Amazon: King of the Jungle
With its acquisition of Whole Foods Market for $13.7 billion in cash last summer, it’s evident that Amazon is hungry for a slice of the $668 billion grocery market.
But just how big of a bite does Amazon want to take of the market? And how much of a stake will Amazon, already a major player in several non-food private-branded categories, seek in the burgeoning consumer packaged goods store brands segment, which is reinventing itself with innovative and exclusive offerings every day?
Amazon representatives would not comment on the company’s goals in grocery and private brands for this story, but several industry pundits predicted after Amazon’s purchase of Whole Foods that it was just a matter of time before Amazon ruled the grocery industry. But former Amazon decision maker Brittain Ladd, who left the company recently after working there for two years where he helped develop strategies to expand Amazon Fresh and Amazon Pantry, says that while Amazon has the potential to surpass Walmart and become the nation’s top grocer, he is not so certain the Seattle-based company will attempt to do so.
Through its 460 brick-and-mortar stores received in the Whole Foods deal and its online dominance, Amazon wants […]