What is the Amazon mission statement, and what key insights can we get from it to apply in our organizations? Continue reading to learn more!
From a small business managed from the garage of a rented home, Amazon grew rapidly to become the largest online retailer in the world. In fact, according to Forbes 2021 ranking, Amazon was rated #2 top company in sales, #4 world’s most valuable brands, #4 world’s best employers, and #16 top regarded companies.
With more than 200 million prime subscribers and 100 million different products offered in over 50 countries across the world, this is not a surprise. But how were they able to achieve all these? Answer: by sticking to their mission and delivering on their purpose.
How exactly so?
It is the purpose of this article to examine the Amazon mission statement that has paved the way for the company’s leadership in the industry. We can surely learn so much by analyzing how Amazon conducts its business.
What is the Amazon mission statement?
Let’s take a look at the Amazon mission statement, which is also one of my favorite mission statement examples:
“We aim to be Earth’s most customer centric company. Our mission is to continually raise the bar of the customer experience by using the internet and technology to help consumers find, discover and buy anything, and empower businesses and content creators to maximize their success.”
On the technical side, the mission statement of the company is sound, as it satisfies the conventional characteristics of ideal mission statements.
For instance, the company includes target audience and market (customers in the global market), and basic business goals (industry leadership and customer satisfaction) in their mission statement. It is a long mission statement, but one that is filled with relevant information and easy-to-grab wording.
But what does it mean to the company?
The Amazon mission statement consists of five strategic components:
- Customer centrism
- Global reach
- Leveraging technology
- Product variety
- Lowest prices
Let’s go through each.
1. Customer centrism
Key phrase: “…to be the Earth’s most customer centric company.”
Jeff Bezos, Amazon’s founder, once said: “The most important single thing is to focus obsessively on the customer…”
Amazon is obsessed with addressing the needs of its customers, from convenience to comfort, easy implementation of tasks, and stockpiling of useful products.
The company considers its customers the lifeblood and most important stakeholders to its digital retail business, providing one of the best customer experience examples we can see on today’s competitive market.
To deliver on its culture of obsessing with customers, Amazon provides the best customer experience (CX) and user experience (UX) through its e-commerce website, which is optimized for user-friendliness, high responsiveness, and mobile-convenience.
How does Amazon carry out its customer-centric strategy?
1.1. Street survey
Amazon is always curious to know what the experiences and expectations of customers are. It does this through big data and also by simply talking to the target group, live.
1.2. Affordability
Amazon values their customers more than anyone else, even much to the dislike of third parties like publishing houses. Customers can be sure to get the best deals possible on Amazon than elsewhere, especially on such items as books, CDs, and DVDs.
1.3. Seamless experience
Product information on Amazon are rich and customer reviews are honest (at least more so than anywhere else.) Also, customers find the 1-click Ordering option easy.
Amazon mission statement: staying true to customer reviews
The icing on the cake is that most times the product you order will be in your house earlier than expected, something that may not be said with much assurance about smaller online retailer brands.
In the rare event of any inconvenience with delivery, refund and other warranty deals are just outstanding on this website. At Amazon, it’s always about the customer.
1.4. Empathy and sympathy
Amazon knows how to say they’re sorry. In 2009, Amazon deleted some books from people’s Kindles without prior information. After a public outcry, Jeff Bezos apologized for how the problem was handled. His words:
“This is an apology for the way we previously handled illegally sold copies of 1984 and other novels on Kindle. Our ‘solution’ to the problem was stupid, thoughtless, and painfully out of line with our principles. It is wholly self-inflicted, and we deserve the criticism we’ve received.”
This admission from the company’s CEO is not only inspiring but also really rare with such a giant brand.
2. Global reach
Key word: “…to be Earth’s most customer centric company.”
Amazon is committed to international leadership in the e-commerce market, and this is well-reflected in the Amazon mission statement. For this reason, the retailer is consistently focused on expanding its already worldwide coverage to provide for consumers in regions not yet covered.
According to Forbes:
“The e-commerce juggernaut jumped 25 spots to #28 on Forbes‘ Global 2000 list of the world’s biggest public companies, as measured by a composite score of revenues, profits, assets and market value. That was sufficient enough for it to steal the title of the world’s largest retailer away from Walmart, which slipped five spots to #29 on this year’s overall list.”
True, this overtake happened way back in 2019, but it has remained so till date. Amazon remains the biggest e-retailer in the world in 2022.
Countries closest to Amazon’s market cap. Amazon mission statement.
3. Leveraging technology
Key phrase: “…by using the internet and technology to help consumers.”
The next component to zoom in on when it comes to the Amazon mission statement is technology.
Jeff Bezos saw the pivotal role the internet could play in the evolution of e-commerce, and he capitalized on that to create the first online retailer website, Amazon.
Even though the company now has a physical presence today, Amazon remains majorly an online-based store.
Through its highly informative, well-stocked, and easy-to-use Website and Mobile App, customers can make quick, easy, and safe purchases and other transactions. These digital platforms are optimized for visual appeal and seamless navigation to promote user experience.
Amazon makes it clear that it “…will continue to push at the boundaries of how technology – digital infrastructure and services – can improve the customer experience and help make the economies of the countries where we operate more competitive on the global stage.”
4. Product variety
Key phrase: “…to help consumers find, discover and buy anything.”
Another important key phrase to highlight in the Amazon mission statement is product variety.
This component highlights Amazon’s dedication to providing its customers with the widest variety of products. As Amazon has grown from an online-based bookstore to an all-products store, it has handled product category improvement one step at a time, working its way up to e-commerce domination over the years.
At Amazon, today, you can get anything from apparels to electronics, jewelry, home appliances & devices, seasonal items, gift items, name it – Amazon sells a wide variety of products.
And even though it already offers a lot more than other stores, Amazon is determined to avail as much of all other products and services as it can list on its platform and elevate it into a one-stop shop.
5. Lowest prices
Key phrase: “…empower businesses and content creators to maximize their success.”
This element talks about Amazon’s goal to “empower businesses and content creators to maximize their success.” This statement simply means “making the most (profits) with little – basic Economics, right?
Amazon achieves this through product availability and accessibility, as well as by offering customers the lowest possible prices for these items. The company’s prices are considerably lower than those of competing retailers.
Amazon has set the bar in providing customers value for money for other e-commerce companies to follow. To quote one of the Amazon’s spokesperson: “We know customers love our vast selection, low prices, and free one-day delivery with Prime and we are always innovating to improve their experience.”
Now that we have a better understanding of exactly the Amazon mission statement means, let us examine how this statement of purpose relates to other elements of the brand, such as the name, logo, slogan/tagline, (vision?), and values.
*Note: Amazon does not have a vision statement (keyword: “vision statement,” not “vision”). Yes, its mission statement doubles as its vision statement (some companies do that). A lot of sources claim it does have a vision statement or try to weave out one, but nowhere on its official website does Amazon explicitly state their vision statement.
However, we can try to infer from the company’s mission statement and general corporate messaging that Amazon’s vision is to “…be the Earth’s most customer-centric company.”
How does Amazon’s mission statement relate to other components of the brand?
1. Brand name
Originally called “Cadabra,” the company made a name switch to “Amazon”. It is said that while paging through the “A” section of the dictionary, Bezos discovered the word “Amazon”. This name seemed fitting because it was the Earth’s largest river and Bezos was going to build the world’s largest bookstore (yes, it was a bookstore, at the time).
And interestingly also, “This is not only the largest river in the world, it’s many times larger than the next biggest river. It blows all other rivers away,” Bezos says.
Amazon’s name nods to the mission statement’s components of global reach and product variety.
2. Logo
Now, let’s take a look at how the Amazon mission statement relate to their logo.
What began as a digital bookstore has since transformed into a massive brand with their hands on almost all products. From household items to groundbreaking tech, Amazon now sells everything from A to Z. It becomes appropriate then that the company should have a visual icon to pass across this exact message.
The current Amazon logo reflects the message that the company provides everything from A to Z. The arrow underneath the wordmark depicts the happy smile the brand’s customers would experience when they shop on the platform.
On colors: the wordmark logo’s black color stands for dominance, supremacy and elegance. The orange color represents pride and happiness.
Originally, the smile and arrow design in the logo used to suggest “we’re happy to deliver anything, anywhere,” but Amazon changed that to a different interpretation: “a smile now begins under the ‘a’ and ends with a dimple under the ‘z’ to mean that Amazon sells anything, from A to Z, that customers want to buy online,” Amazon says.
Amazon mission statement: relation to logo
At this point you would agree with us that the Amazon logo perfectly captures the brand’s message of product variety, global reach, and customer centrism/satisfaction.
It’s, indeed, hard to believe that there can be any other ideas that can explain the theme of an e-commerce website better than the Amazon logo does.
3. Tagline / slogan
Another component that can be related to the Amazon mission statement is their slogan.
Amazon does not have an actual tagline – well, at least, not that which is clearly known at the moment. But in the previous years, they have promoted a few taglines (or maybe slogans?) Yes, for the curious mind, there’s an actual difference between tagline and slogan.
According to Hubspot, “…a slogan and a tagline are similar but a slogan is used to sell an item whereas a tagline brings awareness to the item while being concise, catchy, and classic.”
Actually, taglines are more permanent representations of your brand, while slogans can be changed frequently and are often tailored to a specific campaign.
For example, a campaign promoting female empowerment somewhere in India will be different from another campaign about, say, cancer awareness in the UK, as the case may be, even if the same company owned these campaigns.
On Amazon, while they do not have a known tagline, they have this slogan that they promote everywhere: “Work Hard. Have Fun. Make History.” This marketing phrase gives you an idea of the work culture that Amazon has.
Amazon mission statement
The company’s massive growth since 1994 has made Amazon a brand with an accomplishment and a history that precedes its still youthful existence.
Amazon also has the tagline that says “Amazon and you are done,” which gives a similar interpretation to “Visit Amazon and you will have all the products available to you.”
In addition to these slogans, Amazon has come up with several other punchlines that have turned into blockbusters, as well as some that ended up in the series of hashtags.
Bottom-line: All the slogans or taglines that have been used by Amazon capture one significant aspect of the company’s mission.
4. Vision
When it comes to the Amazon mission statement, we can’t help but mention vision.
As previously noted:
Amazon does not have a vision statement (keyword: “vision statement,” not “vision”). Yes, its mission statement doubles as its vision statement (some companies do that). A lot of sources claim it does have a vision statement or try to weave out one, but nowhere on its official website does Amazon explicitly state its vision statement.
However, we can try to infer from the company’s mission statement and general corporate messaging that Amazon’s vision is to “…be the Earth’s most customer-centric company.”
To better understand what a vision statement is and how it differs from a mission statement, along with good examples of the former, check out our article on vision statement examples.
Amazon mission statement
5. Values
Speaking about the Amazon mission statement, it’s time to take a look at values.
Any company as big and successful as Amazon needs to stay in full charge of its procedures to keep its leadership position. It starts with establishing and maintaining a strong corporate culture.
Amazon implements a broad list of values, evidence that the firm means business with its objective of catering to all organizational processes.
We would like to assume that Amazon’s values and principles are segmented into two(?) distinct groups, namely four foundational principles and 16 leadership principles.
Four foundational principles
These are the core values that describe how Amazon thinks and operates (on a general scale) within its organization and with its customers. It’s essentially Amazon’s reason for being and guiding culture. These are:
Customer obsession / centrism
While most companies would focus on their competitors, Amazon is more concerned about its customers. The firm’s emphasis on “customer obsession” is not a mere flowery company mantra but a real code that Amazon lives by every single time.
This explains, to a great extent, why “…in 2015 Amazon became the company that reached $100 billion in annual sales faster than any other in the world,” according to Forbes. It takes an army of loyal customers (fans, if you prefer) to achieve such.
Operational excellence
Jeff Bezos describes operational excellence in the Amazon mission statement as representative of two things: “Delivering continuous improvement in customer experience and driving productivity, margin, and efficiency, and asset velocity across all our businesses.”
Amazon continuously reminds its employees of the need to strive for excellence both behind the scenes and openly. The firm believes that unseen internal efforts are vital to the results customers would experience in real time, such as on-time delivery.
In one of his 2018 interviews, Bezos said precisely: “People will never see 90 percent of what you do…The only thing that makes you have high standards on that work that nobody ever sees is your own professional pride in operational excellence.”
For Amazon, it’s about saying something and doing it – TO YOUR BEST.
Passion for invention
When it comes to the Amazon mission statement and their whole strategy, the company understands that business undertakings come with success or failure, and that’s okay.
To promote proactivity and pioneering spirit, the company developed a culture where every employee is a leader (in their own right), and inspires the team to strive to achieve something different and unique.
Amazon mission statement
It is no surprise, then, that Amazon pioneered some of the following things you may already know today: Customer Reviews, 1-Click Shopping, Personalized Recommendations, The Climate Pledge, Career Choice, along with so many others specific to the brand.
This eagerness to invent is evidence that Amazon is always looking out for its customers.
Long-term thinking
Many companies will give up on an initiative if it doesn’t produce desired results within the expected period, but Amazon will stick to an idea for many years, as long as it strongly believes in it.
All the company has to do is to manage the investment resourcefully, constantly monitoring and improving on it, until it becomes successful. Case in point would be Amazon Prime Video, which has more than 100 million viewers, and is a result of decades of research, learning and improvement.
The unpredictability of Amazon’s telescopic foresight gives the company a competitive advantage as leaders while keeping rival brands on their toes.
Leadership principles
Another component of the Amazon mission statement are the leadership principles engrained in it.
This is a long list of values intended for internal use by Amazon’s employees, to guide the company’s discussions and decisions every single hour and day.
These include: “customer obsession (yet again – super important at Amazon!), ownership, invent and simplify, are right, a lot, hire and develop the best, insist on the highest standards, think big, bias for action, frugality, vocally self-critical, earn trust of others, dive deep, have backbone, disagree and commit, and deliver results.”
While Amazon prioritizes all of these principles, a few key ones can be singled out:
- Customer obsession
- Invent and simplify
- Hire and develop the best
- Deliver results
- Earn trust of others
In the end, at the very heart of all Amazon values are two main big ideas: customer satisfaction and industry leadership. The firm’s unique culture is designed to help Amazon relentlessly pursue its mission of being Earth’s most customer-centric company (as well as best employer and safest place to work).
Summary
Staying on top and relevant with the changing times is a big challenge for any establishment. Yet Amazon continues to successfully maintain its leadership in the e-commerce sector.
Much credit goes to its compelling mission statement, vision, and values components. Worthy of note, too, is Amazon’s impressive efforts towards not only harmonizing these distinct elements but also for delivering outstandingly well on all corporate promises and customer expectations.
Whether you are a company owner or employee, aspiring entrepreneur or just a researcher, the Amazon mission statement can guide you to craft your own mission statement today or, at least, get inspired to formulate any type statement of purpose in future, whether you’re setting up a new business, hunting for a job, or applying for a loan.
Did you like this article on the Amazon mission statement? Want to see more examples? Check out the following articles:
- Adidas Mission Statement: All You Need to Know in 2022
- Nike Mission Statement: The Ultimate Analysis in 2022
