fbpx
QQQ
+ 4.56
320.86
+ 1.4%
DIA
-1.13
311.07
-0.36%
SPY
+ 1.49
381.33
+ 0.39%
TLT
+ 1.06
150.82
+ 0.7%
GLD
+ 0.19
173.70
+ 0.11%

Amazon To Put Roots Down With Bookstores

by
February 3, 2016 9:00 am
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More
Amazon To Put Roots Down With Bookstores

E-commerce giant Amazon.com Inc. (NASDAQ: AMZN) has been blamed for falling sales at brick and mortar competitors like Barnes And Nobel Inc. (NYSE: BKS) and Macy’s Inc. (NYSE: M). The company’s dominance in the retail market was often attributed to the convenience of online shopping, but now it appears that Amazon is going back to basics by opening its own line of brick-and-mortar bookstores across the US.

Growing Number Of Bookstores

According to Sandeep Mathrani, Chief Executive of General Growth Properties Inc. (NYSE: GGP), Amazon is planning to open between 300 and 400 bookstores in malls across the US. So far, Amazon has only opened one store in Seattle, but Methrani’s remarks suggest that the firm is planning to expand on that concept. Amazon has already started creating a presence in shopping malls with kiosks in Westfield Corp. shopping centers, but the bookstores would mark a much larger step for the company.

A Good Strategy?

So far, Amazon itself has made no comment regarding plans to open up bookstores, so it is unclear how Methrani got the 300-400 store figure. However, many say that the idea of expanding into shopping malls makes sense. At its Seattle location, Amazon offers a wide variety of books that have been curated using the firm’s huge database of customer information. Online and in-store prices are the same, so Amazon is able to retain its competitive price advantage.

Faster Than Shipping

One of the biggest draws to having a brick-and-mortar store is immediacy. While online shopping has gained popularity and shipping choices are getting faster and faster, customers still value being able to enter a store, look at a product and take it home immediately. That’s what has kept brick-and-mortar retailers afloat despite the online revolution, and Amazon is eager to gain access to those customers as well.

Posted-In:

News Top Stories Markets

Related Articles

Why The Best Is Yet To Come For Esports

2020 will go down as a banner year for esports.  In terms of engagement, time spent watching esports on platforms like Amazon.com Inc (NASDAQ: AMZN)-owned Twitch rose to an all-time high last year as gamers sheltered in place.  read more

Amazon Faces Investigations In Connecticut Over Anti-Competitive Practices In E-books Business

The anti-competition investigations against Jeff Bezos’ Amazon Inc (NASDAQ: AMZN) have now spilled over into its e-books business in Connecticut, accordin read more

33 Blue Chip Companies That Are Suspending Campaign Donations After Capitol Insurrection

The riots at the U.S. Capitol have prompted a number of high-profile companies to suspend or review their political donations. Some companies have specifically said they would no longer be financially supporting Republican politicians who protested the certification of President-elect Joe Biden’s November victory. read more

Amazon Follows Twitter In Removing QAnon Related Products

Big tech continues to take measures to deter further unrest after the Capitol Hill  read more