Test whether to Advertise on Television
In the early days of Amazon, the executives wanted to know if it would be worth the cost to place advertisements on television.
So they looked for two markets with a good blend of the customer demographics they target, and they found Portland and Minneapolis to be the best.
The run a test for 16 months, which is much longer than most companies would experiment.
But Jeff Bezos said that Amazon was "unbelievably fixated on it" and that it was a "long, expensive test, but we were really determined to understand this for our company once and for all."
While the ads did give Amazon a slight bump in sales, Jeff Bezos determined that it wasn't enough to justify the cost. So while this experiment was lengthy, it proved helpful for Amazon's strategy.
Amazon TV commercial |
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