What does Amazon Go tell us about changing consumer habits?

Amazon announced its first Amazon Go store last month in Seattle, currently only open to company employees in a testing phase. The store’s technology allows customers to take items, and leave. No coins, cards, or even human interaction- just grab and go. By using a payment card a customer has on file with Amazon, shopping is seamless in what the company has named “Just Walk Out Technology.” But what does this tell us about what people want?

This is stuff of the future, and depending on your personality you might find it dystopian or an ideal vision of what is yet to come. What is clear is that this change in how we purchase has to have an impact across the whole world. Even if Amazon go was not to takeoff and was just a trial, it has opened up a conversation about convenience, loyalty, tech and even the role of humans.  For many people who differentiate on ‘the personal touch’ as a business, it is surprising how many people are already chomping at the bit to try this kind of experience. So, here are some initial thoughts about what Amazon Go says about the world we are living in, and incentives and motivation right now.

Loyalty is built from trust

Amazon were one of the original innovators in the digital space- you cannot ignore their presence. Years of experimenting with data and personalisation have lead to a point where they can build a shop that simply requires an app to purchase. Can you imagine another brand doing this so successfully, even in principle? Amazon know that they are trusted because they deliver something others struggle with- efficiency, and they recognised this years ago, with Amazon payments being taken on other websites as a method to make quick, near instant delivery using the stored data saved with Amazon. PYMNTS found that 13.9 percent of the top 965 online merchants accept more than one mobile wallet or buy button and Amazon had the trust in their brand to make this a viable payment option.

Choice is everything

You can’t get much more efficient than walking into a shop and walking out the sandwich in under a minute. At the same time this does feel at odds with what we’re told, that people want to personal experience, that they want to be understood and their needs to be heard. Amazon go makes it clear that as humans we no longer want to wait in line- perhaps you would like the experience of speaking to friendly shopkeeper, but on the whole you want choices and this represents another option.

Consumers are ready for innovation

Marketing people are always ready to innovate and find new platforms to market on. What normally lets the whole system down are the are adopters of this technology- just like VR, getting the price, Acceptance and interest rate is all taking a little longer than businesses may think. However Amazon has been very smart we how they roll out Great products that push the boundaries of innovation. From kindle e-readers to fire, and even the latest news in regards to drones, Amazon have a great track record– to the point that you could even envision people taking time to download the app to enter the store. Once one app has been downloaded, this opens the gates the many other copycat experiences. Once it takes off, go shopping without your phone and you may as well forgotten your purse or your wallet.

Meet the incentive right and the sales will come

Whether it’s prime day -where customers ordered 34.4 million items, breaking all Black Friday records with 398 items ordered per second, a new device or indeed a new concept for shopping, Amazon must feel very comfortable indeed. Regardless of the incentive value, The discount, The early access Amazon have recognised an important principle of marketing, sales and business– being an early adopter. It drove Apple’s sales and anyone interested in loyalty motivation and incentives should heed the one bit of advice from Amazon’s own Jeff Bezos;

“A brand for a company is like a reputation for a person. You earn reputation by trying to do hard things well.”