Introduction
Amazon.com was started by Jeff Bezos in the year 1994. It began as an online seller of books, which later developed and turned out to be the biggest non-travel e-commerce business in the entire world. The company is regarded as being a pioneer online retailer. It experienced growth in the course of the late 1990s and its operations and now expanded to involve selling “books, CDs, videos, DVDs, electronics, toys, tools, home furnishing and housewares, apparel, and kitchen gadgets” (“History of Amazon.com, Inc.”, 2013, p.1). This company engages in selling products, through third-party agreements, from famous retailers. These retailers include Borders Group, Toysrus.com Inc., and Target Corporation among others (“History of Amazon.com, Inc.”, 2013).
The use of technology by this company has driven its growth and it has been able to offer its clients an increased number of products in a more convenient way at reduced prices. It provides each customer with a tailored shopping experience, “book discovery through ‘Search Inside The Book’, convenient check out using ‘1-click Shopping’ and several community features like Listmania and wish Lists that help customers to discover new products and making informed buying decisions” (“Amazon.com Overview”, 2011, p.1).
At the current day, businesses are relying on mobile applications on an increasing level. It is sensible for these businesses to engage in making it possible to reach their business processes from far by using wireless technologies. Amazon.com makes it possible for the customers to engage in shopping from anywhere across the world by utilizing any mobile device that is web-enabled with Amazon Mobile.
The existing customers will not be more than merely a few clicks away from the newest and most excellent electronics, books, and DVDs among other great products. The customer can be able to obtain the prices of the products, engage in shopping, and checking out the top sellers. The customer may also be able to read reviews presented by other customers using mobile devices (“Amazon.com Overview”, 2011).
This paper is going to look at the use of mobile applications in amazon.com. The paper will focus on the business justification for the use of the mobile application by this company. The prospects for this technology are also going to be considered. In the conclusion section, a summary of the technology and its evaluation is going to be presented and the paper will end by presenting a summary of the report in the last paragraph.
Business Justification of Using Mobile Application
Amazon.com uses the mobile application in its business operations. The following applications are provided by this company to its customers; “Amazon Mobile for Android, Amazon Mobile App for iPhone and iPod touch, and Amazon Window-shop for iPad” (“Mobile shopping overview”, 2013, p.1). Considering “Amazon Mobile for Android”, this enables the users of Android to engage in browsing and “shop by department, quickly search, compare prices, read reviews, share products with friends, access Gold Box Deals, and make purchases on Amazon.com” (“Shop Android Apps”, 2012, p.1). The company’s clients can sign up to get notifications daily for them to remain updated about the available products and their orders’ status (“Shop Android Apps”, 2012).
A person who engages in shopping is in a position to check any site of Amazon.com across the globe from one app by just making a selection of his or her favorable country store of Amazon. This company’s clients can completely access their cart that is there, “wish lists, payment and Amazon Prime member shipping options, order history, and 1-click settings” (“Shop Android Apps”, 2012, p.1). The customers can also capitalize on the company’s Subscribe & Save. The purchases that are carried out on Amazon Mobile are routed via the secure servers of Amazon in the same way they are routed “on the web” (“Shop Android Apps”, 2012, p.1).
Using the mobile application has enabled Amazon.com to realize several benefits over the last five years. The customers can now be served in the most convenient way possible. The organization has realized growth since it has been able to receive more and more customers. The organization has been able to expand its global reach as the customers can check products offered at Amazon and make orders from the comfort of their homes using their mobile devices.
It has been necessary for the company to employ more IT experts to ensure there is proper implementation and operating of the mobile application. Incurring such costs is necessary since the outcome far much outweighs the costs. The use of this technology has also increased the return on investment potential for the company though there is still room for more improvement (“About Amazon, 2013).
The mobile applications are quite cost-effective to build and straightforward to utilize. They provide increased return on investment and can be set up in a way that they can meet almost all needs regarding the business. Of greater importance, it is found out that setting up mobile applications can as well serve as an opportunity for marketing. In a situation where a company’s applications are in the client’s smartphone, this means that the company can have an assurance that it is making an impression on this client’s mind (“How Mobile Apps help small businesses”, 2013). This technology can play a very big role in a company’s meeting of the demand from suppliers or customers.
At the present, the world is shifting to “fingertips-driven” technology. Businesses such as amazon.com are in a better position to capitalize on the opportunity offered by the mobile application. The application can as well assist in boosting the business. A large number of businesses operate on a very limited budget and they are seeking ways, at all times, to reduce overheads and increase the bottom-line. The mobile application enables these businesses to achieve these and even more (“How Mobile Apps help small businesses”, 2013).
Among the greatest benefits of using the mobile application within Amazon.com is that it brings in improved productivity. The interactive and user-friendly applications make it possible for a company to reduce the time spent on carrying out a certain task and this implies that a larger number of tasks can be carried out within a given period. This brings in a remarkable impact on the company’s productivity, which greatly increases profitability. That time which is saved can as well be spent on other activities that can also bring in more revenues to the company (“How Mobile Apps help small businesses”, 2013).
Mobile applications in Amazon.com can as well help in improving collaboration among the company’s departments and can also help in the verification of data. This will facilitate having a quick decision-making process and having such a process will streamline operations of the business. Moreover, the company’s business growth will be boosted. There are many ways “through which the potential of a mobile app can be leveraged for business growth” (“How Mobile Apps help small businesses”, 2013, p.1).
Among these ways that can enable an organization to gain from using mobile applications is by utilizing this technology in obtaining more clients. Using this technology is the best way a business can use in exposing its products to an audience that is ever searching for something that is new and has the willingness to offer new products a chance (“How Mobile Apps help small businesses”, 2013).
Using mobile applications that are built especially will as well make it possible to meet the needs of the clients and give room for a business organization to meet the clients’ needs promptly and in a well-organized way. This plays a major role in bringing improvement in customer service as well as in their general experience of conducting business with the company under consideration. A business organization will only realize business growth if its product or products are accessible to the clients conveniently and quickly. While an increasing number of users are coming to appreciate the advantages of using mobile applications, these applications are coming up as being among the best ways of availing products to their clients (“How Mobile Apps help small businesses”, 2013).
Challenges of Implementing and Operating Mobile Application
One of the challenges is that there are too many mobile devices as well as mobile platforms that are brought to the market almost daily. This calls for having the business organizations to carry out huge investments to “make in specialized resources with mobile platform knowledge and mobile programming expertise and it is a challenge for many companies to maintain this broad level mobile expertise in-house” (Al Bar, 2011, p.80).
Another challenge is brought in by the issue of international travel. A person who is depending on a company’s data from his or her mobile phone may not be in a position to have access to the internet when he or she moves to another country. To effectively handle this issue, it is very vital to take some time to consider the way mobiles operate at the global level (Unhelkar & Murugesan, 2010).
Moreover, it is also found that the architecture of mobile applications is quite complex. The three-tiered architecture brings in a large number of challenges that are linked to data security, “data exchange, data integration, scalability, and more” (Al Bar, 2011, p.80). The data exchange that is secure remains to be a big concern while setting up mobile applications. Mobile application in businesses calls for having a very high level of mobile expertise (Al Bar, 2011).
Future Prospects for the Mobile Application
In the next few years, the ongoing spread of mobile applications will immensely impact the way business organizations carry out their business activities. The business organizations that will embrace mobile application technology will have to realize increased productivity and also increased level of efficiency in their operations that could not be imagined in the last few years that have passed. Using this technology is no longer regarded as being a luxury, but as a necessity instead (“The mobile enterprise”, 2009).
Companies such as Amazon.com are currently making use of the mobile application in delivering increased profitability and customer satisfaction. However, there is a cut off between the ever “changing nature of work and the way business is transacted” (The mobile enterprise”, 2009, p.2). There is falling out of the position of infrastructure, tools as well as processes with the fresh labor force demographics, which is informed with information technology customization (“The mobile enterprise”, 2009).
Fortunately, there are some positive developments such as having a better price, improved speed, and availability. However, even if there exist such developments, business organizations have not been quick in adopting mobile technology. Some of them, including Amazon.com, regard quantification of a solid general return on investment as being a big challenge, even with vast favorable comments from the users. Some other organizations tend to put much focus on selecting the devices and also on the cost rather than focussing on the fundamental business processes which can be enhanced (“The mobile enterprise”, 2009).
For Amazon.com, the mobile application has enabled it to improve customer service to a high level. Through the use of this technology, the customers have had access to the information regarding the company’s product and shopping for the same with great convenience. The technology has also enabled the company to streamline its operations. The continued use of technology in this industry will continue enabling businesses to improve their performance. This will translate into increased profitability and gaining a competitive advantage in the market.
Conclusion
Using this technology has led to companies realizing business growth, improved customer service, increased return on investment, streamlined operations, and the companies have also been able to gain a competitive advantage. Amazon.com has been among the companies that have derived great benefits from the implementation and operation of mobile technology. The company’s customers can use their mobile devices to check what products are available at Amazon.com and their prices.
They can then be able to order these products without necessarily moving around. This has been a big achievement for the company. Customers always look for ways to engage in shopping in the most convenient way possible and Amazon.com offers this. Consequently, the company has realized business growth and gained a competitive advantage.
However, one of the challenges that are associated with the implementation and operating of mobile application technology is that it may involve high costs of investment, since more and more mobile platforms and devices are coming to the market, to make specific resources by applying mobile programming capability and mobile platform information. However, it is worth investing in this technology since the benefits are far much greater than the costs involved.
In summary, Amazon.com has been embracing the use of the newest technology to improve its overall performance in the market. The company has been using a mobile application which has greatly improved customer service and streamlined the company’s operations. Using this technology has many benefits which include promoting business growth, increased customer convenience, increased return on investment, the ability for global reach, and meeting demand from customers and suppliers among other benefits.
But on the other hand, the technology is also associated with some challenges, and these include; huge investments that are involved, international travel may hinder data access on the mobile device and the architecture of the mobile applications is quite complex and may call for high levels of expertise. However, it is found that mobile applications will continue being used in the future by companies for them to derive benefits that come from such technologies. Amazon.com has to continue using this technology at a higher level to improve its performance in the market even more.
References
Amazon.com Overview, (2011). Web.
About Amazon, (2013). Web.
Al Bar, A., et al. (2011). A preliminary review of implementing enterprise mobile applications in ERP environment. International Journal of Engineering & Technology, 11(4), 77 – 82.
History of Amazon.com, Inc, (2013). Web.
How Mobile Apps help small businesses improve their operations and business growth, (2012). Web.
Mobile shopping overview, (2013). Web.
Shop Android Apps, (2012). Web.
The mobile enterprise: moving to the next generation, (2009). Web.
Unhelkar, B. & Murugesan, S. (2010). The Enterprise Mobile Applications Development Framework. IT Professional, 12(3), 33-39.