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Sephora has a lot to lose, whereas department stores have other areas they can rely on."Whatever the current threat, one thing is clear: when Amazon decides to turn its sights on the beauty sector, retailers better be ready for the market share battle that will follow.
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The category is too experiential and retailers in the space are too innovative to be steamrolled by the e-commerce giant.
Plus, according to Cinquegrani, Amazon's current brick-and-mortar connections (Whole Foods and Kohl's) just aren't enough to make an impact.
At the end of the day, Amazon is an e-commerce company and beauty is a highly tactile category.
And the choice doesn't surprise many, especially considering the "Since we know the customer is super engaged and is expecting to find these products on Amazon we are committed to delighting her and innovating on her behalf by continuing to add selection," a spokesperson told Retail Dive in an email.The company expects to close around 100 underperforming stores in the reorganization, and it has secured two new loans from existing lenders to keep stores open and stocked.Source → Sears will sell its Die Hard brand auto batteries and tires on Amazon, in an expanded partnership with the e-commerce company.Sears started selling its Kenmore appliances on Amazon earlier this year and rolled out a feature that lets appliance owners control their devices with voice commands via Amazon’s Alexa.Source → Costco is holding its own amid the rise in online retail, booking 10.3% same-store sales growth in the most recent quarter and enjoying a 90% membership renewal rate, the retailer reported.