Amazon plans to open large retail stores in the United States
Amazon is looking to expand its business further into the brick-and-mortar world with some physical shops.
Amazon already dominates the online retail world, pulling in millions upon millions of customers around the world. The company also has its fingers in other aspects of the entertainment industry, with video game and film studios under its belt. Now, Amazon is looking to extend its retail empire by building physical stores in the United States.
Amazon’s plans to open physical retail stores in the United States was first reported by the Wall Street Journal. The report states that the first of these stores will be opened in California and Ohio, though it doesn’t specify where in those states. It’s also stated that Amazon’s stores will be roughly 30,000 square feet in size, which is around the average size of your typical retailer. Amazon has already seen out-of-this-world success with its e-commerce business, and will look to venture into brick & mortar soon.
It’s not specified what exact products Amazon will offer at these stores, other than the wording of “well-known consumer brands.” It’s likely that these stores will offer a range of products, mirroring the company’s online service. This technically wouldn’t be the first time Amazon’s branding has been attached to a brick-and-mortar retailer, as the company acquired Whole Foods back in 2017. Amazon has yet to publicly acknowledge the reports from WSJ.
Amazon’s move to start opening physical retail shops isn’t surprising, but interesting nonetheless. The company is arguably the biggest brand in retailing, and it will be fascinating to see how it’s brick & mortar stores perform. It’s possible we could see these stores expand outside of US borders at some point down the road. For more on Amazon and everything happening in the business world, Shacknews is your place.
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replyDonovan Erskine posted a new article, Amazon plans to open large retail stores in the United States
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Yeah I see myself doing this.
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Over here they tried to do Whole Foods returns for a bit, now its at centers near USC and UCLA, they also take returns at the lockers.
For small items its fine, but I can't imagine managing my LG OLED from late last year through Amazon instead of through Best Buy. If something was wrong with the set then what a headache it would be to do it through their current return centers
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So Amazon sees what Target, Walmart, Bestbuy, etc. have realized. Their buildings aren't really about their retail space. It is about having small warehouses of the most popular shit right in population centers. Sure this is a boost to having people be able to come and get shit on their own. But really this allows you to widen your logistics footprint. And with so many dead big box buildings out there, dead malls out there, finding retail space should be easy / cheap.
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Because they are also giant distribution hubs. If you think of them first and foremost as nodes in a logistics network and less as a classic B&M retail store then it makes a ton of sense. That's at least partly why whole foods was bought. It's not a coincidence that there's a giant fleet of Flex drivers parked outside each one.
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Amazon's entire business model up until this point has made retail brick and mortar stores obsolete.
Why would they do this? What's the benefit?-
Walmart and Target still have a big piece of the pie. This is about putting them out of business.
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