Amazon is one of the largest e-commerce platforms today. One of the reasons behind the success of Amazon is the way Amazon uses Data Science for its business. So, if you want to know how Amazon uses Data Science, this article is for you. In this article, I will introduce how Amazon uses Data Science for its business.
Here’s How Amazon Uses Data Science
Amazon uses the data of its users based on their buying history, search history, location, and many more. Your every visit to Amazon generates data for Amazon that they use for their business. Below are some ways how Amazon uses Data Science for its business.
Product Recommendations
If you are one of those who buy products from amazon frequently, then open your and your friend’s amazon account. Both of you will see different product recommendations. Amazon uses your buying history, search history, time spent searching for a product, and many other factors to provide personalized product recommendations to their customers.
It helps improve the user experience as the customers see most of the products they are interested in from the moment they open the website or the application of Amazon.
User Based Advertising
Amazon has a very high user base. There are more than 300 million active users of Amazon. With such a user base, Amazon offers businesses to run ads for their product and services. And the use of data science here is to advertise according to the user’s interest.
Amazon uses your data to identify your interests and show ads about the product and services based on your interests. It helps businesses reach their target customers and helps Amazon to generate revenue from its user base.
Faster Shipping Process
Today Amazon delivers orders within a day, same day, and even within hours in some cases. It has only been possible by analyzing the buying habits of customers. Amazon identifies the buying habits of each customer.
It helps identify the locations with the most frequent buyers and employ more delivery partners in such areas. Having more delivery partners in areas with the most frequent orders helps Amazon to make the shipping process faster.
Summary
So below is how Amazon uses data science for its business:
- Amazon uses your buying history, search history, time spent searching for a product, and many other factors to provide personalized product recommendations to their customers.
- Amazon uses your data to identify your interests and show ads about the product and services based on your interests.
- Amazon identifies the buying habits of its users to employ more delivery partners in areas with the most frequent orders and helps Amazon to make the shipping process faster.
I hope you liked this article on how Amazon use Data Science for its business. Feel free to ask valuable questions in the comments section below.
