Amazon to enter physical food retail with two upcoming stores in the anvil

Editor | Sep 15, 2020

Leading American company Amazon is coming closer to its hybrid model of ecommerce. IOS had reported the company’s plan to enter food retail. It plans to invest Rs. 3,500 crores in the next five years on outlets where it plans to sell food products.

If everything goes according to Amazon’s plans, buyers will soon be able to drop in to any of the food outlets and pick up products that are either produced by partners or private labels.

Amazon’s foodie ambitions – the story so far

The ecommerce bellwether has established its footprint in the food retail in USA. It opened its first store in Seattle, and has since incorporated technology to simplify the procedure. Shoppers can pick up their purchases and breeze out after paying online through their Amazon account. In some of its recent stores, the customers place their order online. They can then load the products in their vehicle from designated parking spaces; there is no physical store.

Amazon has always thought of innovative ways to marry physical and online retail. Way back in 2014, the company offered its customers the convenience of picking up their orders from local kirana stores. It then floated the concept of Udaan, where local stores hosted Amazon on a commission basis. Its intention has always been to capture the non-tech shoppers chiefly from tier 2 and 3 cities, who have not adapted to online shopping.

Some worry if the company might be stepping outside the lakshman rekha that the FDI drew recently. Amazon’s legal team had better be up to date on the latest ecommerce regulations to avoid subsequent heartbreak.

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Editor team is specialized in introducing the marketplace content targeting the Indian online sellers. They plan and coordinate to bring the appealing content for the small businesses on how to partner with the e-commerce sites like Amazon and Flipkart and strategies for improving their online business. 

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