It will drive more Prime members to try the service but even Amazon is not immune to the complications (shorting items, sub-ing items, and having pickers compete with customers) that come with the store-fulfillment model in e-commerce grocery. It will be interesting to see how they manage important issues like slot capacity and if they turn to any other technologies (i.e in store micro-fulfillment) to help give customers (both in-store and online) the best experience.
YouTube will become a significant shopping platform as soon as they can figure out integrations, partnerships and craft a great customer experience. Imagine watching a cooking video and immediately being able to get all the ingredients delivered via your local grocer, or watching a home improvement video and having all the materials shipped to you. If you're spending time on a platform, you'll soon be able to shop from it. I believe this will extend even to Netflix with partnerships with food delivery companies.
Success here will depend on other offerings and initiatives. A 25,000 square foot footprint will not move the dial in the competitive grocery retail landscape. In-store technology, delivery options, micro-fulfillment, and e-commerce growth grounded by a new store layout can.
Perfect way to leverage store footprint. A great tactic to drive traffic into the store and grow spend with existing customers while getting exposure to new customers. They will need to continually invest in the in-store experience and conversion efforts to see a real top-line effect.
They are a little late to the game and the predominant purchasers in this category are Millennials and Gen Z who mainly use specialty platforms such as StockX. If they can expand this authenticity guarantee to other segments such as sports memorabilia they could do well, however this will not launch eBay into becoming a significant player the sneaker marketplace.
Small companies tackling big problems is always great to see. Fridge No More will have the first-to-market advantage with this offer but the giants will be fast on their heels. I see Amazon, Walmart and others being able to get to a similar 30-minute micro-fulfillment offering like Freshippo (Alibaba) soon.
This is an interesting space that will spike during the pandemic but hopefully serve a real purpose for education, aging seniors and more when the world starts to go back to normal. Although it will never replace "being there" it could provide new experiences, culture, and information for those who might not be able to get there due to other constraints post COVID-19.
Used clothing recyclability and sustainability in general have moved from "trends" to important market themes in retail that are here to stay. They speak to the purchasing power of Millennials and Gen Z and will continue to see support via action from brands like Levis and disruptors like LOOP pushing the circular economy agenda.