The Amazon Fresh closing will usher in a Revolution

Get ready for Amazon 2.0. 

Amazon retail is a saga of repeated failures, right? 

• Amazon Books

• Amazon 4-Star

• Amazon Pop-Up (mall kiosks)

• Amazon Style (apparel stores)

• Amazon Go (convenience stores)

• Amazon Go Grocery

• Amazon Fresh (physical grocery stores)

• Amazon Salon (UK)

But Amazon did nearly $700B last year. 

These 𝘵𝘦𝘴𝘵𝘴 are like flipping you $100 for your kickstarter. 

That said, the future belongs to delivery. 

We won’t wait 2 days when we can have it in 2 hours.

Think I’m wrong? 

Walmart and Amazon agree with me. 

Amazon knows e-grocery is exploding.

Amazon also knows Walmart owns 30% of it. 

𝗖𝗼𝗻𝘀𝗶𝗱𝗲𝗿 𝗪𝗮𝗹𝗺𝗮𝗿𝘁’𝘀 𝗮𝗱𝘃𝗮𝗻𝘁𝗮𝗴𝗲.

1. Walmart can reach 90% of US shoppers in 2hrs. 

2. Walmart owns the mass-market (Oreo and Pepsi).

3. Walmart has the real estate to serve BFY.

4. Whole Foods can’t currently serve the mass market. 

5. Amazon never achieved real grocery brand awareness. 

Amazon is not well positioned for mass grocery.

Amazon is not well positioned for e-grocery. 

At least not yet.

https://www.youtube.com/watch?v=BEZ7zpOcl8U

𝗛𝗲𝗿𝗲 𝗶𝘀 𝗵𝗼𝘄 𝗔𝗺𝗮𝘇𝗼𝗻 𝗶𝘀 𝗽𝗶𝘃𝗼𝘁𝗶𝗻𝗴 𝗳𝗼𝗿 𝗠𝗮𝘀𝘀 𝗚𝗿𝗼𝗰𝗲𝗿𝘆.

1. Consolidate grocery under Whole Foods brand. 

- Amazon Fresh and Go get converted over.

2. Expand Whole Foods footprint by 100+. 

3. Plant Whole Foods Daily Shop where Walmart can’t go.

- Convenience formats in cities, hospitals. 

4. Convert many Whole Foods to micro FC’s.

- Some new formats have more FC than retail space. 

5. Whole Foods powers Amazon’s Same-Day Grocery. 

- Amazon will offer this to 2,300 cities in 2026.

- Amazon plans expansion to 5,000 cities by 2028.

6. Test a mass-adjacent physical format.

- Chicago location expected 2027. 

- I believe it competes more with Sam’s than Walmart.

A wise person spends one hour planning good habits. 

And two hours cutting out bad habits. 

Amazon has always been quick to “Test and Learn”. 

Don’t be so quick to look at Amazon fresh as a failure.

Never, ever bet against Amazon.

How about you?

Do you think Whole Foods could ever serve the mass market?

Who thinks Bezos is still running Amazon?

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P.S. We manage Whole Foods Ads for quite a few brands. 

Is now the time to double down on Whole Foods.

P.S.S. I believe most brands need 2 common strategies: Amazon and Walmart.

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We drive velocity in Sprouts, Whole Foods, Walmart, Target, Walgreens, CVS, Kroger, Sam's, COSTCO, and lots of other retailers.

We grow brands on Amazon.