Elley Symmes, senior analyst at Kantar Consulting, noted that Amazon will need to create a differentiated experience in its new format to have a chance at really shaking up the grocery industry.
She also mentioned that grocers have already been making adjustments so they can continue to compete when Amazon may have more of a share in the food space down the line.
“What you’ve already seen traditional grocers really double down on and invest in is their own data platforms and trying to build out their own ecosystems,” Symmes said. “They can’t match completely what Amazon is doing by any means, but you have them launching their own digital insights platforms ... You have different media platforms that they’re building out to try and get those brand and marketing media dollars and drive alternative profit streams for their businesses.
“These are all more subtle ways that allow them more holistically to be prepared for Amazon’s ecosystem in total,” Symmes said.