Reference no: EM133592011

Question: An entrepreneur identified a niche market for inexpensive sandals that could be worn safely in showers, especially in areas where there was danger of bacterial or fungal infection. The shower sandals sold well in his area to travelers who were going to developing countries, but the product didn't really take off elsewhere. GPS Marketers was hired to help the company start selling on Amazon. Following the Amazon debut, orders for the shoes quadrupled in the first month and increased steadily thereafter. Why was selling on Amazon the key to increased sales? Because nearly half of all shopping searches occur on Amazon, selling there allowed the product to be found and extended the reach of their market. Selling on Amazon allowed the company to reduce the price of the shower sandal because there were more potential customers. Utilizing the Amazon platform allowed the company to respond better to customer concerns, and the improved customer service helped increase sales. Amazon vets all the companies who sell on their platform, so sales increased because there was more buyer confidence in the product.