Dominique Pierre Locher 🥦🚜🍓🥬 🐶🥕’s Post

Amazon Fresh Grocery Crossed the 50 Store Mark: Is It Ready or Stuck in the Middle? What's Out: * Just Walk Out * Muddled Messaging What's In: * Dash Cart * Expanded Assortment * Private Label Brand called "Amazon Saver" What's the model? It's the look of the "Amazon Saver" brand that caught my eye. I believe they are trying to be reminiscentof ALDI here, realizing that the discount grocer is the fastest growing grocery chains in the United States. Reminds me of the Amazon Basics of Grocery. Amazon's not the first retailer to add a new low-cost private label line -- Target did the same thing earlier this year with dealworthy. How many items does Amazon plan to add to the Amazon Saver line? Over 100. By the way, I do feel Target missed a big potential opportunity by not having a more focused Grocery store footprint at some point. 80% grocery, 20% other items. A few questions for Amazon's strategy going forward: * Has Amazon finally nailed their assortment? A typical ALDI has around 1,500 SKUs. A full-service grocery chain has around 30,000. * How does the new Amazon Grocery Delivery Prime service play into their growth plans? Does it help make the service even stickier? * Will Amazon execute well enough on BOPIS pickup similar to Target and Walmart which seem to be executing well on the concept? * In what order will Amazon prioritize its markets? There is some feeling that Walmart is stealing share from wealthier customers as it trades down. Given the amount of grocery spend in households, it does seem that grocery is the tip of the spear of Walmart's approach here. Still, I don't feel that Amazon can compete with Walmart on its own turf. It needs the national brands that Whole Foods does not carry. And could Amazon compete with Aldi on its own turf? Unclear also. That could leave Amazon Fresh still "stuck in the middle" of its concept.

Amazon.com is testing new grocery formats that blend its broad assortment of online goods with in-person shopping, as the nation’s largest e-commerce retailer strains to expand its role in a market dominated by grocery giants with sprawling store networks. Amazon’s new designs aim to pull together various fulfillment networks for its Whole Foods Market premium grocery business and its mass-market Amazon Fresh stores into a common delivery platform, giving the grocery businesses greater scale with online customers as rivals including Walmart, Target and Kroger invest more in using their larger numbers of stores as distribution hubs. The company’s goal is to create one-stop shopping for products ranging from organic produce to Tide detergent and Cheez-It crackers and eliminate the need for shoppers to visit multiple stores. #retail #groceryindusty #logistics Liz Young Sarah Nassauer David Bishop https://lnkd.in/ejK5qeWM

Amazon's Grocery Game: Mixing and Matching Strategies Unveiled Discover Amazon's latest strategic tests combining Whole Foods and Amazon Fresh operations, aiming to redefine grocery distribution. With its latest tests, Amazon is attempting to revolutionize the grocery industry by merging the operational elements of its Whole Foods and Amazon Fresh brands. This initiative aims not only to optimize costs but also to provide a seamless shopping experience. By strategically placing Whole Foods products within Amazon Fresh facilities, Amazon aspires to capture a broader market share and deliver enhanced service efficiency. Amazon's integration of its grocery operations is set to offer several benefits, including: While the integration offers numerous benefits, it may also pose challenges such as: For those keeping track of the evolving landscape of grocery shopping, Amazon's strategic maneuvers present a fascinating case study. With many eyes set on its progress, the ultimate outcome will provide insights into the future of retail innovation. #CurrentTrendsInBusiness Source : The Verge

TONY HOGGETT DEPARTS AMAZON I broke the story that Tony Hoggett would soon be out at Amazon. You can read my original post in the Comments section. Tony is a highly experienced executive and I truly wish him the best of health and success. Now what? The brutal truth is that Amazon remains a laggard in the grocery industry. Amazon must compete against established players in entrenched markets; Amazon is struggling. Although true that Amazon is testing multiple store formats, Tony and his team haven’t made Amazon a threat to anyone when it comes to groceries. Amazon barely controls 2.7% market share, Walmart leads the industry with 21% market share. Amazon acquired Whole Foods in 2017 yet little has changed. Something is broken and in my opinion, it’s the lack of leadership and a coherent grocery strategy. Amazon is wasting time, money and effort on workarounds at Whole Foods Market. Instead of building small format stores stocked with Coke, Tide, Oreos, etc., near Whole Foods stores, or installing robotic MFCs in the back rooms of stores, Whole Foods should sell the leading CPG products (Coke, Cheetos, Oreos) in their stores. Period. Doing so WILL NOT dilute the Whole Foods brand. 70% of Whole Foods customers leave the stores because they can’t buy their favorite CPG products. Where do they go? Mostly Walmart, Amazon’s biggest competitor. This is inexcusable. Whole Foods must keep the customers in their stores. Instead of solving the problems at Whole Foods, Amazon solution is to invest over $2B on perpetuating a charade. It’s a ridiculous strategy that should have never been considered or implemented. Is Whole Foods the right fit? If not, Amazon should divest Whole Foods to Target. Does Amazon truly want to sell groceries? Why does Amazon have such a Helter Skelter approach to groceries? Amazon Fresh is not the right physical store format to scale. My advice is for Amazon to acquire Publix Super Markets. I’ve spoken to executives at Publix and Wells Fargo, and I’ve encouraged them to consider being acquired by Amazon. Note to Amazon: Go visit Publix. Yes they’re an ESOP company but you can still acquire them. If not Publix, assess an acquisition of Target, Dollar General, Walgreens, Costco Wholesale, or Casey's. Amazon must hire someone who truly understands that Whole Foods is the center of Amazon’s grocery strategy and that the stores must sell the products customers want. Possible external replacements for Tony include: Suzy Monford, Chris Nicholas, Jason Hart, or Darren Rebelez. Udit Madan or Eric Rimling are the best internal candidates. Amazon has the potential to become the largest grocery retailer between 2030 and 2035, but they must become more aggressive; name a skilled and hard charging leader; and design a better strategy. Note to Andy Jassy: When are you going to stop the insanity? MAKE SURE TO READ THE COMMENTS MARKED WITH ❌❌❌❌❌‼️‼️‼️ #retail #grocery #management Annie Palmer

Amazon's strategic shift: From in-house to partnerships in global grocery delivery - RIP Amazon Fresh in Germany Amazon is recalibrating its approach to the complex world of online grocery delivery. After years of developing its own services, the company announced the termination of Amazon Fresh in Berlin, effective December 14, 2024. This move follows recent partnerships with local e-grocers: knuspr.de in Germany and Jüsto in Mexico. These collaborations enable Amazon Prime members to access a wide range of fresh products through established regional platforms, reflecting a strategic pivot from building proprietary services to leveraging local expertise. The online grocery sector, often considered the "Königsdisziplin" (crown discipline) of e-commerce, presents unique challenges that differ significantly from non-food retail. Amazon's experience underscores that success in non-food domains doesn't automatically translate to the food sector. By shifting from a "make" to a "partner" strategy, Amazon is adapting to these complexities. Looking ahead, could Amazon's next move be to "buy"? With its robust infrastructure and market presence, Rohlik Group, the parent company of Knuspr, stands out as a potential candidate. Their successful model aligns with Amazon's objectives, making them a noteworthy player in this evolving landscape... Exciting times ahead! #AmazonFresh #Knuspr #Jüsto #RohlikGroup #OnlineGrocery #FoodDelivery #EcommerceStrategy #RetailNews #MakeOrPartner #AmazonGermany #AmazonMexico #RetailInnovation #GroceryTrends #BerlinNews #OnlineRetail #DigitalTransformation #Königsdisziplin #RetailPartnerships #FutureOfGrocery #EcommerceShift #GlobalRetail #germany #RIP #etail #egrocery #foodtech #learingcurve #makepartnerbuy #manda #retail #food 

In a move to streamline the #grocery shopping experience, Amazon is planning on constructing a micro-fulfilment centre at a Whole Foods Market store in Plymouth Meeting, a suburb of Philadelphia, Pennsylvania. The online giant has said that customers will be able to order products from Amazon Fresh, and pick up their items at the Whole Foods location while completing their in-store checkout. 🥦 The news comes after the retailer announced its next generation of #fulfilment centres filled with AI-powered #robots. https://lnkd.in/garU8tMC

E-commerce giant Amazon is expanding its physical presence even further in the U.S. as it seeks to grow parts of its delivery business.The online retailer is planning to use its same-day fulfillment centers for delivery of perishable groceries and pharmacy goods.The company has 58 of these same-day delivery sites in the largest metropolitan areas in the U.S., allowing it to assemble and ship customer orders in as little as 11 minutes. A service like this would allow customers to purchase perishable groceries like milk and eggs, or medicines like antibiotics or throat lozenges.The e-commerce goliath has spent years trying to expand into grocery and pharmacy businesses. Amazon, which owns Whole Foods, had roughly a 3% share of the U.S. grocery market almost a year ago, with rivals Walmart and Kroger dwarfing the online marketplace’s selection of grocery offerings. It announced in early 2023 that it would pause the expansion of Amazon Fresh, its brick-and-mortar grocery concept, citing leasing costs. But by the end of last year, Amazon said it was once again expanding its brick-and-mortar offerings, following multiple store redesigns and new offerings like coffee and doughnut stations. #cre #commercialrealestate #Commercialrealestateadviser #commercialproperty #Amazon

Amazon’s latest strategy to grow its grocery business? The launch of a new own-brand budget-friendly food line called Amazon Saver. Private label grocery lines are not new for Amazon. It has a handful of them like Aplenty, Happy Belly, Amazon Kitchen and, of course, 365 by Whole Foods Market. However, most of these fall into the ‘better’ segment of the market with a few just nudging into ‘best’ territory. The new Amazon Saver label falls into the ‘good’ tier, providing some sharper opening price points across key categories. It makes sense because, after years of high inflation, consumers are laser like focused on value when they are grocery shopping. That’s one of the reasons there has been a migration to store own brands across many categories. Amazon still has big ambitions in grocery, so it needs to jump on this bandwagon as well as sharpen its value for money position.    Success depends on price points being genuinely competitive, but also on Amazon communicating these well in stores and online. It is also important that the new brand establishes a reputation for reasonable quality. Consumers do not want cheap products; they want good products with low prices.    More broadly, Amazon still has a lot of work to do in order to truly break through in grocery. It has had some success online, but it still hasn’t come up with a store format and proposition that enables it to take on established grocery rivals in a serious way. I chatted with CNN about the new development. Link to article in the comments. #retail #retailnews #grocery #food #supermarkets #privatelabel

Amazon’s push to revamp its grocery delivery model is set to shake up the U.S. grocery industry, posing a new challenge for traditional grocers. To stay competitive, large retailers may need to innovate their own delivery services, enhance digital infrastructure, and prioritize convenience and speed. For consumers, this competition could mean lower costs, more flexible delivery options, and a generally improved shopping experience. It’s an exciting shift that could redefine how we think about grocery shopping in the digital age. For more, check out the full WSJ article.

Amazon is looking at ways to increase its brick-and-mortar grocery sales with a new delivery platform that could compete with the networks of Walmart, Target and Kroger. The online sales juggernaut wants to combine fulfillment networks for its Whole Foods Market business and Amazon Fresh stores into a single delivery platform that could become the go-to resource for consumers’ supermarket needs.Amazon’s $13.7B acquisition of Whole Foods in 2017 was followed by the launch of Amazon Fresh in 2020. The latter now has 60 locations across the country. The move comes as Amazon has struggled to find firm footing in the U.S. grocery market, which generated an estimated $1.5T in sales last year. Meanwhile, the percentage of groceries bought online nearly doubled from 2019 to 2020 and has continued to grow since.Earlier this year, Amazon announced plans for smaller-format Whole Foods stores and an effort to double the number of its same-day delivery distribution hubs. As part of its order fulfillment process revamp, the e-commerce giant plans to add to the 26 Amazon Fresh fulfillment centers it currently uses to fulfill delivery orders for Whole Foods products and common household goods. #cre #commercialrealestate #Commercialrealestateadviser #grocerystores #retailrealestate