Amazon & the Digital to Physical Expansion
Today, Amazon announced plans to buy Whole Foods for nearly $14B. They will keep the brand and the leadership intact. What a win-win for both brands! My Amazon fan-girl streak continues...
Three thoughts came to mind when I read about the deal:
1. Willing to bet most if not all Whole Foods customers are already Amazon customers. How cool then to meet your customers where they already are as Amazon figures out options around last mile delivery.
2. This strengthens the Amazon Pantry / Grocery business - need something last minute, go to Whole Foods. Need something in a week, order online and pick it up when you are out and about.
3. Amazon becoming a viable threat to pharmacies is suddenly not out of question. Granted, Whole Foods doesn't have nearly the same physical footprint as a Walgreens or CVS but then, Amazon has never had a problem getting to scale once it enters a market (phones notwithstanding ;))
https://www.recode.net/2017/6/16/15816180/amazon-whole-foods-deal
Three thoughts came to mind when I read about the deal:
1. Willing to bet most if not all Whole Foods customers are already Amazon customers. How cool then to meet your customers where they already are as Amazon figures out options around last mile delivery.
2. This strengthens the Amazon Pantry / Grocery business - need something last minute, go to Whole Foods. Need something in a week, order online and pick it up when you are out and about.
3. Amazon becoming a viable threat to pharmacies is suddenly not out of question. Granted, Whole Foods doesn't have nearly the same physical footprint as a Walgreens or CVS but then, Amazon has never had a problem getting to scale once it enters a market (phones notwithstanding ;))
https://www.recode.net/2017/6/16/15816180/amazon-whole-foods-deal
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