Phillip Duffy, Nathan Fisher,
Brett Huey, Hillary Joiner
http://www.youtube.com/watch?v=mwLjK7JNeFk
• Amazon has been at the forefront of
internet innovation since its conception in
1995.
• Now Amazon is venturing into our...
• AmazonFresh is a grocery delivery service
that allows our customers to conveniently
order their groceries online using a...
• This industry has been around since the dot-
com bubble, but died when the bubble burst.
• AmazonFresh is in the midst o...
• AmazonFresh requires that a customer have
internet access.
• Based on our research, the highest
percentage of the U.S. p...
• AmazonFresh offers products from all areas
of a traditional grocery store.
• We have 18,000 items for purchase.
Includin...
• The grocery store is a physical experience.
• The grocery store is a social experience.
• These experiences are difficul...
• The last minute shopper
• Time constraint for delivery
• Competitors using Click & Connect
• Razor thin margins on grocery items
• Industry giants driving down already low
prices
• Will users be willing to pay a m...
Industry
Competitors
Potential
Entrants
Buyers
Substitutes
Suppliers
Strengths
-Experienced decision
makers
-Kiva Systems robots
-Solid Triple Bottom Line
Weaknesses
-Lacks physical experienc...
We have three different solutions to three
different problems in order to push the success
of AmazonFresh forward.
•Amazon...
• Partner with American Express to create the
AmazonFresh Farmers Market, much like the
American Express “Small Business S...
• Pros
• Products are already
centrally located so moving
them to the area is quick
and easy.
• The locations (Santa
Monic...
• Partner with our Kiva Systems Robots to address
delivery time issues by building efficient and
customer friendly store-f...
• Pros
• Many customers find that
AmazonFresh delivery
times can be inconvenient
for their area.
• Orders can be fulfilled...
• AmazonFresh Neighborhood Association
addresses the $299.00 price tag behind
AmazonFresh Services.
• Utilizes social medi...
• Pros
• Named for bringing people
together through social
media to address the cost
of AmazonFresh.
• Provides a membersh...
Do you agree? What are your
thoughts, suggestions, and questions?
Cuatro Burros
Cuatro Burros
Cuatro Burros
Cuatro Burros
Cuatro Burros
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Cuatro Burros

  1. 1. Phillip Duffy, Nathan Fisher, Brett Huey, Hillary Joiner
  2. 2. http://www.youtube.com/watch?v=mwLjK7JNeFk
  3. 3. • Amazon has been at the forefront of internet innovation since its conception in 1995. • Now Amazon is venturing into our next frontier: AmazonFresh.
  4. 4. • AmazonFresh is a grocery delivery service that allows our customers to conveniently order their groceries online using a computer or a smartphone. • We initially offered our service to the residents of Seattle in a beta-test in 2007. • On June 10, 2013, AmazonFresh expanded to Los Angeles.
  5. 5. • This industry has been around since the dot- com bubble, but died when the bubble burst. • AmazonFresh is in the midst of reviving this dead industry. • Imagine our world in the future. It seems inevitable that brick-and-mortar grocery stores will be a thing of the past.
  6. 6. • AmazonFresh requires that a customer have internet access. • Based on our research, the highest percentage of the U.S. population with internet access are college graduates between the ages of 25-40. • We also see a market for elderly. People age 55 and older are increasing their connectivity.
  7. 7. • AmazonFresh offers products from all areas of a traditional grocery store. • We have 18,000 items for purchase. Including household name brands, as well as farm-to-store specialty products. • We buy our goods directly from manufacturer.
  8. 8. • The grocery store is a physical experience. • The grocery store is a social experience. • These experiences are difficult to replicate online.
  9. 9. • The last minute shopper • Time constraint for delivery • Competitors using Click & Connect
  10. 10. • Razor thin margins on grocery items • Industry giants driving down already low prices • Will users be willing to pay a membership fee? • Can we profit from groceries alone? And how large must orders be? Some shoppers go 2-3 times per week.
  11. 11. Industry Competitors Potential Entrants Buyers Substitutes Suppliers
  12. 12. Strengths -Experienced decision makers -Kiva Systems robots -Solid Triple Bottom Line Weaknesses -Lacks physical experience -Lacks social experience -Last minute shopper Opportunities -Delivery density -Membership fees -Social media Threats -Slow expansion -Low profit margins -Substitutes
  13. 13. We have three different solutions to three different problems in order to push the success of AmazonFresh forward. •AmazonFresh Farmers Market •AmazonFresh Stow and Go •AmazonFresh Neighborhood Association
  14. 14. • Partner with American Express to create the AmazonFresh Farmers Market, much like the American Express “Small Business Saturday.” • Addresses problems facing the perception of freshness and physical and social events that are associated with brick-and-mortar stores. • Focus on neighborhood central points that are easy for customers to get to. • Helps sell the membership fee requirement to unsure potential customers.
  15. 15. • Pros • Products are already centrally located so moving them to the area is quick and easy. • The locations (Santa Monica Pier and Seattle Waterfront) are popular destinations for customers and potential customers. • Encourages social and physical interaction with neighbors and individuals that are utilizing AmazonFresh creating a • Cons • Foot traffic is not only constant by locals but visitors are present as well. • Identifying AmazonFresh Customers- there must be an expensive way to ensure that they are treated and thanked for being members. • Mother Nature can easily call off the entire event- requiring relicensing to utilize the area and event planning.
  16. 16. • Partner with our Kiva Systems Robots to address delivery time issues by building efficient and customer friendly store-front kiosks. • Addresses problems with inconvenient AmazonFresh delivery times • Environmentally friendly and cost conscious.
  17. 17. • Pros • Many customers find that AmazonFresh delivery times can be inconvenient for their area. • Orders can be fulfilled the night before and placed at the kiosk for pick up in a convenient neighborhood area. • Cut cost of spending on gas with delivery trucks (emissions) and saves money by not requiring a driver. • Cons • Property Cost: Although we utilize a space the size of a delivery truck, the property cost could be astronomical (areas served). • Last Minute Shopper: This solution still does not address the last minute shopper who ultimately might need a product. • Technology: While store front kiosk in Asia are popular, we must address kinks that may potentially arise in the system.
  18. 18. • AmazonFresh Neighborhood Association addresses the $299.00 price tag behind AmazonFresh Services. • Utilizes social media to show the cost benefits of becoming a member of AmazonFresh.
  19. 19. • Pros • Named for bringing people together through social media to address the cost of AmazonFresh. • Provides a membership to the premium services provided by AmazonPrime. • Attracts new and potential customers by breaking down the cost to $25.00 a month. • Cons • Unsatisfied customers might not find value in the service that we offer against the cost • Can be seen as trying to cut down a local business with the identification of Amazon.
  20. 20. Do you agree? What are your thoughts, suggestions, and questions?

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