Amazon is one of the world’s five largest technology company with a huge economic scale and the ability to acquire other retailers in various industries. Now on Amazon.com platform there are over more than 300 million users and 2 billion products. On February 1, 2018, Amazon announced its fourth quarter results with net profit increasing by 30% to $1.9 billion dollars. According to related report, Amazon had experienced a period of strong growth in the past few years, driven by its e-commerce business and Amazon Web services. Nearly a million new businesses enter Amazon every year. If you sell or intend to sell products on Amazon in the future, you fully need to understand every possible angle to gain sales advantage. How to increase orders through Amazon as the topic we discuss.Click Here For More.
Sense of scarcity and urgency
One of the most direct and effective marketing strategy from Amazon are to use scarcity to inform consumers that there are only a few items left in their inventory: only 5 items left in stock – they want to buy quickly. Scarcity refers to the use of product shortages to increase sales. Amazon will tell customers when its products are “available” and when they will be sold out soon.
By letting consumers know that the supply of products is limited, Amazon has instilled a “fear of missing out” concept into the consumers, which improves consumers’ perceived value of products and provides reasons for them to accelerate their purchases. Sense of scarcity not only forces buyers to order before out of stock, but also makes consumers consider that the product is very popular or often purchased (thus promoting social identity).