How Amazon and Logitech developed standout products for e-commerce? | Article – HSBC VisionGo
Introduction to developing a standout product for e-commerce. Learn from the example of Amazon and Logitech.
It is not difficult nowadays for anyone to sell products on Amazon. In fact, there are many one-person businesses who find a popular product, find a supplier in China who can manufacture at a low cost, and sell on an e-commerce platform like Amazon. It takes extra effort to make your products stand out.
Amazon has an increasing list of private label brands including Amazon Basics, Elements, and Presto. Together, they make just under US$2 billion each year (2018). Given the amount of data and retail experience Amazon has, how do they develop their products? The answer lies in customer reviews. Teams at Amazon read and analyse reviews on existing products to identify what problems customers are having with the existing products so they can come up with product features to solve these problems.
The Logitech multi-device keyboard is a great example of how innovation can still take place in a stagnate category. Keyboard has been around for decades and most look and feel exactly. So what did Logitech do to make their keyboard stands out? They realised that a lot of customers are using the same wireless keyboard with multiple devices like their smartphone, tablet, and laptop. Every time they switch from one to another they have to deal with disconnection and connection. To solve this problem, Logitech introduced multi-device support where the keyboard can connect to up to 3 devices at the same time. This makes the keyboard a top 10 best seller on Amazon in the US and receiving glowing customer reviews such as this: “The beauty of this thing is that you can connect it to three different devices. The funny thing is that I didn't think anything about that when I purchased it. I just figured I'd pair it with the one computer and call it good..but once you have the ability...before I knew it I had it connected to my main work computer...then my Ipad...and then my phone...which...it's really nice to be able to type on your text messages instead of swiftkey or pecking with your fingers. I hadn't even thought of doing that. In fact, I only did it...and tried it because I could...and it turned out awesome.”
With a bit of reading and work, you too can develop products like Amazon. Go to the top 20 best sellers in your target category and filter for 1-star and 2-star reviews. Read them and identify the most frequently cited dissatisfaction with the products. It can range from the durability of the product to the instruction menu.
Once you have a list of dissatisfaction, brainstorm possible product features to address them. It’s okay if you are not an engineer or a product designer, you can come up with feature inspiration by looking at products in other areas that have solved the same problem. Be sure to apply the NUDD method once you have a list of product features.
- Identify any feature that meets any of the criteria: New, Unique, Different, Difficult
- Complete a risk assessment on the feature, e.g. would it be too different to existing features in the market that customers are used to
- Migrate any risk you’ve identified
At Starlity, we have partnered with brands and manufacturers to develop their standout products. Our most recent launch, a new toy brand with play-along playbooks has achieved a 6-digit sales figure within the first 2 weeks of sales in the United States. For more information, please go to https://www.starlity.com/post/starlity-launches-series-of-toys-with-play-along-playbooks-to-help-children-1587023497283x627011743114854400