The Amazon Book Forest

Amazon has recently taken the bold leap from online into the real world with a physical extension of its business. This store will stock 5000 books based off of online ratings, pre-orders, sales, and general measurements of popularity. Amazon’s collection of online data for uses in a physical retail store is an interesting opportunity many retail stores don’t have the capability of doing. A spokesperson for Amazon states that the store, located in Seattle’s University Village, “integrates the benefits of offline and online book shopping”. The store allows shoppers to test out Amazon devices such as the Kindle and Fire TV. This follows a trend of primarily online retailers expanding into physical stores such as Google’s recently opened flagship store on London’s Tottenham Court Road as well as Microsoft stores opening throughout the globe. It will be interesting to see how this venture goes following a decreasing trend in the physical book industry such as the closing of the Robson Square Chapters and a reported £150 million decrease in print book sales over the past 5 years in the UK. However, new studies suggest youth prefer traditional paper books to new age mediums. Amazon will certainly have a huge advantage to other bookstores due to their huge database of consumer information which is constantly being updated. Waterstones, a competitor to Amazon, claimed that with the space Amazon was occupying, they would have stocked ten times the amount of books. However, the restricted inventory may work in Amazon’s favour as it will create a larger inventory turnover rate allowing them to stock based on trends in a short time period.

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