Amazon has significantly increased the number of private-label brands in recent years, and currently has over 120 of them, according to a new report published by TJI Research last week. That's more than a nine-fold increase since early 2016, SunTrust Robinson Humphrey wrote in a note in June. The firm expects Amazon's private-label business to generate $7.5 billion in sales in 2018 and $25 billion by 2022.
After acquiring Whole Foods, Amazon immediately slashed the supermarket's prices on select food items. Mot recently, it announced that Prime members can enjoy exclusive savings at Whole Foods locations nationwide. In addition Prime members with an Amazon Rewards Visa Card can get 5 percent back on their Whole Foods purchases. (Non-Prime members will get 3 percent back). That's in addition to the 5 percent they already earn on Amazon.com purchases, 2 percent at restaurants, gas stations, and drugstores, and 1 percent back on all other purchases. Amazon also announced free 2-hour Whole Foods deliveries via the company's Prime Now service. Deliveries are available in select cities only.
iPhone Xs, Xs Max offer: Phone Offer: iPhone Xs (64GB) MSRP $999.99; iPhone Xs Max (64GB) $1,099.99. Phone Trade-in: Phone must be unlocked, deactivated & all personal data deleted before trade-in and in good working order; device powers on and there are no broken, missing or cracked pieces. Device will not be returned. Current customers must own trade in device. Credits end at 18 months, early payoff or upgrade, whichever occurs first.
60 Minutes announced on December 1, 2013 that Amazon Prime Air was a possible future delivery service expected to be in development for several more years. In concept, the process would use drones to deliver small packages (less than five pounds) within 30 minutes by flying short distances (10–20 km) from local Amazon Fulfillment Centers. In the United States, the project will require the Federal Aviation Administration to approve commercial use of unmanned drones.
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In a similar vein, Amazon recently started promoting its private-label brands on the pages of competing brands. The complaint some brands made here is that Amazon is getting that advertising space ‘for free.’ But ad space on a highly trafficked site like Amazon is never free. By allocating that space to promote one of its own products, Amazon is by default forfeiting ad dollars from advertisers. Given Amazon’s booming advertising business and how profitable this new division is, Amazon would not be giving up valuable ad space lightly.
And of course all the bad examples are great fun to read (seniors crawling along floors trying to read labels on badly shelved medicine), as are the descriptions of how different groups shop (male vs female, old vs young, parents vs. single, etc.) The whole book is pretty much a commercial for Underhill's company, but it's still informative and fun reading.
Amazon product lines include several media (books, DVDs, music CDs, videotapes, and software), apparel, baby products, consumer electronics, beauty products, gourmet food, groceries, health and personal-care items, industrial & scientific supplies, kitchen items, jewelry and watches, lawn and garden items, musical instruments, sporting goods, tools, automotive items and toys & games.