Amazon has been reigning the online market for years. Its foundation lies in carefully planned, well thought strategies built by world-class economics. Without these strategies, Amazon would not be able to compete against huge e-commerce business, and ultimately reach the pinnacle of success in the online industry. We put together some of the key Amazon strategies third-party sellers should know.

5 Amazon Strategies You Need to Know

E-commerce Segmentation

Market segmentation involves evaluating and categorizing customer groups to enhance marketing efforts and provide the best products. With e-commerce segmentation, Amazon can tap into the customer’s information and use it to identify their needs. This puts Amazon at a better position to create uniquely appealing products and outperform their competitors.

For example, using the customer’s IP address, Amazon can track the pages the customer has recently visited, their purchasing capability and interests. With the information gathered, Amazon can now improve its marketing and offer products that appeal most to its customers.

To test how this strategy works, head over to Amazon and click on the Art Supplies category. Try looking around for a couple of minutes, and go back. Now, you will notice that the ads on the Amazon website and on other websites that you visit will start displaying Amazon ads within the art supplies categories. Using your shopping behavior, Amazon can