But AMZN customers do see it, Michelle.
Nice post.
Most of all, they experience a lack of AMZN competition in terms of the nature of the customer experience. The infrastructure which makes shopping at AMZN rewarding is one of the things in which AMZN has invested enormously.
Firstly, just because BKS invests in an incremental bricks and mortar store doesn't mean it will have what you want when you visit, or that you'll receive 'service with a smile'. So, while BKS may develop muscle vis a vis conventional retail competitors, it may lose you to AMZN in the process.
Secondly, AMZN is broadening itself horizontally by applying the perceived value of its shopping experience to new markets, e.g., gifts, auctions, pharmacy, pets, etc. Relative to a conventional retailing model, this kind of growth dramatically leverages AMZN's competitive edge.
So, while BKS may remain top dog in the world of conventional retailing, this is a high cost, low growth and modest profitability approach. And while anyone can create a Web site, delivering a rewarding shopping experience is another matter.
After all, with at least a dozen free Web site message boards out there, isn't the nature of the experience why you pay to post here?
BAM
P.S. No position in AMZN or BKS. |
