Amazon guarantees 30-minute supply with its new Amazon Now service. We put it to the check — dwell on the GeekWire Podcast — with assist from Michael Levin and Josh Lowitz, co-founders of Client Intelligence Analysis Companions and two of the sharpest Amazon watchers we all know.
Whereas we watch for our order of yogurt, blueberries, and flossers (lengthy story), Levin and Lowitz clarify why Amazon closed its grocery shops, what its huge future 225,000-square-foot superstore in suburban Chicago might imply, and why Amazon’s actual play is turning into the final word comfort retailer.
“They’ve completely rewritten a lot of retail, and I don’t suppose they’re accomplished,” Levin mentioned. Amazon has basically substituted its logistics operation for its bodily retail presence, with properly over half of orders now arriving identical day or subsequent day, up from a small fraction 5 years in the past.
In different phrases, don’t take the shop closures as capitulation.
“Their investments in logistics are working, and I wouldn’t count on them to take their foot off the fuel in any respect,” Lowitz mentioned. “They’re not scared of constructing errors.”
Plus: Take a look at your Amazon information in our trivia section. Will Josh and Mike get it proper?
Associated tales and hyperlinks:
CIRP E-newsletter: Amazon Report on Substack
CIRP: By Closing Shops, Amazon Goes All-In on Supply
GeekWire: Amazon closing all Amazon Recent and Go shops to concentrate on Entire Meals and grocery supply
Bloomberg: Amazon Dethrones Walmart as World’s Greatest Firm by Gross sales
“Be taught and Be Curious,” the brand new podcast with Doug Herrington, the Amazon Worldwide Shops CEO.
Audio enhancing and manufacturing by Curt Milton.
