View original at mhwmagazine.co.uk

Amazon’s shock plans to move into physical brick and mortar grocery stores spells more bad news for beleaguered supermarkets, say e-commerce delivery experts ParcelHero. Amazon, the nemesis of High Street stores everywhere, is abandoning its online-only model to open brick and mortar convenience stores. It’s a surprising move; but it makes commercial sense, argues e-commerce fulfilment expert ParcelHero Head of Consumer Research, David Jinks MILT. ‘Amazon is building on its Amazon Fresh grocery service to sell items such as fruit and veg, milk, meats and other perishables in town centre locations. The new stores will be aimed at Fresh customers who want to choose their own produce – a major drawback to online grocery shopping – or pick up their food on the way home from work.’ Explains David: ‘Amazon has already opened physical high street book stores, and pop-up shops highlighting its range of electronic goods. It’s move into physical food stores – reported first by the Wall Street Journal – reflects its concentration on winning a wider share of the grocery industry in the US and UK. American and British shoppers are rapidly moving their weekly food shop online; meaning the regular visit to the supermarket will soon be a memory – leaving many superstores as white elephants. In contrast convenience store sales will grow rapidly as consumers look to supplement their weekly food home deliveries with purchases of fresh items from handy local stores on the way home from work.’ The new Amazon convenience stores will be aimed at Fresh customers; who will probably use their mobiles to purchase items; possibly supplemented by touch screens around the stores. Drive in locations for online grocery pick-ups are also thought to be under development. The first of Amazon’s ‘Project Como’ grocery stores is already reported to be under […]