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Amazon Founder Wishes to Open Retail Stores

By - Source: CBS News | B 21 comments

Bezos searching for a unique take on competitive brick-and-mortar industry.

Amazon founder Jeff Bezos has expressed his desire for the world's largest online retailer to open its own retail stores.

In speaking with CBS News, Bezos addressed the question of Amazon entering the competitive brick-and-mortar industry. "We would love to but only if we can have a truly differentiated idea. We don't do a me-too product offering very well. When I look at physical retail stores, it's very well served. The people who operate physical retail stores are very good at it."

"The question we would always have before we would embark on such an thing is what's the idea, what would we do that would be different, how would it be better... we don't want to be redundant." he added.

When asked if a retail store came into fruition, would it have any advantage other than simply delivering profit, Bezos stated:

If a hundred companies are doing something, and you're hundred and first, you're not really bringing any value to society. And, typically the business results are not very good for something like that. We want to do something that is uniquely Amazon, and if we can find that idea, and we haven't found that idea yet, we would love to open Amazon stores.

Apple's success is undoubtedly one of the factors contributing to Bezos' desire to open retail stores to sell products such as the Kindle tablet. Apple stores generate the most retail sales per square foot in the United States, with plans to open up to 35 additional stores next year.

 

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  • 9 Hide
    fudoka711 , November 25, 2012 3:58 PM
    Of course Apple stores generate the most retail sales per square foot in the USA...selling gobs of small devices priced around $99-850 in a small store will surely get you that title.

    As for Amazon, I have no clue how they could bring something new/different/radical/unique to the brick & mortar business model, but I would be interested to see what they come up with, if anything at all.

    On second thought, maybe something having to do with same-day shipping? I know they use lockers in staples and are building new warehouses. Maybe they could, at some point, offer consumers yet another way to pick up their stuff. But what do I know xD.
  • 1 Hide
    keyanf , November 25, 2012 4:15 PM
    I do not comprehend.
  • 3 Hide
    aevm , November 25, 2012 4:22 PM
    Right now, Amazon's only competition in my city (in Canada) is Chapters. Chapters' only advantage is the ability to buy something online (at chapters.ca) and return it to a brick-and-mortar Chapters store if it's defect. A physical Amazon store would take care of this. Just one in each city, downtown, small, and it doesn't even have to have anything on the shelves :) 

    They could sell Kindles in the physical stores. Canadian residents have to order those from the USA and pay for shipping and customs fees, and wait a week or two for delivery, and be at home in the middle of a work day to make UPS happy. It would be quite convenient to be able to buy the Kindle locally.

    They could also use physical stores for pick-up orders. Since UPS is such a pain, I'd like to be able to place an order online and pick it up at a physical store when it's ready. Future Shop or Best Buy already do this in my city, and it's very convenient.
  • Display all 21 comments.
  • 5 Hide
    das_stig , November 25, 2012 4:29 PM
    If he's quick, he can make a start in the UK by buying up the hundred odd stores that Comet are liquidating after going bust !
  • 3 Hide
    freggo , November 25, 2012 4:37 PM
    Brick and mortar stores fail left and right because of the online competition and now an online store wants to get into this failing business model?
    Seriously, stick to what works !
  • 2 Hide
    mesab66 , November 25, 2012 5:15 PM
    Yeah. It is odd, but I'm sure they can well afford to test the waters.
  • 0 Hide
    mesab66 , November 25, 2012 5:21 PM
    ...offering a limited, select range in-store, but offer the full range for delivery (at no extra cost for the 'foot travelers'?)
  • -2 Hide
    Anonymous , November 25, 2012 5:54 PM
    lets hope they learn how to pay taxes
  • 1 Hide
    anti-painkilla , November 25, 2012 6:03 PM
    freggoBrick and mortar stores fail left and right because of the online competition and now an online store wants to get into this failing business model?Seriously, stick to what works !


    People still go the 'brick and mortar' stores to look at the products. This is why they need to open stores, they are destroying their competition. But it is their competition that helps them with sales.

    What they need is sales people who don't give a shyt about their commission but more about the the customer getting exactly what they want. Sales people are too pushy with the more expensive stuff and don't listen to the customers. JB-Hifi in NZ has knowledgeable that know the products in their department quite well and actually help you. Hopefully other companies will follow suit,
  • 0 Hide
    clonazepam , November 25, 2012 6:18 PM
    I think the answer is in the name.
  • 0 Hide
    obsama1 , November 25, 2012 6:42 PM
    Amazon is amazing. A physical store would be great. But, what would they carry, other than their Kindle line? A B&M store can't possibly have the selection and variety of Amazon.com.
  • 1 Hide
    ddpruitt , November 25, 2012 6:45 PM
    diycrazylets hope they learn how to pay taxes


    They're not the ones that are suppose to be paying the taxes. YOU ARE!

    Look up the law before making a comment that you put less than zero thought into.
  • -1 Hide
    deftonian , November 25, 2012 6:56 PM
    Zak Islam just had to throw in the Apple bit... He must feel better now.

    Next article to read about how Apple has inspired Quilted Northern because they perfected Sh*t
  • 2 Hide
    Anonymous , November 25, 2012 7:07 PM
    That means you will have to pay sales tax if you have an Amazon store in your state :0
  • 0 Hide
    tbtbtb , November 25, 2012 8:23 PM
    In everything related to electronics & digital media Amazon rules ! especially today with their special Cyber Monday deals on http://bit.ly/CyberM12
  • 0 Hide
    biggiebody , November 25, 2012 8:31 PM
    unfortunately I'm already paying taxes where I live (Texas)
  • 0 Hide
    abbadon_34 , November 25, 2012 8:52 PM
    famous last words....
  • 0 Hide
    livebriand , November 26, 2012 2:47 AM
    Oh the irony...
  • 0 Hide
    Anonymous , November 26, 2012 9:16 AM
    deftonian...

    amazon has managed to evade taxes here in the uk along with many other leeching us companies like ebay & starbucks.

    get YOUR facts straight before you make a fool of yourself again.

  • 0 Hide
    ubercake , November 26, 2012 12:32 PM
    What would Amazon carry in a retail store? Everything (since they sell everything?)?

    Comparing this to Apple stores... Apple is a brand and also a status symbol (even though anyone with the right amount of credit can buy in and many do this way). It's a sense of belonging to some elite club. Owning one of the latest Apple products buys you in.

    This is not Amazon.

    I think opening a retail outlet would be a mistake for Amazon. Amazon's success is based around the online shopping experience and their ability to provide great customer service as well as their ability to handle returns exceptionally. If I buy a pair of shoes that don't fit right, they'll have another pair at my door by the next day while I have 30 days to return the ill-fitting pair. This type of customer service reduces the perceived risk involved with dealing with an online company.

    Retail stores appeal primarily to the baby boomer generation which is increasingly leaving the market as the years go by.

    Now that I think of it, if the Amazon retail outlets can appeal to females, they will be a success.
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