Amazon Expanding Their Ecommerce Power To Groceries (VIDEO)


Amazon is going to sell their own brands of snacks, diapers, and detergent. They will be sold exclusively to Amazon Prime users under brands such as Happy Belly and Mama Bear. They sell things like spices, tea, coffee, baby food, vitamins, and many others. Amazon is competing with other stores that have their own brands such as Walmart, Target, and Costco.

Amazon already has been selling their own brands of electronics and computer accessories. This move into selling food is a big deal for the company because the retail growth is entirely online.

Amazon now accounts for about half of all e-commerce sales, now it will be even more. This is a great way to expand the Amazon Prime memberships. Prime customers spend more money on Amazon and are very loyal to the site.

The site has expanded recently to include a streaming video service to compete with Netflix and have added music streaming options to the Prime memberships. They have even recently offered the Prime Video service in a standalone subscription for $8.99 per month.

The first of these products could be showing up on the site later this month or into early June.

Amazon also recently launched their Amazon Video Direct service to compete with YouTube. It will allow users to post their own videos and earn royalties with them.

Robin Lewis, CEO of the Robin Report, a retail strategy publication had this to say about Amazon’s move:

“Millennials don’t give a damn about brands anymore. Brands aren’t a destination for them, and they’re not loyal to brands. They’re looking for new, now, and that comes before the brand name.”

As a Millennial, I don’t care about brands either. I would totally buy my groceries online if they are cheaper.

Here is “The Deal Guy” talking about Amazon deals:

Featured image by Mike McCune via Flickr, available under Creative Commons Attribution 2.0 Generic license.

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