After helping kill off department stores, Amazon plans to open its own

E-commerce giant to launch 30K sf stores in Ohio and California: report

National /
Aug.August 19, 2021 05:00 PM
Amazon CEO Jeff Bezos (Getty, iStock)

Amazon CEO Jeff Bezos (Getty, iStock)

After amassing an e-commerce empire by disrupting brick and mortar retail for the better part of three decades, Amazon is now taking the competition into the real world.

The e-commerce behemoth is planning to open “several” large brick-and-mortar retail locations, similar to department stores, the Wall Street Journal reported Thursday. Averaging 30,000 square feet, the first stores will debut in Ohio and California.

It’s uncertain what the stores will sell, although sources tell the Journal they will likely feature clothes, home furnishings and electronics sold under the company’s private-label brands, such as Amazon Basics.

The news follows a year of stellar earnings for Amazon as the pandemic has pushed customers towards online shopping. In the last quarter, Amazon’s net income increased to $7.8 billion, compared with $5.2 billion during the same period in 2020, according to the company’s earnings.

Department stores, on the other hand, have struggled as foot traffic in malls has declined. Some department stores, like Macy’s, have shifted to opening smaller format retail locations as part of a pivot to e-commerce.

It has previously been reported that Amazon was looking into partnering with mall operators to bring fulfillment centers into empty spaces left behind by big-box retailers.

[WSJ] — Sasha Jones






    Related Articles

    arrow_forward_ios
    LVMH Chairman and CEO Bernard Arnault (right), Dacra CEO Craig Robins and the Louis Vuitton store in Miami’s Design District
    Making it rain in Miami’s Design District
    Making it rain in Miami’s Design District
    RK Centers pays $16M for Winn-Dixie-anchored Miramar shopping plaza
    RK Centers pays $16M for Winn-Dixie-anchored Miramar shopping plaza
    RK Centers pays $16M for Winn-Dixie-anchored Miramar shopping plaza
    Publix-anchored shopping center in Boynton Beach trades for $17M
    Publix-anchored shopping center in Boynton Beach trades for $17M
    Publix-anchored shopping center in Boynton Beach trades for $17M
    10660 Southwest 40th Street (Google Maps)
    Tate Capital sells CVS Pharmacy y más location near Kendall for $16M
    Tate Capital sells CVS Pharmacy y más location near Kendall for $16M
    ARI Financial Group CEO buys Hialeah multifamily-retail portfolio for $42M
    ARI Financial Group CEO buys Hialeah multifamily-retail portfolio for $42M
    ARI Financial Group CEO buys Hialeah multifamily-retail portfolio for $42M
    (Facebook via Wynwood 25 and Joe's Pizza)
    Lease roundup: New York pizzeria opening at Wynwood 25, logistics provider heading to Davie & more
    Lease roundup: New York pizzeria opening at Wynwood 25, logistics provider heading to Davie & more
    Castro Properties President Terri Keogh and one of the Wawa's (Castro, SRS Real Estate Partners)
    Fill ’er up: Two South Florida Wawa gas station convenience stores sell for a combined $22M
    Fill ’er up: Two South Florida Wawa gas station convenience stores sell for a combined $22M
    Amazon CEO Andy Jassy and Amazon founder Jeff Bezos (Getty, iStock)
    Amazon pays $85M for Sunrise fulfillment center site
    Amazon pays $85M for Sunrise fulfillment center site
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...