Big Box Bricks & Mortar
retailers continue to react in conventional ways to Amazon’s growing power,
which opens new markets for Amazon to propel their annual $13 Billion (27%)
growth via V-Commerce.
Thus Amazon is becoming the Death
Star of retailing as we know it today – virtually unchallenged. This continuing
disarray is outlined in Chart 1.
V-Commerce
(Viral-Commerce): To effectively use one customer group, media group
or product group for significant commercial gain.
“AmazonFresh could be the online grocery service that finally
breaks through to critical mass, all helped by its lack of financial burdens
and mastery of logistics.”
“It could also
mean that delivery fees are lower, order size minimums are waived,”
“and it
certainly could mean that home delivery and in-store pick up will
never pay out using traditional metrics and full allocated costs.”
“Finally,
Amazon views steady grocery delivery as a “powerful way to drive
frequent customer interaction,” and opens up avenues to entice
consumers to shop for other products with each order.”
A
conventional fulfillment & delivery system using “Traditional Metrics and
Full Allocated Costs” misses all the above, putting retailers directly in Amazon’s
path, not to mention the loss of infinitely greater “Frequent Customer
Interaction” and the incredible Third Party Profits therein – from the $8.7
TRILLION worldwide retail market – including Groceries, Pharmacies, Retailers
and Restaurants. (US market equivalent is $2.6
Trillion).
Unbelievable
opportunity awaits and most retailers are
still in denial, even Walmart; thus giving Big Box retailers a wide open field to win.
For years we’ve been urging Big Box
retailers to offer: “(1) The Highest Level Convenience; (2)
The Widest Product Choice; (3) The Consistently Lowest Price.”
Most retailers are positioning
themselves as unique and entertaining places to shop. However, when
Amazon’s V-Commerce strategy is in full roll-out, there will be panic in the
executive ranks of most major retailers.
Amazon’s V-Commerce strategic move
in Groceries simply increases these Three Top Consumer Choices further
in Amazon’s favor against you, stealing your customers, sales, profits &
market cap – see Chart 1.
Although dinosaurs were helpless
against the asteroid that destroyed them, Big Box retailers are not helpless
against the coming Amazon asteroid.
Given
the above: you have the knowledge of what’s coming.
Given
the following: you also have the knowledge of The V-Commerce Solution:
A SuperCyberCenter®
Mall with 30 to 60 minutes, 24 / 7 / 365, Rapid Online Order
Fulfillment and 600,000 Third Party Sellers with stores nationwide, including
Grocers, Restaurants, Retailers, Pharmacies – virtually all purveyors of
time-sensitive retail commodities.
It’s a tactic that Amazon and
Walmart cannot match, even though they both have similar
structures.
The Only Thing Left You Have Not Yet Tried ! – A SuperCyberCenter Local
Area Online Mall – Unbelievable, But Now A Necessity – Chart 2 (Best Buy example)
A SuperCyberCenter Mall with your company name on the marquee is similar to
having branding rights to venues such as: American Airlines Center, Best Buy
Theater in Times Square, Staples Center in Los Angeles, FedEx Field in
Washington, Bank of America Stadium in Charlotte, NC; Wrigley Field in Chicago
and MetLife Stadium in New York and myriad similar other V-Commerce marketing
branding examples. Those companies paid a fortune for such prized branding
rights.
Amazon is close to reaching this Pinnacle
of The Consumer’s Choice – but still has a mountain, or more, to climb –
however, Jeff Bezos is trying very astutely and will eventually succeed.
Now is your time.
For the sake of all your
constituents – relent and Test This V-Commerce Solution with us,
starting in Buffalo, NY, lest the Amazon asteroid strikes before you have your
defenses in place.
Respectfully,
Gail
Gail Nichols, Vice Chair
The Now Mall
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