• Forbes has a piece in which it reports on a Cadent Consulting Group prediction “that private labels will ‘steal’ as much as $64b from the nationally advertised brands in the next ten years, rising from 17.7% of the CPG/food market in 2017 to 25.7% in 2027. The group further predicts that Amazon, including its Whole Foods 365 Everyday Value brand, with an estimated $2b in sales added to Amazon’s $2b grocery private label sales in 2017, will grow to $20b by 2027.”
In addition, the story says, “A recent study by Gartner L2 delves more deeply into Amazon’s ambitious private label brand strategy across all its offerings, which in sheer numbers is led by its home-grown clothing, shoes and jewelry brands, accounting for 86% of Amazon’s private label brands. In that study, the authors ask the provocative question, ‘Do first-party and third-party sellers have any hope in competing against Amazon’s private label brands?’”
• Reuters reports that Amazon made an unsuccessful informal attempt to buy upmarket British supermarket chain Waitrose late last year.” This was after Amazon bought Whole Foods in the US for $13.4 billion, and before Walmart announced that it was selling about 60 percent of its UK-based Asda Group to Sainsbury.
While Waitrose has denied the discussions, sources characterized the conversations as “enormously informal.”
In addition, the story says, “A recent study by Gartner L2 delves more deeply into Amazon’s ambitious private label brand strategy across all its offerings, which in sheer numbers is led by its home-grown clothing, shoes and jewelry brands, accounting for 86% of Amazon’s private label brands. In that study, the authors ask the provocative question, ‘Do first-party and third-party sellers have any hope in competing against Amazon’s private label brands?’”
• Reuters reports that Amazon made an unsuccessful informal attempt to buy upmarket British supermarket chain Waitrose late last year.” This was after Amazon bought Whole Foods in the US for $13.4 billion, and before Walmart announced that it was selling about 60 percent of its UK-based Asda Group to Sainsbury.
While Waitrose has denied the discussions, sources characterized the conversations as “enormously informal.”
- KC's View:
