Amazon finds another new business to try

With Amazon’s recent announcement that it’s testing a streaming service for video games, there was some speculation on RetailWire that this is “one category too many” for the giant e-commerce retailer. I disagree:

Amazon’s expansion into new businesses doesn’t appear — so far — to have affected its core brand promise, which is to deliver a wide variety of products quickly at a competitive price. In fact, delivery speed is getting faster: I bought a pair of shoes on Amazon on a recent Saturday that showed up the next day (a Sunday) for about 10% less than I would have paid at Nordstrom. And, of course, shipping was free.

Video games may be a logical extension of Amazon’s streaming businesses, or they may turn out to be a misfire like the Fire Phone. Either way, Amazon is prepared to jump on the success — or pull the plug on the failure — quickly. So I don’t see it as a misfit with bigger volume opportunities such as grocery delivery.

Advertisements

0 Responses to “Amazon finds another new business to try”



  1. Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s





%d bloggers like this: