Amazon now trying its luck in private label perishables

Posted On 14 Jul 2016
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logo_amazonSEATTLE, USA: Seattle-based e-commerce giant Amazon is now trying its luck in the grocery market. The company, mostly known for its speedy delivery of books and electronics, has debuted its first private label groceries including Happy Belly coffee and Mama Bear baby food, the The Wall Street Journal and Progressive Grower report.

A report from Carbonview reveals that brick-and-mortar grocery retailers risk losing sales to the e-commerce empire with two in five consumers responding that with the launch of Amazon’s private label groceries they would shop less frequently from grocery stores.

The traditional grocery store, however, provide benefits including consumer experience, consumer service offerings and strong brand relationships. Moreover, after years of food-safety scandals there’s a lack of confidence among consumers in the food industry to provide food that is safe to eat.  A growing number of shoppers only feel comfortable buying groceries they can inspect in person.

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