In the early 2000's, Amazon.com was a small website that served as an online retailer for independent businesses. Today, the corporation is worth over $160 billion. But how as it been so successful?
According to the Diffusion of Innovations, innovators (2.5% of consumers) were the first to discover this website and use Amazon's services. As popularity grew, so did profits as Amazon managed the trading of products and delivered packages to their buyers. Rather than searching hundreds of websites for the right product, users could just use Amazon to find what they are looking for effiencetly. Eventually, early adaptors and the early majority were able to take advantage of Amazon and get what they need fast.
Amazon's main product is their website, which continues to offer new features and services once the others begin to dry up. For example, when their original standards were reaching the late majority of consumers, it was time for a new service to introduce. Hence, Amazon Prime was created, a premium service for consumers who pay a monthly fee for reduced prices and free shipping. This started the theory all over again as the innovators who stay updated on Amazon's trends were the first to complete their membership.
The theory becomes a cycle for a company like this as one idea begins to vanish from a society, a new innovation is invented to make them relevant again.
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