Amazon.Com has blown it big time. Barns & Noble now has a great chance to run them out of
game. Amazon had books locked. Committing major bucks, they successfully branded name. Most who think of Web and books at same time, now think of Amazon. It's difficult to identify a Web based business as successful in branding as Amazon has been.
Heck, at first I had trouble spelling name. But I learned. And I don't even have site bookmarked. Entering Amazon.Com into browser works fine.
They Have Top-Of-Mind Awareness
I asked around among my friends. "Who do you think of on Web when you need a book?" All said, "Amazon." When I asked if they knew that Amazon now sells other stuff, most asked, "What?" Some asked more important question, "Why?"
Apart from books, they now offer Electronics, Toys, DVDs, Video, Music, Health & Beauty, Wireless Phones, Camera & Photo, Computer & Video Games, Software, Kitchen, Tools & Hardware, Lawn & Patio, Cars, Auctions, Gifts, and Outlets.
They have made mistake of believing they could extend their successful methods in selling books to selling most everything. In doing so, they overlooked a couple of points.
Niche Marketing Is The Only Way To Go
How does Amazon's expertise with books assure me they are also experts with hardware? Or cars? Actually it diminishes my confidence in their overall business expertise. I now have doubts they know what they are doing even with books.
Malls Don't Work On The Web
Shopping malls work great offline, particularly those under one roof where visitors can wander in comfort without concern for weather. Once you've parked your car and gotten inside, it is only a few steps to shop next to one you are in. And not that far to a competitive shop at other end of mall.
Amazon has overlooked fact that Web is one grand shopping mall. Creating a sub-mall on a single site won't work because it brings no additional benefits not offered by Web itself. Given URL, you can visit another shop in seconds. And you don't have to drag your kids and purchases with you.
Are They Done For?
It isn't possible to be all things to all people. Amazon can't make this happen however much they try. Even Sears & Roebuck gave up on their awesome catalog business as an increasingly urban population found shops relatively close by.
It is my understanding that in selling books, Amazon has shown good profits, at least over last couple of years. It's these new sidelines that are killing them now. While it may take new ownership to make it happen, they might make a comeback by tossing all but books, and scrambling once more to top of this niche. Then again, it may already be too late. Barns & Nobel has not been idle.
