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Still save the issue. Where is Amazon?

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Amazon has been so successful last year Words almost make me fail.. Except for one area.

Amazon store sales, primarily from Whole Foods grocery chains, fell 15% In the first three months of the year Compared to the same period in 2020. These sales are currently declining for a year.

The numbers from Amazon have gapped holes that make it difficult to know exactly what’s going on. But it turns out that something isn’t working.

Almost four years after Amazon agreed to be huge Transactions to buy Whole Foods And a year after the pandemic that demonstrated the strengths of the tech giant, it’s worth asking two questions. Is Amazon losing in groceries? And why have one of the most ambitious and original companies in the world? Mainly followers, not leaders Is it one of the biggest spending categories for Americans?

What Amazon does with groceries is important to all Americans, even if they have never bought milk or bananas from the company. Consumers and Amazon’s competitors believe it is at the forefront of innovation. But that doesn’t apply to groceries — at least not yet.

Let’s return to the decline in Amazon retail sales. The problem is that these numbers do not include grocery orders that people go online and then receive or deliver at the store. These sales surged during the pandemic of Amazon and its competitors.

An Amazon spokesman told me that adding up all the ways people shop for groceries from Whole Foods, including online orders for pickup and delivery, shows that the company’s sales are increasing. .. However, Amazon does not provide details. This often shows that the numbers aren’t surprising. If Amazon sells far more groceries than it did before the pandemic (as in Wal-Mart and Target), the company is very quiet about it.

This wonders if Wal-Mart’s grocery sales, which increased 9% in the year ended January 31, are growing faster than those of Amazon. That shouldn’t happen given that Wal-Mart is a big leader in Amazon’s grocery sales.

I’ll also say that after a year of click-click mania shopping, it may sound strange. The actual grocery store is still important. Lots. And that’s not a great sign for Amazon.

Scharita KodariStudying shopping and consumer behavior at research firm Forrester recently found that pandemics delve into changing habits and that many are eager to roam the grocery aisles again.

Yes, have many tried grocery delivery? Curved side pickup at the store For the first time during a pandemic, and Some of those habits stick.. However, Kodari wrote in a recent report that “most of the grocery sales in the United States are in stores and will continue.”

According to Kodari, the store is used to navigating and some people miss the old habits. Also, according to Forrester’s analysis, many people are discouraged by order failures, high prices, or other problems with online grocery shopping.

Many companies, including Amazon, Target, and Wal-Mart, also take many items from regular store shelves for online grocery orders. Grocery sellers need their own stores for both direct shopping and virtual types.

Let’s see what happens to Amazon in the coming months. If city dwellers near Whole Foods Store return and salaried workers get their cooked meals again, these in-store sales could recover.

But no matter what Amazon somehow Whole Foods sales Worth paying attention. These are another sign that something is wrong in the 15 years of Amazon’s almost disjointed and unsuccessful strategy in groceries.

Walmart, Regional chain Kroger, And Instacart Uber We are trying out clever ideas to rock the grocery industry.In addition to its unproven technology Skip the cashier line at the store, Amazon’s grocery big move Open a new chain In addition to Whole Foods.

I’m curious about what Amazon does with groceries. But for now, don’t pay too much attention to Amazon in this area until it’s shown that what Amazon is doing is working.



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Still save the issue. Where is Amazon?

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