Amazon is currently the market leader in the online retail market and doesn’t let its customers down in improving their service quality level and making it easy for them. Amazon came up with the new addition to their physical retail venture known as Instant Pickup and as the name suggests in this service the customer can pick up their order of some products in less than two minutes after making the purchase online. They have already initiated this service at some location which includes five colleges’ campuses in different locations and expects to increase more within the city area by the end of this year. Through this service, the retail online giant is trying to cut down on the wait time which the customer spends after ordering their products and receiving them.
This is a very strategic move taken by the online retail giant in order to ensure they don’t lose any customers who cannot afford to wait for some small products like the phone charger or small electronic items which they could possibly purchase from the physical retail store against the online service. This is one area wherein the physical retail store still has an edge over the online market to make the goods available to the customer immediately. Through this service, the company is trying to cover even this aspect and increase their customer base. These impulse buyers tend to make the purchase at the physical retail store even though the price might be higher than online store due to the urgency and immediate need of the product. This additional service to the customer tends to increase the number of these impulse buyers and tend to shop online instead of visiting the physical store.
The instant pickup service will have certain pickup points wherein the Amazon employees would take the orders of the customers and keep them in a locker. These lockers are closed with a code which would be sent to the customers after the purchase is completed through instant pickup service. Then the customer can open the locker with the unique code sent to the customer and receive their goods instantly. It is expected that the overall costing would be cheaper than the traditional service provided by the company and would include a wide range of products in the list. Currently, these instant pickup points are started in Los Angeles, Atlanta, Ohio, and Columbus to name a few. The company has also taken the strategic decision of acquiring Whole Foods in order to enter the grocery market.