Here’s The Everything Store summary. Know how Amazon dominated the ecommerce world. Know the story behind its founder’s relentless ambition to provide everything to the customer.
The Everything Store author Brad Stone explains the story behind Amazon’s unstoppable rise and domination. He conducted over 300 interviews with past and current Amazon employees to know the story.
Know the origins and early tactics of Amazon. How did they dominate online retailing? What did the founder and early employees do? What are the turning points in running the company?
About the Author
Brad Stone is an American journalist. He serves as a senior writer in Bloomberg Businessweek. He has written many cover stories about Amazon, Google, Facebook ,Twitter, and other tech companies.
Aside from The Everything Store, he also wrote Gearheads: The Turbulent Rise of Robotic Sports. He also worked as a former reporter for The New York Times.
Main takeaways: The Everything Store Summary
Let’s discuss the key takeaways from his book:
- Use the regret minimization framework.
- Try to charge less so you can give more to customers.
- Be relentless.
Use the regret minimization framework
Jeff Bezos is the founder of Amazon. He used the regret minimization framework before he decided to start the everything store.
Here’s how he did it. He imagined himself as an 80-year old guy looking back at his life. He realized that one of his biggest regrets would be to let the opportunity of building a great startup pass him by.
Even if it fails, he wouldn’t regret it much. He knows that he has to try it and take the plunge. He knows that it would deeply haunt him if he didn’t try at all.
You can also use the regret minimization framework in making a huge decision. What would you regret for the rest of your life if you didn’t do something?
Imagine yourself as an old person. You look back to your life. What would you say? It’s likely “I should’ve done that.” Then you act on what you imagined. This way you minimized the possible regret.
Try to charge less so you can give more to customers
Most businesses compete on price. Everything else being equal except price, of course price will win.
If you can charge less for your products, you provide more value to your customers. They can use the money they saved to buy more products. They’ll feel delighted. There’s also a great chance they’re going to buy from you again and again.
How do you lower your price while increasing your sales and profits at the same time? One way is to make your operations and logistics more efficient. Every peso you save on each step of the operation can translate to the savings of your customers.
You can also negotiate for better arrangements with your suppliers. You can ask for discounts especially if you order in bulk. You can also make other arrangements that will help you save money.
Keep in mind that the purpose of a business is to create a customer. And the growth of your business depends on repeat sales from your loyal customers.
If customers know that you’re charging less, they’ll come to you. And they will buy your other offers. This becomes a cycle. You get economies of scale and you can charge less as a result. You can also get better deals that drive further cost savings.
Early Amazon employees agree on one trait that Jeff Bezos has. It’s being relentless.
If you’re relentless, you won’t stop until you achieve your goal. That’s what Bezos did to grow Amazon. His company is now number one in online retailing. And it has billions of profits each year.
Amazon is not only an ecommerce company. Its Amazon Web Services (AWS) provides cloud solutions for enterprise IT, database, Internet of Things, web hosting, and data backup and recovery. It also earns billions of dollars in sales each year.
Amazon is powerful. It is truly dedicated to providing the A to Z needs of customers. The founder being relentless made the difference. He obsessed about the details. He became unstoppable. He knows what it takes and he does it.
Using the regret minimization framework, charging less, and being relentless. Aside from those, you’ll also learn the following from The Everything Store book:
- Why you should focus on the long-term
- Why you should adopt a DIY attitude
- Why you should build your own products before looking somewhere else
- How to come up with bold ideas
- Why you should just start and adjust course along the way
My personal takeaways
Founders and CEOs have larger-than-life thinking. They’re bold. They know how to take risks. And they make quick decisions.
They know that momentum is important. The initial momentum can be used to drive further success. That’s why Amazon grew exponentially and insanely fast. Within 2 decades, it now offers literally A to Z (you can see that from their logo).
Reading the stories of great founders and companies such as Amazon made me realize one thing. They do things differently. They exceed the expectations. They work hard. And they pay the price.
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