First London's Sunday Times reported that Amazon.com was looking at locations around England to establish stores where shoppers could go to pick up items ordered online.
Shortly thereafter, an Amazon spokesperson said the company has "no plans to open physical stores anywhere in the world."
That would signal the end of the
story but it does raise an interesting question. Should Amazon.com be looking
at opening physical store locations either as a pickup-only option or as a
full retail establishment?
The original Times article reported Amazon was looking to "cash
in on rising customer demand for click and collect services where shoppers
buy online and then pick up their goods from a nearby store."
"Consumers who are fed up with waiting at home for deliveries are increasingly choosing to buy online and collecting goods at a time that suits them," wrote the reporter.
The article mentioned Argos, John Lewis and Tesco as merchants offering online ordering and in-store pickup. Argos, according to the Times, estimates 18 percent of its online sales are picked up in stores. The company expects half the televisions it sells for Christmas to be in-store pickups.
Discussion Questions: Would Amazon.com benefit from having locations for consumers to pick up goods ordered online or is it better off avoiding this strategy? Does in-store pickup give competitors of Amazon.com an advantage?