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Internet retailer Amazon.com Inc. has started selling groceries on its Web site, a cautious step into a business that was one of the biggest casualties of the dot-com collapse.
Amazon Starts Selling Groceries Online [pcmag.com]
Would be interesting to see if they went down that route. I can't remember the last time I walked into a grocery store - but when you have a delivery driver pick fresh fruit/vegetables, you have to have a lot of trust as that's the quickest way to lose delivery customers.
An interesting choice of products though. Canned fried chicken, Swiss "Stake" and hot dogs all made with soy protein. Sounds yummy.
I guess this could fly, but it's going to be hard to penetrate the market. There's a heck of a lot of competition with existing warehouse clubs, many local and regional online services where you can order everything, not just non-perishables.
But who knows. With Amazon behind it just about anything can work.
Unfortunately the selection seems to be skewed to snacks. How about a greater selection of baby foods, pasta, organic soup and more variety in breakfast cereals?
If you can limit the supply chain (e.g. organic farm delivers to to Amazon directly), Amazon could ship fruits and vegetables to customers more quickly than the neighborhood market. And if Amazon is able to turnover their product quickly, freshness of produce would be a minimized issue.
But buying food in bulk seems nice, especially for restaurants and large families.
Original strategy was to seel only high margin items and to target people who might be willing to spend a bit more to get something of higher quality. It seems with the Amazon emphasis on gourmet and organic, they are looking at a strategy similar to the early Webvan.
I only wish that Trader Joe's would step in.