Jeff Bezos, the Amazon CEO, continues to predict with incredible accuracy. It’s the twenty-year anniversary since he first predicted the rise of Amazon and eCommerce. A keen look into the Amazon story will show that a lot of what Jeff Bezos expected to happen finally came to pass, and all along he was shaping Amazon for today’s economy.
But what does the richest man have to say for the budding entrepreneurs of today? And what can startup founders and entrepreneurs learn from his successes?
Here are five predictions from Jeff Bezos that will help entrepreneurs get ahead in 2019:
1. Long Term Marketing and PR Strategies for Success
Jeff Bezos recently stated that Amazon was built on a long term marketing strategy and a belief in creating shareholder value as opposed to short-term gains. The Amazon CEO believes that long-term objectives should not be guided by short term reviews. Entrepreneurs can take this same approach by identifying the right core principles.
For example, repeat customers and revenue growth are the two main objectives for Amazon. Needless to say, repeat customers goes beyond making an initial sale while revenue growth is likely to nurture increased profits for the long term instead of a fast buck for tomorrow.
As the importance of personal branding also continues to rise, it makes sense that establishing media relationships and customer values are much more beneficial for entrepreneurs who want to get ahead. Brand image has continuously propelled Amazon to be seen as the leading eCommerce company worldwide.
For startups and entrepreneurs who want to get into the eCommerce field, it is better to build your brand image for the long term goal. Implement some digital marketing and PR strategies to help you take control of your long-term goals.
Takeaway – Establish relationships and marketing strategies that will nurture long term success.
2. Optimization and Measurements for Advertising Campaigns
When Bezos gave a talk recently, he highlighted the fact that many companies give up too soon with their digital marketing efforts. More specifically, he explained how many entrepreneurs and business owners were quick to try out Google Ads or Facebook Ads but not patient enough to capture the right results. In most instances, the companies would never return to these methods and according to Bezos, this is the result of a very flawed and self-destructive mindset.
As online platforms become increasingly crowded, Jeff says that entrepreneurs need to take time to perform more keyword research and optimize their advertisements. After launching a campaign, he also said that it will be increasingly important in the year ahead to measure results and change accordingly. Either way, patience is key and entrepreneurs should suppress any desire for a “silver bullet”.
The secret to winning in the online world is not by abandoning Facebook ads or Google Adwords campaigns at the first try because you failed. It is by measuring the correct metrics, digging into that data and optimizing your ads to go again for a second run. The more you optimize, the more you learn and the less mistakes you make. Companies that have figured out what to track and measure, how to interpret their data, and when to tweak or optimize their campaigns have benefited a lot from marketing campaigns.
At Pressfarm, we understand very much what Jeff Bezos means. We have seen startups and young to mid-size companies struggling with these facets of marketing. We decided to help by starting Facebook advertising and Google Ads management services. Are you one of those entrepreneurs finding it hard to measure because you don’t know what to measure and losing money with the two biggest advertising platforms? Check out our Facebook Advertising and Google Ads services, they are tailored for you.
Takeaway – Entrepreneurs will need to take time with advertising campaigns and learn from the results.
3. Retailers Will Need to Partner with eCommerce Giants
While many marketers or business owners are predicting the ‘death of eCommerce’, Jeff Bezoz believes that this industry will adapt and continue to grow at an exponential rate.
Sears is one of the largest department stores in the history of retail. It was valued at more than $30 billion just over ten years ago. However, the emergence of Amazon and eCommerce resulted in the incredible fall from grace of this giant with its market cap now sitting at just $100 million.
In fact, as Sears stock has continued to plummet in recent years, Amazon and other eCommerce companies continue to go from strength to strength. Admittedly, Sears was not ready for the internet. We have seen Walmart create a balance between its online and retail stores which has helped it to stay among the leading retailers worldwide.
But what does this mean for retail?
You have noticed some of the larger brands partnering up with eCommerce companies over the past year. More specifically, Target and Walmart have invested heavily online but according to Bezos, retail requires the superior experience, skills and tech of eCommerce wholesalers in order to survive.
Takeaway – eCommerce is not dead and certainly not expected to die any time soon.
4. Data Decision-Making for Improved Performance
Data-decision making has been trending in recent years. This trend is not only evidenced in the evolution of leadership but also in digital marketing. Even Google has shown a clear preference for data-backed content in the most recent “Medic Update”.
Jeff Bezos sees that data-driven concepts will be the future and entrepreneurs should be heavily focused on using scientific research to support their endeavors.
This is something in which Bezos has financially invested. He is a well known angel investor and data-driven companies account for many of his most recent investments.
For example, Mindstrong Health is an app which relies on scientific research to identify signs of mental health and depression. Meanwhile, Grail is a blood testing company which seeks to spot cancer at the earliest possible stage, when treatment for the illness can be far more effective. Bezos has also invested more than $200 million in “Plenty” – an agricultural company that uses scientific research to improve traditional farming methods.
Takeaway – Whatever the business, entrepreneurs should embrace scientific studies and research.
5. Voice Will Matter, But Not As Much As Many People Think
“Voice interface is only going to take you so far on shopping.” – Jeff Bezos
Depending on whom you listen to, voice is the next major area for growth in digital marketing. Amazon is a leading pioneer for voice thanks to Alexa. While many marketers and business owners are rushing to build their concepts around voice, there is certainly a ceiling for the capabilities of audio.
Jeff explains how there is still going to be a need for display with any online experience except for music and podcasts. He also goes on to say that voice will be useful for menial tasks such as re-ordering diapers or stocking up the kitchen but for everything else, people want to see what they buy.
With this in mind, it’s important not to confine a business to any one category and to embrace every format or platform to ensure the business is not vulnerable to change in the future. Adopt voice as much as display if you can.
Takeaway – Don’t “put all your eggs in the one basket’ and realize that voice is just another format.
While Jeff Bezos is one of the most credible entrepreneurs from which to take advice, we know that nothing is certain online and ‘change’ is the only real constant. At the same time, trends are there for a reason and advice from Bezos is usually right on the money.