Category Archives: Index

239. Amazon Erodes Old Brands, Invents New Ones

“Behemoth”: A Must-Read Book

This is the third in a series of blogs that riff off of chapters from: “Behemoth: Amazon Rising” by Robin Gaster.

In Chapter 8  – “Amazon the Anti-Brand” –  Gaster posits that AMZ’s:

  1. Infinite shelf space for all brands
  2. Search (by generic category) with search filters and reviews.
  3. And, its Exclusive Brand Accelerator services with infrastructure-for-fees.

All allow new brands – from any plant worldwide – to quickly create interactive access to end-users. And, the total fees for their new, AMZ, end2end channel are less that the costs of trying to crack and push goods through traditional channels. 

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238. Amazon’s Current “Logistics 4.0” Going to What “5.0”?

Just-Out, Must-Read Book: “Behemoth: Amazon Rising” (By Robin Gaster) 

I touted this book to distribution channel brass in last week’s blog. This blog is the first of a few to riff on some of Gaster’s chapters. This week, his: “Chapter 4: Logistics as Leverage”

Logistics 1.0 to 5.0 in 27 Years

Gaster details how Amazon’s logistics evolved to ever-greater from a “1.0” garage, e-bookstore in ’95 to it’s present “4.0”. Then, from 4.0, he speculates on how known trends and experiments foretell “5.0” by 2023 and beyond.

Scanning news on Amazon is good. But, far better is to digest Gaster’s deep investigative work. Your concerns about and ideas for partnering and countering Amazon will leap.

Continue reading 238. Amazon’s Current “Logistics 4.0” Going to What “5.0”?

236. “Minnow Division” v Data-Free Beliefs

The Opportunity/Problem:

Best, customer-profitability analytics provide many insights for distributors. A common opportunity is an accumulated sea of small, unprofitable accounts: Minnows!  Typical group stats: 50% of all accounts that yield only 5% of the gross profit dollars on 18 – 30% of all transactions. Their cost-to-serve expense dollars greatly exceed their margin dollars for a big, hidden loss.

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235. Embrace All-Win, High-Hourly Wages (like Costco)

In the News: “$15 Living Wage” v Amazon and Costco Strategies

The “$15-hour living wage” movement will continue. It will: buy votes; liquidate jobs; and boost McDonald’s prices more than the new, net wages. Although many voters are weak at system-thinking math, Amazon and Costco are not.

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