- Tram Ho
Currently, Jeff Bezos is the richest person in the world thanks to Amazon, Bezos’ leading online sales platform. However, retail expert Doug Stephens predicts the giant could be in decline in the next decade, even bankrupt.
On his Business of Fashion business page, the founder and advisor of Retail Prophet for some of the world’s most respected brands predicts the “end of Amazon”.
Stephens wrote: “I think in ten years Amazon will be in decline and here are just a few reasons.”
Amazon follows in Walmart’s footsteps
One of the reasons Amazon’s e-commerce platform is likely to fail is that it is following the same patterns as other companies. One example is Walmart, Stephens.
“ From 1962 to the early 2000s, Walmart led the retail business, beating dozens of competitors big and small. By 2010, Walmart had opened a staggering 4,393 stores, of which more than 3,000 opened after 1990. ”
After a sharp drop in sales in 2015, Walmart failed in online retailing. ” The decline of the impregnable giant shows that even the biggest companies can fail, ” Stephens said.
Amazon offers efficiency but does not provide a shopping experience
Stephens thinks that Bezos’ intention to maintain the same long-term operating model is dangerous: “ In our retail business, we know that customers want low prices and I know that will. right in the next 10 years. They want fast delivery; they want more options . ”
However, Stephens believes people aren’t just buying because they want to pick up the product as quickly as possible. They also want the full shopping experience: get out of the house, touch products, compare them to each other, try new things or get inspired. In that sense, Amazon’s downside is its limited online purchase.
The focus on customer service will be lost
When a company has a powerful leader like Jeff Bezos at the helm, it won’t work without him. Experts predict that, as Amazon continues to expand, Bezos’ shadow may dissipate or disappear.
After that, the company may lose its original mission. It is customer satisfaction, which prioritizes processes based on metrics and data.
Stephens also predicts that Amazon will innovate less. Energy, once geared toward improving business operations, runs out of energy when used solely to maintain the organization’s infrastructure, Stephens writes.
Dough Stephens also mentioned other reasons for Amazon’s potential demise, such as the malicious work environment followed by rumors and the shift of existing partners to delivery platforms. other more friendly.
The combination of these factors could put Amazon at a loss in the next decade and be replaced by another similar company that provides better conditions for partners, employees, and customers.
Source : Genk