News that Amazon UK have a deal to supply Mexican foods to the UK market, begs the obvious question as to how soon they will want to establish a Bricks & Mortar presence?
Mexgrocer.co.uk will sell 100 products, such as margarita mix and chilli sauce, on Amazon.co.uk, adding to thousands of dried foods on the Amazon site.
The online retailer has been expanding its Amazon Fresh service, which delivers fresh groceries to customers’ doors, across the US in the past year, and is believed to be considering bringing it across the Atlantic.
And, given the issues Morrisons are dealing with, coupled with the Ocado link and a market capitalisation of £5.48bn, would an acquisition be totally out of the question?
Mexgrocer.co.uk will sell 100 products, such as margarita mix and chilli sauce, on Amazon.co.uk, adding to thousands of dried foods on the Amazon site.
The online retailer has been expanding its Amazon Fresh service, which delivers fresh groceries to customers’ doors, across the US in the past year, and is believed to be considering bringing it across the Atlantic.
And, given the issues Morrisons are dealing with, coupled with the Ocado link and a market capitalisation of £5.48bn, would an acquisition be totally out of the question?
1 comment:
Amazon model is pure-play. The beauty of its unmatched value chain is no bricks and mortar retail. Why buy Morrisons when you can squeeze the life out of Tesco? More likely: Amazon will buy Ocado. Ocado are doing the hard yards and building the UK fulfilment capability Amazon need. The roll out of Amazon Fresh, being tested in Germany, into the UK will tip up the grocers. Again, Morrisons are in decline - why would you hitch your sports car to a broken down bus - it will only slow you and distract. Expect the Mike Coupe coup - JS to buy out Morrisons probably post a leveraged separation of the JS property portfolio - and put huge pressure on Tesco as they will be neck and neck for the number one spot for now....but don't blink Amazon are going to rip the industry to shreds
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