Posts Tagged ‘Amazon Locker’

Technology Firms Disrupting Their Models?

Thursday, November 16th, 2017

In the past I used to always compare the business model used by the technology companies of yesteryears ie. before 1990 (IBM, HP, Intel, Microsoft, Oracle etc) with those of the new entrants ie. after 1990 (Google, Amazon, Apple, Ebay, Yahoo etc) and notice these key differences:

  • Asset lite: The investments made were purely in technology
  • Ad lite: Very rarely we used to see sales people from these organisations advertising their products

Now I am beginning to compare these firms with the big ones that have emerged after 2000 (Google, Amazon, Apple, Facebook, Uber etc)

The following incidents are very interesting to note:

  • Amazon bought the Whole Foods chain in the US. This concept of buying brick and mortar businesses to compliment the online business is a big deviation from their past strategy (though they have tried opening a few bookstores in the past.)
  • Uber has placed an order for 24,000 driverless cars from Volvo. This deviates from their previous statements that Uber does not own any car but just the technology behind the platform.

This makes me ponder about why the technology companies are disrupting themselves.

Amazon might have to do this – as now they are competing directly with Walmart. Walmart is on an acquisition spree (they bought and have one more chance to conquer the ecommerce space. Meanwhile, another side benefit for Amazon could be the Amazon Locker. Each outlet of Whole Foods will now become home to Amazon Locker.

Amazon Locker – An Interesting Initiative

Sunday, March 22nd, 2015

Amazon has been experimenting a new concept called Amazon Locker, where you could choose an Amazon Locker near you as the delivery address, and go and pick up the items from there.

Amazon Locker


This attempt clearly shows how Amazon is trying to focus on improving the experience at each touch point involved in the eCommerce buying process.

As expected, Amazon has tied up with a few stores in the US, and have also expanded the service to other countries such as the UK.

Amazon Locker

While it will be interesting to see how this evolves over a period of time, if you think of the possibilities of the variations in India, they are endless. Some of them are:

  • An ecommerce giant tying up with India Post, Railways, petrol bunks, retail stores, village level entrepreneurs etc
  • A distribution company setting up their own brand outlets similar to Amazon Locker

It will be interesting to watch this space over a period of time.