Amazon.com, Inc. (NASDAQ:AMZN), the largest online retailer in the United States launched its own line of consumer products on Thursday.
The retail giant’s new line of consumer products is called Amazon Elements, which is available exclusively for Amazon Prime members. Its first consumer product offerings include diapers and baby wipes.
Amazon Elements offers unprecedented level of product information
The retail giant said Amazon Elements provide information about the origin and when the item was made, and why every ingredient was included in the product and other relevant details.
Sunny Jain, vice president of consumables at Amazon.com, Inc. (NASDAQ:AMZN) said the retail giant leveraged its strength in technology to offer exceptional level of information about its products in just one click of a button.
Jain added that the retail giant’s obsession with customers and motivation to continuously innovate on their behalf led the company to create Amazon Elements. According to him, “The two things customers told us they want are premium products that meet their high standards, and access to information so they can make informed decisions, Amazon Elements offers both. We’re excited to offer Amazon Prime members added selection beginning with diapers and baby wipes.”
Stronger competition
Observers in the retail industry suggested that Amazon.com, Inc. (NASDAQ:AMZN) is starting a direct competition against name-brand retailers selling their products on its website.
Bernstein Research analyst Carlos Kirjner commented that Amazon Elements mean stronger competition for traditional retailers of consumer products. According to him, there is a possibility that they will change their pricing and marketing strategy for their products.
Amazon.com, Inc. (NASDAQ:AMZN) has approximately 40 million Prime members. The retail giant is investing heavily to improve its offerings for its members to maintain their loyalty and attract more shoppers to become a Prime member.
The Amazon Prime was initially a subscription service for free shipping for frequent shoppers on its website. Now, the service includes unlimited video and music streaming and photo storage for its members.
Amazon Kindle e-reader, Fire tablet sales results
Earlier this week, Amazon.com, Inc. (NASDAQ:AMZN) disclosed that its Black Friday sales for Kindle e-readers and Fire tablets on its website increased significantly. The retail giant said the sales for its Kindle e-readers went up nearly four times while the sales of its Fire tablets tripled year-over-year.
