According to a new article in the Business Insider Amazon wants to build 2,000 grocery stores in the next ten years.
Wow: 200 supermarkets per year.
As a stock clerk who is obsessed about supermarkets this is no easy task; it is admirable non the less in the grocery industry that will probably reach $1 trillion, yes trillion in the next ten years.
There are over 38,000 supermarkets in the US and the competition is fierce, while the profit margins are low and operating costs are high. Amazon Fresh (its brand) will have its challenges.
According to the article, they have studied how grocery stores operate, but it is different in many cases to applying your knowledge and working in one. It is a 24/7 365 days per year endeavor.
Running a supermarket can be compared to a gigantic puzzle with pieces that come off and must be put back in place: they involve, people, grocery items, trucks, pallets, milk crates, merchandising, money to maintain it…. I can fill a 1,000 word blog post with almost everything that is involved to running it.
Amazon will open 10 pilot stores by 2018 in select cosmopolitan cities and 10 order online and pickup your grocery locations.
If they need someone to discuss their supermarket let me know.