Discount stores

Amazon considered launching discount stores last year


  • Amazon reportedly planned to open a chain of discount household goods and electronics stores last year.
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Amazon was would have will launch a chain of discount household goods and electronics stores last year, but those plans have been derailed by the pandemic and the debut of its grocery chain Amazon fresh, which forced employees to focus on day-to-day operations.

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Amazon was planning to open a chain of discount household goods and electronics stores.

Insider Information


Amazon had considered opening permanent stores, as well as pop-up locations in malls and parking lots, to store unsold inventory in Amazon warehouses with deep discounts. The stores have reportedly helped the retailer clean up its warehouses and manage excess inventory.

The overview: Amazon operates 96 physical stores and seven pop-up stores under its own brand, and Amazon-owned Whole Foods also has more than 500 grocery stores. Strengthening its physical footprint could allow Amazon to grow curbside pickup, which became more popular during the pandemic. The retailer could also use these stores to facilitate e-commerce execution and combat shipping delays.

Why it’s worth watching: If Amazon implements this plan as the economic effects of the pandemic abate, stores could help it manage excess inventory – boosting revenue – and overcome obstacles to execution. It would also give the e-commerce giant more chances to test payment technology like its stand-alone checkout Solution, biometric payment offer, and smart shopping carts, which could attract more customers: more than half (57%) of the 30,000 survey respondents said they would love to see an Amazon Go or other AI-enabled store coming to their neighborhood , through Pipslay.

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