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AMAZONS EUROPEAN

DISTRIBUTION STRATEGY

LAUNCHING AMAZON IN EUROPE

In 1998 Amazon entered the European market of UK, Germany and France.

Duplicated the Get Big Fast strategy.

European market was as aggregation of regional market.

Built 24-hours customer service(native language)

Introduced free shipping in 2001 and clearance sale.

Amazon offered the option of pay by checks to French customers and postal order
German customers.

Establish relationship with hundreds of publishers and distributors, due to lack of


wholesalers

Unifying marketing and branding team of Europe.

FACTS;

Business Imapct Due to the Brexit in Europian Market.

Contized Warehouse Management System.

Locating Control System

Redisigning of Logistics Model


Redesigning of official website
Country Specific ,Language

RECOMMENDATIONS:

Implement European distribution network(EDN).

Centralize management office in the UK in order to perform more operations.

Create cross-docking enabled warehouses, preferably in Southern Europe where higher


demand is observed.

Make use of strategic order fulfillment to minimize lead time

Utilize strategic inventory distribution to reduce cost.

By continuing free shipping for local products, extending the


for some high demand products.

use of postal injection

CONTD:

Leveraging Amazon techniques:


1. Drop-shipping
2. Pick profiles
3. Technology Investment.

Full truck loads from DCs to major cities.

Reduce postal service charges, maintain low shipping cost and offer free shipping in
some new places.