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Amazon Angles to Grab Back Customers Amazon Angles to Grab Back Customers
(8 days later)
As millions more Americans turned to online shopping during the pandemic, Amazon struggled to keep up with the demand, and its rivals pounced. Target’s online sales shot up 141 percent last quarter, while Walmart’s rose 74 percent. Etsy’s were up almost 80 percent in April.As millions more Americans turned to online shopping during the pandemic, Amazon struggled to keep up with the demand, and its rivals pounced. Target’s online sales shot up 141 percent last quarter, while Walmart’s rose 74 percent. Etsy’s were up almost 80 percent in April.
Now Amazon is saying enough is enough.Now Amazon is saying enough is enough.
The company is shipping many more items in a day or two and is again running promotions. It has removed limits on the types of products allowed in its warehouses. And while it has delayed its annual Prime Day, Amazon is preparing for an earlier “Summer Sale” to let brands sell excess inventory, according to an audio recording of an internal meeting discussing the promotion.The company is shipping many more items in a day or two and is again running promotions. It has removed limits on the types of products allowed in its warehouses. And while it has delayed its annual Prime Day, Amazon is preparing for an earlier “Summer Sale” to let brands sell excess inventory, according to an audio recording of an internal meeting discussing the promotion.
The changes position Amazon to recapture its customers who had fled elsewhere when the outbreak took hold. And the moves signal that Amazon’s leaders feel confident that the business, and in particular its shipping network, is no longer in crisis mode in response to the pandemic.The changes position Amazon to recapture its customers who had fled elsewhere when the outbreak took hold. And the moves signal that Amazon’s leaders feel confident that the business, and in particular its shipping network, is no longer in crisis mode in response to the pandemic.
“They eliminated their own competitive advantage they had built over 20 years,” said John Ghiorso, who runs Orca Pacific, an agency that helps brands run their Amazon business. “Now they are getting it back pretty quickly.”“They eliminated their own competitive advantage they had built over 20 years,” said John Ghiorso, who runs Orca Pacific, an agency that helps brands run their Amazon business. “Now they are getting it back pretty quickly.”
Amazon remains by far the country’s biggest online retailer. But the coronavirus put the tech giant in a new spot: on its heels. The surge of orders overwhelmed its operations, forcing the company to dampen demand and slow shipping on many items from a few days to almost a month. Jeff Bezos, its chief executive, has retaken day-to-day control of operations during the crisis.Amazon remains by far the country’s biggest online retailer. But the coronavirus put the tech giant in a new spot: on its heels. The surge of orders overwhelmed its operations, forcing the company to dampen demand and slow shipping on many items from a few days to almost a month. Jeff Bezos, its chief executive, has retaken day-to-day control of operations during the crisis.
While Amazon’s sales did boom, its competitors’ grew even more. Before Covid-19, orders to Amazon accounted for about 42 percent of online spending in the United States. By mid-April, that had fallen to 34 percent, according to data from Rakuten Intelligence, an analytics firm.While Amazon’s sales did boom, its competitors’ grew even more. Before Covid-19, orders to Amazon accounted for about 42 percent of online spending in the United States. By mid-April, that had fallen to 34 percent, according to data from Rakuten Intelligence, an analytics firm.
The biggest problem facing Amazon has been its fulfillment network, the 500 or so warehouses across the country that let Amazon house, pack and ship products to customers’ doors in two days or less. The efficiency of its network — and the speedy and reliable delivery it provided — is what separated Amazon from its competitors.The biggest problem facing Amazon has been its fulfillment network, the 500 or so warehouses across the country that let Amazon house, pack and ship products to customers’ doors in two days or less. The efficiency of its network — and the speedy and reliable delivery it provided — is what separated Amazon from its competitors.
As the virus spread and Amazon’s response at times lagged, many workers stayed home, reducing how much product Amazon could handle. The company also struggled to keep popular panic-buying items, like toilet paper, in stock.As the virus spread and Amazon’s response at times lagged, many workers stayed home, reducing how much product Amazon could handle. The company also struggled to keep popular panic-buying items, like toilet paper, in stock.
Though it took longer than many employees wanted, Amazon put in place new safety measures in its warehouses. On May 1, it stopped allowing unlimited unpaid time off, bringing many nervous employees back to work. It also hired and trained 175,000 new employees. Before, trucks could wait days for someone to unload them; the extra hands let Amazon quickly replenish its warehouses.Though it took longer than many employees wanted, Amazon put in place new safety measures in its warehouses. On May 1, it stopped allowing unlimited unpaid time off, bringing many nervous employees back to work. It also hired and trained 175,000 new employees. Before, trucks could wait days for someone to unload them; the extra hands let Amazon quickly replenish its warehouses.
Amazon “pushed the rabbit through the python,” said Eric Heller, a former Amazon senior manager who advises major brands at Wunderman Thompson Commerce. Now, he said, “it really feels very much back to normal.”Amazon “pushed the rabbit through the python,” said Eric Heller, a former Amazon senior manager who advises major brands at Wunderman Thompson Commerce. Now, he said, “it really feels very much back to normal.”
Kate Scarpa, an Amazon spokeswoman, said, “We know customers want their deliveries as quickly as possible, and we are working hard to return all products to faster delivery speeds while helping keep our employees safe.”Kate Scarpa, an Amazon spokeswoman, said, “We know customers want their deliveries as quickly as possible, and we are working hard to return all products to faster delivery speeds while helping keep our employees safe.”
Native, a brand of natural deodorants that Procter & Gamble bought in 2017, got caught in the roller coaster.Native, a brand of natural deodorants that Procter & Gamble bought in 2017, got caught in the roller coaster.
Native had been selling about $1 million a month on Amazon, before customer orders surged online as panic buying set in, said Vineet Kumar, who became the brand’s chief executive just before the pandemic.Native had been selling about $1 million a month on Amazon, before customer orders surged online as panic buying set in, said Vineet Kumar, who became the brand’s chief executive just before the pandemic.
When Amazon put a priority on essential and other high-demand products, it told customers that Native’s products would take about a month to arrive. The brand’s sales on Amazon quickly fell, but they rose elsewhere online, including on its own site, where traffic jumped 70 percent from a year earlier.When Amazon put a priority on essential and other high-demand products, it told customers that Native’s products would take about a month to arrive. The brand’s sales on Amazon quickly fell, but they rose elsewhere online, including on its own site, where traffic jumped 70 percent from a year earlier.
Updated July 7, 2020
The coronavirus can stay aloft for hours in tiny droplets in stagnant air, infecting people as they inhale, mounting scientific evidence suggests. This risk is highest in crowded indoor spaces with poor ventilation, and may help explain super-spreading events reported in meatpacking plants, churches and restaurants. It’s unclear how often the virus is spread via these tiny droplets, or aerosols, compared with larger droplets that are expelled when a sick person coughs or sneezes, or transmitted through contact with contaminated surfaces, said Linsey Marr, an aerosol expert at Virginia Tech. Aerosols are released even when a person without symptoms exhales, talks or sings, according to Dr. Marr and more than 200 other experts, who have outlined the evidence in an open letter to the World Health Organization.
Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days.
Scientists around the country have tried to identify everyday materials that do a good job of filtering microscopic particles. In recent tests, HEPA furnace filters scored high, as did vacuum cleaner bags, fabric similar to flannel pajamas and those of 600-count pillowcases. Other materials tested included layered coffee filters and scarves and bandannas. These scored lower, but still captured a small percentage of particles.
A commentary published this month on the website of the British Journal of Sports Medicine points out that covering your face during exercise “comes with issues of potential breathing restriction and discomfort” and requires “balancing benefits versus possible adverse events.” Masks do alter exercise, says Cedric X. Bryant, the president and chief science officer of the American Council on Exercise, a nonprofit organization that funds exercise research and certifies fitness professionals. “In my personal experience,” he says, “heart rates are higher at the same relative intensity when you wear a mask.” Some people also could experience lightheadedness during familiar workouts while masked, says Len Kravitz, a professor of exercise science at the University of New Mexico.
The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth.
The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave.
So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement.
Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks.
A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study.
If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.)
If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others.
By focusing on critical items, Amazon “made the right call,” Mr. Kumar said, but the period was “so volatile.”By focusing on critical items, Amazon “made the right call,” Mr. Kumar said, but the period was “so volatile.”
Now, Amazon ships Native products quickly, and Native can introduce new products, which was hard to do when Amazon imposed caps on sending products to the warehouses. “Things have stabilized,” Mr. Kumar said. “We are back on track.”Now, Amazon ships Native products quickly, and Native can introduce new products, which was hard to do when Amazon imposed caps on sending products to the warehouses. “Things have stabilized,” Mr. Kumar said. “We are back on track.”
Amazon is also unwinding the steps it took to throttle customer demand.Amazon is also unwinding the steps it took to throttle customer demand.
For more than a month, Amazon hid its Today’s Deals page, a heavily trafficked page that usually received prominent promotion on its website and app. It also limited the products sold on the page to things that could be downloaded, like software, instead of shipped. About a week ago, the Deals page got its homesite placement back, and the variety of products widened.For more than a month, Amazon hid its Today’s Deals page, a heavily trafficked page that usually received prominent promotion on its website and app. It also limited the products sold on the page to things that could be downloaded, like software, instead of shipped. About a week ago, the Deals page got its homesite placement back, and the variety of products widened.
“It was under the radar, then all of a sudden promotions were back,” said Fahim Naim, whose company, eShopportunity, helps Native manage its Amazon business.“It was under the radar, then all of a sudden promotions were back,” said Fahim Naim, whose company, eShopportunity, helps Native manage its Amazon business.
Recent flash deals promoted Hunter rain boots, Black and Decker tools, and an off-brand pleather legging available for next-day delivery.Recent flash deals promoted Hunter rain boots, Black and Decker tools, and an off-brand pleather legging available for next-day delivery.
Amazon is also regaining its grip on companies selling products on the site.Amazon is also regaining its grip on companies selling products on the site.
In early April, the company stopped banning brands from selling on the site if they had numerous late or canceled orders. “We made this decision after hearing from many of you about supply chain and fulfillment difficulties you were having,” Amazon later explained to sellers.In early April, the company stopped banning brands from selling on the site if they had numerous late or canceled orders. “We made this decision after hearing from many of you about supply chain and fulfillment difficulties you were having,” Amazon later explained to sellers.
But last week, the company told brands that on June 1 it would “restart tracking and enforcing selling accounts with high cancellation rate, late shipment rate or order defect rate per our established order performance standards.”But last week, the company told brands that on June 1 it would “restart tracking and enforcing selling accounts with high cancellation rate, late shipment rate or order defect rate per our established order performance standards.”
Mr. Heller spotted another sign that Amazon’s confidence had returned. A co-worker noticed that Amazon was promising overnight delivery by 8 a.m. for a case of snack-size popcorn — a very fast turnaround.Mr. Heller spotted another sign that Amazon’s confidence had returned. A co-worker noticed that Amazon was promising overnight delivery by 8 a.m. for a case of snack-size popcorn — a very fast turnaround.
“To test that now,” Mr. Heller said, “seems so gutsy.”“To test that now,” Mr. Heller said, “seems so gutsy.”