Amazon has been known for providing products to customers for lower prices and faster shipping than other stores. Exclusively available to users online, Amazon has now decided to interact with customers in the physical world. Their first traditional store is expected to open in NYC during the holiday-shopping season. Presumably, the perfect time to get their new venture underway. In fact, the store will be located directly across from the Empire State Building.
In addition, to now having face-to-face interactions with their customers, Amazon’s new store will function primarily as a mini-warehouse. It will be available for product returns, deliveries within New York, and for pickups of online orders. Of course, in the future they will expand their inventory to showcase their devices such as Kindles and Fire smartphones. Without that, this new store just would’t be complete for the customers.
After so many years, of providing quality service, Amazon now feels the need to advertise the brand even more. The best way to do so would be to open a store right in the center of one of the largest cities in the world. The ideas for service that this company provides need to be publicized and circulated more frequently to attract even more people.
However, Amazon may also suffer a few consequences from this decision. Previously, the company was able to avoid costs associated with retailing, managing inventory, and paying the workers. After the opening of the store, those costs will be inevitable. These extra costs could take a huge amount out of Amazon’s yearly profit.
But despite all the information gathered about this new store being built, it is still unclear as to whether or not Amazon will go ahead with the idea. They will have to calculate several risks and plan the opening of their store carefully. If successful in NYC, Amazon could possibly expand into other cities as well. For now, customers are waiting to see if their shopping takes a unexpected turn this holiday season.