The grocerant niche continues to drive top-line growth and bottom line profits within food retailing sector. Two of the world’s largest and most respected companies are now entering direct competition with each other for different reasons.
Two plus years ago Amazon.com launched Amazon Fresh home food delivery. Amazon Fresh stated testing in Seattle, WA and now is operation in both Great Britain and Germany. Amazon with Amazon Fresh may have found the “LAST MILE SOLUTION” that all Etailer’s have been in search of. On the other hand Wal-Mart in a defensive move began a test of home delivery.
Amazon.com has a culture that is “Built to Last” built on an evolution of the retail sector. While Wal-Mart is rooted in a traditional grocery culture; they have utilized technology to outpace the industry in distribution. This trail with on-line delivery will be not different. Wal-Mart will clearly out position Kroger, Safeway and Albertson/Supervalue. Amazon.com and Wal-Mart have seen the future of food retailing and are now in a fight for the consumer to today and tomorrow.
Foodservice Solutions® 5 P’s of food marketing: Product, Packaging, Placement, Portability and Price continue to play a leading role in the development of retail food. Wal-Mart and Amazon.com both understand that food delivery is convenient meal participation, differentiation and individualization.
Since 1991 retail food consultancy Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions® visit http://www.linkedin.com/in/grocerant, twitter.com/grocerant or Facebook Steven Johnson