Report Why Amazon Needs Stores to Win in Europe
Following another jump in Q2 results and its fourth Prime Day, Amazon’s success has been mainly an online non-food story to date. But with its Whole Foods acquisition, Amazon now generates 8.1% of total revenues from physical stores and is firmly on course for a multichannel future.
In Europe Amazon Fresh and Prime Now are taking time to establish and reach meaningful volume. Whole Foods has just a handful of stores, in London. Yet Amazon is already building strong relationships with suppliers, and several of its Prime Day bestsellers this year were from FMCG categories.
Its US Whole Foods strategy demonstrates how Amazon can double the benefits of its ecosystem and grow loyalty and volume successfully across channels, leveraging stores to make the flywheel go faster. What are the opportunities in Europe?