Amazon Private Label Takes on Grocery

In a not at all unexpected move Amazon is continuing its efforts to make its own brands.

Read the full story here on Re/code:

Amazon is going to start selling its own brands of snacks, diapers and detergent — a move lots of traditional retailers have already made.

But Amazon isn't a traditional retailer, so this move could be very meaningful for Amazon and its competitors.

The e-commerce powerhouse will soon begin selling its own packaged goods exclusively to Amazon Prime members under brands like Happy Belly and Mama Bear, the Wall Street Journal reports.

Here is a snippet from the piece:

http://www.recode.net/2016/5/15/11680080/amazon-happy-belly-mama-bear-private-label

Happy Reading,

J.W. Gant

Subscription Box Brands Dominated by Mobile

Are you familiar with the Dollar Shaver Club?  The concepts is simple.  You subscribe to varying level of options and a shaver plus blades is sent to you on a regular basis via subscription service.  Pay more, get more elaborate shavers and blades.

This concept is taking off and is a great example for the direct to consumer approach manufacturer brands need to embrace.

Mobile is dominating in this space and the big names, such as Starbucks and Walmart, are taking notice.  Read on:

http://www.mobilecommercedaily.com/subscription-box-services-dominated-by-mobile-savvy-shoppers-report

Here is a snippet from the piece:

“One key advantage of subscription boxes is that it keeps customers engaged with the brand and often provides a more personalized and curated experience which has the potential to strengthen a customer’s brand loyalty, if it’s done right,” [John Fetto, senior analyst, research and marketing, at Hitwise] said.

Happy Reading,

J.W. Gant

Amazon Launches Private Label Food

Amazon looks more and more like a traditional retailer.  Some rumors previously mentioned opening physical brick & mortar stores, something I think Amazon will do in large numbers eventually, or try to do.  Today is private label food to help their margins vs. the large national brand CPGs (big food).

http://www.usatoday.com/story/money/2015/05/28/amazon-plans-to-expand-private-label-food-products/28088855/

Here is a snippet from that piece:

Amazon is expanding the grocery business by broadening its private-label brand, Elements, into food items, according to a report by The Wall Street Journal.

In December, Amazon launched the Elements brand by selling baby diaper wipes, which are sourced from a vendor, to Amazon Prime members. By paying $99 a year, Prime customers get expedited shipping and access to streamed movies and TV shows.

At the time, company watchers speculated that the brand will be used to launch other products, mirroring the private-label strategy used by other large retailers.

Happy Reading,

J.W. Gant

Best Reading of the Day - Entry 0061 iBeacons, Best Buy and Amazon.com

Three pieces of news and/or articles really stood out to me today.

First up is a piece on the importance of the new "iBeacon" technology Apple introduced in iOS 7 and how it will impact retail:

http://www.mediapost.com/publications/article/213842/why-apples-ibeacon-will-reinvigorate-a-faltering.html

Here is a snippet from that one:

Goodbye, coupon clipping -- say hello to the digital future. Imagine walking into your favorite retail store like Macy's, H&M or Target and instantly receiving customized coupons and promotions sent automatically to your mobile phone. New technology released by Apple will allow just that -- giving advertisers and retailers the ability to transmit personalized offers directly to consumers who want them most -- and advertisers embrace in its potential to reshape and revitalize the retail industry.

That article actually links to a write-up by one of the providers of beacon technology, GigaOM.

http://gigaom.com/2013/09/10/with-ibeacon-apple-is-going-to-dump-on-nfc-and-embrace-the-internet-of-things/

Next is news on Best Buy, the turnaround they've achieved, and their embracing of both showrooming and the mobile platform.

http://www.mobilecommercedaily.com/showrooming-has-not-killed-best-buy-yet

Finally news on Amazon.com moving to provide private label products similar to what supermarkets have been doing for decades now.

http://allthingsd.com/20131119/amazon-expanding-its-own-private-label-offering-to-supermarket-goods/?mod=atd_homepage_carousel

Happy reading,

J.W. Gant