cadabra”. The shorten portion of the magician phrase, “abracadabra”.
That name in my opinion would have signify Jeff Bezos grandiose vision of his brand. A name that was supposed to signify “Amazon’s” magical ability to use the internet as a new medium to sell Books.
After some feedback from his lawyer, however, Jeff Bezos decided to change that name. In addition to ‘Cadabra,’ “relentless.com” was also another name that Jeff Bezos wanted to use. In fact, at the time of this writing, if you were to visit relentless.com, you would be redirected to Amazon. com website. Jeff Bezos had registered relentless.com and still owns it today.
After the long trial and error of trying to decide on a name, Amazon officially launched their website on July 16 1995. Although Jeff Bezos had the long-term vision of making Amazon an everything store, in July 1995, Amazon was just a website that sold books. It was an innovative concept at the time and a growth hacking method that all the other book competitors were not doing.
According to Biography - When Amazon launched on July 16, 1995, Jeff Bezos asked 300 friends to test the website. Bezos has shown the principles of strategic planning, testing, and reinventing to accomplish his goals.
You will soon see more of this type of principles through the marketing strategy of Amazon and Jeff Bezos forward thinking; that will undoubtedly show you how to become rich and successful.
JEFF BEZOS LIFE AS FOUNDER OF AMAZON?
To start off, I think a little background story about Jeff Bezos’s life is needed. Great ideas can only be manifested from individuals that have the life experiences and wishes that command them.
We can only use this knowledge to further understand the principles that guide those that have learned how to become rich.
Jeff Bezos early life background before Amazons’ creation, shows an individual that has spent a long-time acquiring knowledge in many fields and a lot of experience dealing with growing businesses and establish businesses.
As a result of years of experience and a deep desire to attain a special goal, fortune gave him the business idea of Amazon.
According to source: Theladders.com Jeff Bezos, was born Jeffrey Preston Jorgensen, on January 12, 1964 in Albuquerque, New Mexico. His mother (Jacklyn Jorgenson) divorced his father (Theodore Jorgenson) and remarried in April 1968 to a Cuban immigrant Miguel “Mike” Bezos. Surly enough, Jeff took on the last name of his new stepdad and became the Jeff Bezos we all know today.
While I am on the topic of family; did you know, Jeff Bezos is related to George Strait? If you don’t know, George Strait is one of those famous singers in the country music scene that has left a tremendous impact in the lives of many. He is a prolific singer, songwriter, and mega famous as an actor. In fact, his fame came around the 1980’s right before the Amazon creation.
As a new singer aiming to become famous, I was especially excited when I learned this. Although, I could not find specific details if Jeff Bezos and George Strait ever met or talked about their respective careers, it was still an amazing find.
Jeff Bezos does however visit Texas to visit his grandfather and grandmother (Lawrence Preston Gise, and Mattie Louise Gise); they are the link to George Strait himself. Maybe, they could have met on one of those family get-togethers.
I guess this is an indication that the success motivation runs in the blood. I got to assume it is the same for you; only highly motivated people would be looking for a solution regarding how to get rich, famous, and successful.
Jeff Bezos was highly regarded as someone that was highly intelligent growing up. He would solve problems that most teachers had a hard time figuring out and was very active in leadership roles through out his school years.
According to source, he was very much in love with science, and technology as it is often the case with gifted individuals. He was a high school valedictorian, a national merit scholar, and a silver knight award winner in 1982.
Jeff Bezos graduated summa cum laude (a prestigious title) from Princeton University with a 4.2 GPA and earned a Bachelor of science in engineering and a computer science degree in 1986. He was a member of Phi Beta Kappa, member of the Quadrangle club, elected to Tau Beta Pi and was the president of the Princeton chapter of the ‘Students for the Exploration and Development of Space’.
It’s important to note, Jeff Bezos has always had a fascination with space, and it is his dream to go and make an entire new human living world there. This is the mind behind Amazon; thinking outside of the box for possibilities that the regular individual only sees in movies such as star trek. In fact, as of this date writing this article, those plans of going into space, are not only a possibility but the plans are in motion.
When it comes down to business experience and working for other businesses, Jeff Bezos has a high-profile resume. Apart from the jobs he held as a teenager growing up, when he graduated from Princeton University, the job offers started rolling in.
According to source: theladders – After graduating, Jeff Bezos had job offers from Intel, Bell Labs, and Anderson Consulting.
According to the University of Pitt Jeff Bezos turned down all the other job offers due to his love for computers, and anything that could be revolutionize by computers. So, around 1986, Jeff Bezos joined a fintech telecommunications start-up called “Fitel”. Wikipedia notes: Jeff Bezos was promoted to the head of development and a director of customer service thereafter.
In 1988, Bezos transitioned into the banking industry by becoming a product manager at ‘Bankers Trust’. Then in 1990, left Bankers to join D.E. Shaw & Co. at the age of 30. Jeff Bezos soon became the funds forth senior vice-president and only left the company when he decided to pursue the calling of ‘Amazon.’
HOW DID JEFF BEZOS GET THE BUSINESS IDEA FOR AMAZON?
Due to the position Jeff Bezos held in Wall Street, it allowed him to use his skills to find the opportunity of Amazon. Jeff Bezos had always had a great desire to start and run his own business and as such, he was a constant researcher that was always looking into trends and opportunities.
His constant vigilance and search for opportunities, led him to read a very important static about the rise of the internet. According to the statistic for the 90s, web (internet) usage was growing at a rate of 2,300% a year. This was mind blowing information that motivated Jeff Bezos to start thinking of a business plan that would make sense and ride the wave of this trend.
According to source: theriches – After Jeff Bezos had seen this statistic, he designed the business plan on a road trip from New York to Seattle. Jeff Bezos saw the long-term possibilities of selling everything on the internet, where at the time competition was limited.
According to source: IndiaToday the Amazon CEO is quoted saying that the original idea of Amazon started with only selling books because they were the most traded commodities online at the time.
He had done an extensive research on all the things that would guarantee the success of the Amazon brand. He had made a list of 20 or more items that he could possibly sell online, and only narrowed it down to books, after extensive research.
This should be an eye opener to us as we try to start our own businesses in order to get rich. Research, finding the competitive edge and being innovative will allow our own businesses to succeed.
Here is a video interview where Jeff Bezos recollected the idea stage of his Amazon empire.
HOW MUCH MONEY DID JEFF BEZOS START AMAZON WITH?
When Jeff Bezos started Amazon, he used 10,000 of his own capital plus investors money. According to Scmp News -Jeff Bezos held 60 meetings in 1994 with investors (family, friends, and angel investors) for a $50,000 investment that would give them 1% stake in Amazon.
Out of those 60 meetings, only 22 people took advantage of the offer. Out of that 22, the very first investors were his parents his younger brother Mark and sister Christina. It is estimated that his parents donated a combined sum of $300,000 for a 6% share in the company.
WHAT WAS AMAZON’S BEGINGING BUSINESS STRUCTURE?
It is important to note, Jeff Bezos had a very talented business team at the start of Amazon. The first of which was his wife MacKenzie Tuttle, a D.E. Shaw research associate he married in 1993. According to Insider - MacKenzie Tuttle was Amazon’s first accountant and was the one helping to hire new employees.
According to FastCompany, From 1994 to 1995; the Amazon start-up had a total of 11 employees. Jeff Bezos had the important position of founder and visionary.
According to Insider – these are Amazon’s First 10 employees from 1995 and up
- Accounting – MacKenzie Tuttle, (Co-founder and Amazon’s Accountant)
- Vice President of Research and Development – Shel Kaphan
- Developer – Paul Davis (developed the backend of Amazon first website)
- Customer Service – Tom Schonhoff (is known for building and running the whole customer service department from scratch)
- Recruiting and operations – Nicholas Lovejoy (used to work with Jeff Bezos at D.E. Shaw and was the one that suggested that Amazon used packing tables instead of kneeling on the ground when doing work. Nicholas Lovejoy is highly praised for the brilliant idea by Jeff Bezos.)
- Real Estate management – Mike Hanlon (also administrated UNIX and telecom systems)
- Operations – Laurel Canan (oversaw operations in Amazon’s warehouse)
- Software developer – Knute Sears, and Fred Eiden
- Information architect – Johnathan Kochmer (helped developed the browse system for Amazon books; also did stealth online promotions)
- Unix Shaman – Scott Northrop (Built Amazon’s payment system and wrote the code for the packing slips)
According to geekwire - Amazon early start was in the garage of Jeff Bezos rental house in Bellevue, Washington east of Seattle.
According to History - Jeff Bezos helped with delivering products through the post office to customers around 50 states and 45 countries.
WHAT WAS THE BEGINNING MARKETING STRATEGY OF AMAZON?
When Amazon launched in 1995, Jeff Bezos had done a good job in meeting the standard for the 4 Ps of marketing. As you know, emarsys – describes the 4ps of marketing as Product, Price, Place and Promotion.
First, Jeff Bezos did an outstanding job in researching all the key metrics that would allow his brand to succeed. In deciding on books as the first product that Amazon would sell online, he looked at the current market demand. Out of a list of 20 potential items that Amazon could have sold, Books in his opinion were the best choice based off data not just speculation.
When it comes down to place, Jeff Bezos relied on the internet’s ability to reach customers worldwide. The usage of the internet to deliver products (books) was an innovative concept that none of his competitors were doing. The internet’s use made the life of book readers easier by delivering products that customers originally had to travel in-person to get.
When you don’t try to reinvent the wheel by selling a product that customers are not familiar with, but instead, sell them the products they are already buying it makes your business a lot easier to become successful. On top of selling a familiar product to existing customers, Amazon did it in a more innovative way that made the customers life a lot easier. This is market penetration at its finest.
Amazon’s efficient and effective approach to the book business allowed them to spend less money and time on promotion tactics. Amazon mostly relied on word-of-mouth marketing, because as customers, receiving books to their homes, was a big deal at the time. It was easy, fast, and actually fun to browse the internet.
Of course, Amazon did use other forms of marketing promotions. Promotions such as, media coverage, editorial coverage, digital marketing were all used to grab attention. As Jeff Bezos said, Attention is and was the most important thing for their business to have.
I should also point out, that Jeff Bezos was a brilliant SEO (search engine optimization) expert. In the year 1995, websites were listed in alphabetical order (according to idonethis blog). So, by choosing a name that started with the letter A, this guarantees users will see Amazon’s website fast, when browsing and it would be easier for other website domains to advertise their brand.
Yes. When you are an online website business owner, SEO is as important as choosing the right location for a physical business is in the real world. SEO’s basic objective is to allow your target customers to find your website domain. I implore you to learn more about my book containing more information about SEO (search engine optimization), Marketing, and business planning.
Last on the list of the 4ps of marketing, is Price. After doing everything right with choosing the product, the place, and the promotion, Amazon’s pricing strategy was another big plus factor to the customer. The pricing strategy in my opinion resemble the less thinking process of purchasing coffee in the morning.
It’s something to wonder; how Amazon remains profitable after acquiring, processing, and delivering the products (books) to their customers?
Because of the value of Amazon’s services, the customers were more than willing to pay the price. It was worth it.
Finally, I want to point out, that Amazon’s location in Seattle, Washington was not a matter of coincidence but a marketing strategy in-itself.
According to respondents from Quora – starting Amazon in Seattle allowed them to be closest to Roseburg, Oregon, which at the time had one of the largest book retailers.
In addition, Seattle is home to a vast amount of tech talented individuals. As a technology company, this is very important.
Amazon’s move to Seattle, Washington, was also a major benefit when it comes down to lowering taxes. Lowering taxes, would have allowed Amazon, to either focus on increasing profits, or making sure price was very competitive and comfortable for its customers. As we know, Amazon’s prices are extremely comfortable as the price of coffee.
HOW TO BECOME RICH BASED ON THE LESSONS OF AMAZON’S MARKETING STRATEGY EXAMPLE?
As I have said before, I am advocating for individuals to start their own businesses if they have the desire to become rich in the most proper and natural way.
To combat the high rate of failure, the marketing strategy of Amazon and Jeff Bezos has taught us some very important principles that we too should emulate.
We have seen the power of being intentional and having the desire to launch our own businesses. For Jeff Bezos, it was his constant search for trends and opportunities that led him into finding the statistic that motivated him to do the business plan for Amazon.
Experience also plays a huge role in helping us to become rich and successful with our business endeavors. We have seen Jeff Bezos, work for many big brand companies and taking on positions that undoubtedly gave him the skills needed for his own Amazon venture.
At this point, we no longer have to wonder, what marketing strategy Amazon uses. With their mission statement of being customer focus we have seen the incredible play of the marketing mix. Specifically, Amazon meet the standards of the 4ps of marketing (Product, Place, Price, and Promotion).
Finally, I would like to point to the fact that Jeff Bezos had a well trained team composing of family, friends, and colleagues. It sped his ability to acquire capital, to form the structure of his business, and to build the minimum viable product (Amazon’s first website). With the minimum viable product (Amazon’s first website) Jeff Bezos was able to do testing and show investors something tangible.
I hope this marketing strategy example has been beneficial to you as it is for me. Please do leave your questions, or any form of input, to let me know how valuable this study was.
I hope you find this material valuable. If you did, then below are some links you should check out for further reading and supporting our efforts.
I have done a comprehensive overview of the
lessons I've learned about how to become famous. So, I hope you check it out. Your success is my success as well.
- FOR A MORE INDEPTH UNDERSTANDING OF MARKETING CONCEPTS, BUSINESS PLANNING, AND SEO (SEARCH ENGINE OPTIMIZATION) YOU HAVE TO CHECK OUT MY BOOK.