Amazon Said To Be Eyeing Toys R Us Buildings

As Alanis Morrisette once sang, "isn't it ironic?  Don't ya think?"

There may be many reasons for the demise of Toys R Us.  But one reason MUST be that more Americans are shopping for toys online.  On sites like Amazon.

And now this:  Amazon is reportedly looking over some Toys R Us buildings.

Consider the weirdness:  The appeal of Amazon -  at least, in my mind -  is that you can order in your pajamas from home and get an item shipped right to your door.  Or you can order a gift for that special someone and ship it right to them (gift-wrapped!).  But Amazon is actually INCREASING its brick and mortar presence.

Such a move would let Amazon quickly expand its brick-and-mortar presence, coming on the heels of buying Whole Foods Market Inc. and its more than 450 locations last year. The Seattle-based company also has opened its own line of bookstores and a convenience-store concept.

The initial reports are that Amazon wants to utilize the Toys R Us buildings to showcase its voice-activated product, Echo.  That makes sense to me because I believe smart speakers are THE hot item this year.  Consumers are hearing a lot about them (for example, on WHO Radio as a way of streaming the radio station) but they may be reluctant to try them without a hands-on demonstration.

But why a HUGE building for a SMALL device?  The report continues:

A bigger network of stores would put inventory closer to where shoppers live, potentially enabling quick delivery to e-commerce customers. The space could also serve as a staging ground for grocery delivery from Whole Foods stores. Amazon is already planning to roll out free two-hour service to Whole Foods customers in four cities, including Dallas and Cincinnati.

And there you have it:  a big space to demonstrate a "hands-on" product but also maintain the core function of Amazon's business:  quick delivery.


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