Just read this ,and i thought of you ( and me ) thoughts ? too obvious ?2 Aug 2023 18:24
Amazon.com Inc. is launching the biggest overhaul of its grocery business since it acquired Whole Foods Market six years ago—revamping stores, testing new highly automated warehouses and, for the first time, offering fresh-food delivery to customers who aren’t Prime subscribers.
In a move likely to play well with shoppers, the company also plans to merge its various e-commerce supermarket offerings—from Whole Foods, Amazon Fresh, Amazon.com—into one online cart.
The changes, which will roll out in the coming weeks and months, mark the Seattle-based company’s latest effort to grab a bigger share of a US grocery market that UBS Group AG analysts estimate is worth $1.5 trillion. The tech behemoth has elevated a slate of more traditional retail executives to help. Tony Hoggett, the former Tesco Plc executive leading the charge, has deep brick-and-mortar experience but confronts a landscape dominated by the likes of Walmart Inc. and Kroger Co
But the company has been trying for years to figure out how to profitably sell fresh food, starting and killing a range of initiatives. Delivering meat and produce is logistically challenging and expensive. Two people familiar with the situation, who requested anonymity to discuss an internal matter, say Amazon required a grocery order of about $115 to break even in 2010, on average. A decade later that break-even point was still $90 to $100. Hoggett says the company doesn’t track delivery economics using a single figure because of differences in order speed and types of trips, but he says the company had made “big steps” in building a more efficient home delivery business.
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