Saturday, February 25, 2012

Amazon PlansTo Open A Physical Store In Seattle


Online retailer Amazon is gearing up to open a physical store in its hometown of Seattle to showcase its own line of electronics, including the popular Kindle Fire tablet. The test store will be part of a larger project to determine whether Amazon-branded chain stores would be profitable. Amazon, which has thrived from competing on low prices delivered by its unique online model, will be putting more focus on its growing line of Amazon Exclusives items, including books, e-readers, tablets, and accessories. The Kindle and Kindle Fire have been met with tremendous demands and are now sold through retailers like Best Buy and Target. Amazon thinks that it can reach an even wider consumer base through this physical store setup, where potential users can try out and test the e-readers for themselves. At the same time, however, Amazon faces more competition in this arena and potentially loses some of its competitive advantages such as its vast selection and convenience.

Similar models have emerged from online retailers in the past. PSFK has reported on eBay’s pop-up brick-and-mortar store in London a few months ago. According to sources, the company has already contracted the design layout of the retail location through a shell company and is set to launch in just a few months.

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