WebProNews

Category: Retail & eCommerce

eCommerce, Online Retail & Retail News

  • Panera CEO: Ecommerce Pivot Sparks Dramatic Growth

    Panera CEO: Ecommerce Pivot Sparks Dramatic Growth

    “Close to 60 percent of our sales are coming from e-commerce,” says Panera CEO Niren Chaudhary. “By focusing on servicing customers through our off-premise channels, leveraging e-commerce, and then rapidly innovating we’ve seen a very smart recovery on our brand and also a stronger business model emerging from the pandemic. What’s clearly playing out is the off-premise channel is seeing dramatic growth.”

    Niren Chaudhary, CEO of Panera, discusses how the company has focused on ecommerce and the “off-premise channel” to drive dramatic growth:

    Panera’s Ecommerce Pivot Sparks Dramatic Growth

    Panera is actually emerging quite strongly through the pandemic because we’ve been completely focused on what we have control over. By focusing on servicing customers through our off-premise channels, leveraging e-commerce, and then rapidly innovating we’ve seen a very smart recovery on our brand and also a stronger business model emerging from the pandemic. What’s clearly playing out is the off-premise channel is seeing dramatic growth.

    To give you a sense, our delivery is growing by over 100 percent, drive-throughs are growing by over 60-70 percent, and rapid pickup is seeing strong growth. The off-premise channels are growing very strongly and in some ways compensating for the decline in business on-premise. Pre-pandemic we were probably about 60-40 in terms of off-premise versus on-premise. Now it is predominantly off-premise convenience for our customers as we’re moving in that direction.

    Close to 60 percent of our sales are coming from e-commerce. Brands that are able to leverage their e-commerce strength and pivot very sharply on providing convenience and off-premise are beginning to see a smart recovery.

    It’s All About Convenience, Ecommerce, and Innovation

    There are three levers that we’re working on to get our business back on track: convenience, e-commerce, and then meaningful innovation. Included in that are cool foods, a coffee subscription program, and most recently the flatbread pizza launch. We’re very excited about this because it’s the launch of a new food category at Panera, one that we haven’t had before. It’s a bullseye innovation in terms of what the customer is looking for at this time. Customers are looking for a warm shareable at-home meal solution for their families. The flatbread pizza fits perfectly for that.

    We’re doing it in a uniquely Panera way as you would expect. We’re leveraging the credibility of our breads. We have unique ingredients that are all clean, they’re fresh, we have double blend cheese, bold flavors of our sauces, and it’s stone-baked. Think of this as a pizza that customers love but done in a very unique Panera way. That’s why we’re so excited.

    Panera CEO Niren Chaudhary: Ecommerce Pivot Sparks Dramatic Growth
  • Inflation Only Expected to Last Six Months

    Inflation Only Expected to Last Six Months

    Consumers and businesses struggling with inflation received some positive news, with one expert saying it will only last six months.

    Recent months have seen the fastest-growing inflation rates in a decade, with prices soaring for common items and goods. Many families and businesses have been struggling to keep up with rising prices, with many wondering if/when prices will level out.

    Former Federal Reserve Governor Randall Kroszner has weighed in, saying he believes the current inflation is largely the result of a perfect storm of circumstances, including pent-up demand, large savings people had built up, stimulus-fueled spending and supply bottlenecks, such as the semiconductor shortage.

    Kroszner does not, however, believe the increased prices will be a sustained trend.

    “We’re going to see a lot of price increases in the short-run,” Kroszner said in an interview with Bloomberg. ”The key question is: Are those transitory or are those sustained? I think we’re going to see them transitory for a while. I don’t think they’re necessarily going to be sustained over the year-to-two-year horizon. But over a six-month horizon? I think certainly.”

  • Ready to Drink Cocktails: the Latest eCommerce Trend

    Ready to Drink Cocktails: the Latest eCommerce Trend

    Graduations, weddings, becoming a parent, becoming a grandparent, promotions, anniversaries, vacations, birthdays, a night on the town, and a quiet dinner date at home. What do all of these things have in common?  They all involve the consumption of alcohol.  No matter the occasion, there’s always a reason to have a drink, and since the COVID pandemic, we’re consuming even more alcohol than before.  Even though we could no longer meet for drinks at a bar, overall alcohol consumption actually grew by 14% during quarantine, with the top growth demographics being among women (17%) and millennials & Gen X’ers (19%).  Forty-four percent of Americans began buying their alcohol online which caused a 243% spike in online alcohol sales.  Instacart alcohol orders also grew by 75%. And the emergence of ready-to-drink cocktails are here to serve.

    The pandemic also naturally caused a spike in home bartending, and now we have new Quarantinis to add to our mixed drink repertoire.  Some of these drinks include the Kumquarantini; a mix of rye whiskey, kumquat syrup, lemon juice, saffron liquor, and egg whites.  Or if you want to embrace your inner health nut while consuming your alcoholic beverage, you might enjoy the Kombucha Quarantini, which includes a blend of gin, kombucha, and blackberries.  We also can’t forget this throwback to the great toilet paper shortage of 2020; the Charmin Quarantini, with vodka, cointreau, lime juice, simple syrup, cranberry liqueur, and toilet water (just kidding.) 

    No matter what’s going on in the world, alcohol has been there to help us cope and help us celebrate.  Cocktails have played a big role in human history.  Gin & Tonic (gin, tonic, and lemon or lime) was popularized by the Brits in the 19th century as a health tonic many traveled to India and warmer climates.   Maraschino Cherries became popular in the early 1900’s after a New York Times post in 1910 reported on a young woman who had ordered dozens of Manhattans at a fashionable hotel.  Upon investigation it was discovered that the drinks were still untouched, but all the cherries were gone.  By 1915, the cherries were popping up in drinks and ice creams all over the country.  

    Another interesting bit of cocktail history is that the Spanish flu of 1918, much like the COVID pandemic, also produced it’s handful of cocktails including the Corpse Reviver (gin, cointreau, Lillet Blonde, lemon juice, and Absinthe); the Penicillin Cocktail (Scotch whisky, lemon juice, honey syrup, ginger, and Islay single malt Scotch); and the Medicina Latina (Mezcal, honey ginger syrup, and lime juice.) 

    The Mai Tai was created by Victor J. Bergeron, or “Trader Vic”, in 1944.  It included rum with lime, orgeat, orange curacao, and simple syrup.  However, in 1954, the Royal Hawaiian Hotel began adding pineapple and orange juice to sweeten the cocktail and this new recipe quickly became the standard.  

    And who could forget the Pina Colada?  Created by Ramon “Monchito” Marrero in 1954, this fruity drink includes rum, coconut cream, and pineapple juice.  In 1978 the Pina Colada was named the official drink of Puerto Rico.  

    Although classic drink mixing still reigns supreme, the 2020 pandemic brought a huge boost in the sale of ready-to-drink cocktails.  In fact, sales of these quick drinks rose by 43%.  By 2024, ready-to-drink cocktails are expected to make up 20% of alcohol e-commerce.  

    Someday soon, we may all be headed back to bars and restaurants, but with everyone becoming a bartender at home since COVID, the invention of ready-to-drink cocktails might just be something to celebrate.  We’ll drink to that! 

    Ready To Drink Cocktails
    Via     Cooloo.com
  • Amazon Tackling Waste After Reports It Destroys Millions of Items

    Amazon Tackling Waste After Reports It Destroys Millions of Items

    Amazon is looking to reinvent how it handles unsold or returned inventory, following negative reports about it destroying millions of items.

    An investigation by Britain’s ITV News reported on Amazon’s practice of destroying millions of items a year that go unsold or are returned. The revelation prompted quick and severe backlash, with many using it as the poster child for greed and waste. As ITV News reported, many of the items are perfectly fine and could have been donated instead of ending up in a landfill.

    Amazon appears to be trying to address the problem, with two new “Fulfilment by Amazon” (FBA) programs.

    “Customer returns are a fact of life for all retailers, and what to do with those products is an industry-wide challenge,” said Libby Johnson McKee, director, Amazon WW Returns, ReCommerce and Sustainability. “These new programmes are examples of the steps we’re taking to ensure that products sold on Amazon—whether by us or our small business partners—go to good use and don’t become waste. Along with existing programmes like FBA Donations, we hope these help build a circular economy and reduce our impact on the planet. And we’re excited that these programmes will also help the businesses selling on Amazon reduce costs and grow their businesses—it’s a win for our partners, customers, and communities.”

    “FBA Grade and Resell” gives sellers the option to resell returned items as “used,” while the “FBA Liquidations” program helps sellers recoup some of their loss via Amazon’s wholesale resale channel.

    The company also touted its “FBA Donations” program, which has donated some 67 million goods since its launch in 2019. The company did not, however, touch on why millions of products per year were being destroyed, instead of making their way into FBA Donations.

  • Former Walmart U.S. CEO Sees Virtual Reality As Future Of Retail

    Former Walmart U.S. CEO Sees Virtual Reality As Future Of Retail

    Former Walmart U.S. President and CEO Bill Simon sees technology, such as virtual reality, having a big impact on traditional brick-and-mortar retail, according to CNBC.

    Simon served as President and CEO of Walmart U.S. from 2010 to 2014, giving him a unique perspective on the retail industry. Rather than predicting doom-and-gloom for traditional retail, Simon believe technology has the ability to transform the industry and open all new possibilities.

    Even something as simple as trying on clothes may be revolutionized by technology, such as virtual reality.

    “Could we have virtual changing rooms so that you can just scan an item in a store with your phone and try it on yourself without actually having to go try it on?” Simon said on CNBC’s “Squawk on the Street.”

    Simon believes successful retailers will combine online sales with a brick-and-mortar presence, and cites Target and Amazon as two examples of companies that are making it work.

  • Walmart Ecommerce Business Is Humming

    Walmart Ecommerce Business Is Humming

    “With Walmart’s e-commerce business humming the way it is and the way the company’s been able to integrate it with the store base, with curbside and everything else, this is a tough one,” says Moody’s retail analyst Charlie O’Shea. “This is really setting a high bar for brick and mortar retail and it’s giving Amazon something to really think about.”

    Charlie O’Shea, retail analyst at Moody’s, and Bill Simon, former president and CEO of Walmart, discussed Walmart’s blowout quarterly results:

    Walmart Is Going To Be Tough To Stop

    This is just a phenomenal quarter for Walmart. It’s good on all fronts. It really is an indicator that the consumer is still there. Once we sort through all this COVID stuff the consumer is willing to spend. I’m particularly impressed by Walmart’s operating income. I’ve been watching that for several years and it’s been challenged as they move their business to digital and to e-commerce. Big growth and operating income have been under pressure.

    Walmart grew its operating income by almost nine percent. Even adjusted for currency it is in the mid-teens. That’s phenomenal. Brett Biggs is one of the best CFOs in the country in my view and they manage the company very well. It looks like they’ve been able to get the e-commerce growth under control in a way that can deliver some pathway to profitability. If they can do that they’re just going to be tough to stop.

    Walmart Ecommerce Business Is Humming

    Every quarter it looks like they’re running on all cylinders and now the engine just keeps getting bigger. We’ve gone from an eight-cylinder engine to a 12-cylinder engine. With the e-commerce business humming the way it is and the way the company’s been able to integrate it with the store base, with curbside and everything else, this is a tough one. This is really setting a high bar for brick and mortar retail and it’s giving Amazon something to really think about.

    It’s how does Amazon compete with Walmart not how does Walmart compete with Amazon? With an almost doubling of online revenue for this quarter we’re starting to see this battle really escalate. If you were open you obviously had advantages. That’s not exactly a lightning bolt coming out of the sky. But I think what we’re seeing with the consumer is they have money they’re willing to spend and they weren’t able to spend it for a while because a lot of places weren’t open. Now that things are starting to reopen there’s a lot of pent-up demand here.

    Consumers Are Shifting Spending And Walmart’s Benefitting

    During the early days of the pandemic during lockdowns no one’s buying pants, no one’s buying blouses, and no one’s buying tops because you can’t eat those and you also can’t use them to clean your house. So people had kind of shifted their demand towards the essentials and the consumables. Now they’re moving in another direction and Walmart’s benefiting. They benefited from the early blast of spending and now they’re benefiting as it expands. The margins going up indicates they’re selling a lot of other non-consumable stuff because those margins are lower.

    I also cover the auto retailers and the auto retailers showed an awful lot of resilience so far this year. Q2 numbers for my rated universe were much better than we expected and we didn’t expect them to be that bad. The consumer clearly has money and the stimulus obviously helps the folks that are still employed are out there and still spending. That portends well for Target tomorrow and Best Buy next week. Home Depot also popped a big number today. The essential type retailers are still going to be benefiting.

    Walmart Ecommerce Business Is Humming
  • Is Amazon Destroying Retail?

    Is Amazon Destroying Retail?

    “A set of facts could be put forward that would support that (they are destroying the retail landscape),” says former Walmart CEO Bill Simon. “They’re going through another cycle of it where their CFO in the (earnings) call said we’re reinvesting to drive one-day Prime shipping. That’s going to put more pressure on retailers and give them this Sophie’s Choice. Do I want to go out of business because I’ve lost my sales by not matching them on price? Or, do I want to go out of business because I’ve matched them on price?”

    Bill Simon, former CEO of Walmart, discusses how Amazon uses profits from AWS to prop up operating losses in online retail while in the process, destroying competing retail businesses, in an interview on CNBC: 

    Is Amazon Destroying the Retail Landscape?

    They’re running their business model and they’re just doing a fantastic job of it. Who doesn’t like stuff shipped to their house for free? It’s an awesome business model. It’s going to be increasingly challenging for them though because nearly 70 percent of their operating income came from Web Services. If you filter out the operating income from web services and if you take out the operating income for advertising, then there’s a chunk of it that is made in brick and mortar through Whole Foods, or at least there was because they don’t report that anymore, their worldwide retail business is operating break-even or at a loss. 

    Their international business loses money on $16 billion this quarter in sales. It’s really no wonder that regulators internationally are starting to look at them. A set of facts could be put forward that would support that (they are destroying the retail landscape). Think about it, in North America, they priced at or below cost for many years and didn’t make money. It’s arguable today whether their online business makes money in North America. 

    This Quarter Is the Poster child For Anti-Competitive Behavior

    All the while, Circuit City went out of business, Linens N Things went out of business, Toys R Us went out of business, and then Prime is the driver of it. It went from $79 to $99 to $119. That’s sort of the definition of anti-competitive behavior and anti-competitive pricing. Price below the market and when your competitors start to go out of business you ratchet up your price. This quarter is really a poster child for that. Their North American business grew $6 billion and lost money. Their operating income went down in North America. 

    They’re going through another cycle of it where their CFO in the (earnings) call said we’re reinvesting to drive one-day Prime shipping. That’s going to put more pressure on retailers and give them this Sophie’s Choice. Do I want to go out of business because I’ve lost my sales by not matching them on price? Or, do I want to go out of business because I’ve matched them on price? I’ve not been able to make any profit because they support their retail business with web services. It’s tough to compete with them when they’re not making money and pricing below cost with online retail.

    It’s Not Possible To Do One-Hour Shipping and Make Money

    Who doesn’t love stuff free shipping to your house in two days or one day or in an hour? That’s awesome. I use it all the time. Everybody does. But there are consequences to it. As the expenses go up and the price goes up, eventually, Prime has been going up in price sequentially and has to continue to go up. It’s not possible to ship things to your house in one hour and do it at the same price or cost that can make money in retail. It’s just not possible. The packaging alone, the delivery person walking from the street to your front door, start adding up the cost of all that and you can’t make money on a $3 box of breakfast cereal. 

    So it’s going to be tough. I don’t know that regulators will take that on given the consumers love for it. But if the retail landscape keeps getting impacted and the weaker keep dropping out and it gets down to this battle between the behemoth on the online side and Walmart on the physical side, it gets to be a complicating factor. I think then regulators have to look at it. When that happens it’s hard to tell but this quarter has really kind of the poster child for that.

    Is Amazon Destroying Retail? – Bill Simon
  • Twitter Announces Shop Module, Its Foray Into E-Commerce

    Twitter Announces Shop Module, Its Foray Into E-Commerce

    Twitter is looking to help businesses bring e-commerce to their Twitter profiles with a new feature called Shop Module.

    Shop Module is designed to let businesses showcase their products at the top of their profile page. Businesses will be able to use the feature to create a carousel of their products for people to browse.

    Bruce Falk, Product Lead, Goldbird, described the feature in a blog post:

    The Shop Module is a dedicated space at the top of a profile where businesses can showcase their products. When people visit a profile with the Shop Module enabled, they can scroll through the carousel of products and tap through on a single product to learn more and purchase — seamlessly in an in-app browser, without having to leave Twitter.

    We’re starting small with a handful of brands in the United States. People in the U.S. who use Twitter in English on iOS devices will be able to see the Shop Module.

    Some see Twitter’s announcement as part of the larger evolution of the e-commerce industry.

    “Social commerce solves the agility challenges brands have experienced within other e-commerce platforms,” Eric Dahan, Open Influence CEO/Co-Founder, told WebProNews. “Moving forward, we don’t expect this evolution of e-commerce to slow down. 64 percent of small businesses plan to continue their new e-commerce strategies in 2021.”

    Twitter plans on rolling the feature out to a handful of US-based brands. English Twitter users in the US on iOS should soon start seeing Shop Module.

  • eCommerce at Scale Through Product Configurator

    eCommerce at Scale Through Product Configurator

    eCommerce is growing at a phenomenal rate. On average, 71 percent of consumers express at least some frustration when shopping is impersonal. Because of that, it comes as no surprises that from 2015 to 2018, interest in customized products grew by 2.4 times. The future of shopping is customization—it is no longer just a luxury.  The solution is through the product configurator.

    But let’s take a step back and look at customization in general. 

    There are four approaches to customization and they range from low to high customization. In order from low to high, they are adaptive, transparent, cosmetic, and collaborative. Adaptive means that the product is standardized and designed to accommodate many uses. There is no customer input. Transparent customization is when the manufacturer adducts the product based on customer data. In this, only the function of the product is customized. Cosmetic has customer choices restricted to the final stages of manufacturing. As the name cosmetic implies, only the appearance is changed. And finally, there is collaborative. Collaborative customization creates a truly unique product based on customer preferences. Both function and appearance are customized by the customer. 

    And this is why a business needs a product configurator—especially since not all customization is good customization. Configured products, products produced by product configurators, take the benefits of standard and bespoke products and combine them into a cost-effective and mass-produced customizable product. It has lower costs, high scalability, and low effort. In addition, products are readily available, and are available to both small and large businesses alike. 

    How does a product configurator work? 

    Product configurators are powered by rules. They are built on a product database that includes data such as the features and functions of each part (maximum load, environmental exposure, usable lifespan) and how products work together within assemblies (fastener options, physical measurements, and wire sizes and colors). These rules are in place to make sure that misconfigurations do not happen and that everything works as it should. Configurable parameters include: product size and bore stroke, energy source, materials and finishes, and output power, duty cycle, and RPM. 

    Product configuration is good for business and makes customization scalable. Offering custom products can improve engagement, increases brand loyalty, widens the customer base, reduces work and returns, and grows profits and revenues. By investing in customization, companies are more likely to meet product targets. For example, companies that had no customization reached 64 percent of their revenue goals. Companies that invested in customization efforts, however, reached 72 percent of their revenue goals. Across the table—from quality, cost, and launch date—companies that invested in customization were around ten percent closer to their goals. 

    To find the right configurator, you should look for: real-time pricing, data available early on, 360 degree visualization, and customer experience. Product configurators can vary in complexity for different applications, so you need to find the best one for your business. 

    Take a look at the following visual deep dive to better understand the technology behind the product configurator below:

    An infographic detailing how a product configurator can enable scalable customization.
  • HBO Forces Apple TV Users to HBO Max, Shuts Down Apple TV Channel

    HBO Forces Apple TV Users to HBO Max, Shuts Down Apple TV Channel

    HBO has shut down its Apple TV Channel, forcing users to embrace HBO Max instead.

    Apple TV Channels is the company’s premium channel service, allowing users to subscribe to premium channels and watch them via the Apple TV app. The billing is also handled via Apple’s ecosystem, rather than paying the content channel directly.

    As 9to5Mac reports, HBO had already stopped accepting new subscribers via Apple TV Channels once HBO Max launched. Now the company has even blocked existing subscribers from accessing content, forcing Apple TV users to use HBO Max instead.

    Warner Media clearly sees HBO Max as the future of its streaming efforts. Unfortunately, that seems to mean promoting HBO Max exclusively, even at the expense of partnerships that benefit the end user.

  • YouTube Unveils Super Thanks So Fans Can Support Favorite Channels

    YouTube Unveils Super Thanks So Fans Can Support Favorite Channels

    YouTube has unveiled a new feature, Super Thanks, as a way for fans to support their favorite channels and content creators.

    Like other social media platforms, YouTube is looking for ways to keep content creators happy and loyal to the platform. Its latest endeavor is Super Thanks, a new way for fans to support creators.

    “For creators, building a business isn’t a one-size-fit-all approach,” writes Neal Mohan, Chief Product Officer. “Some may gravitate towards tools like channel memberships while others may double down on Super Chat. At YouTube, we’re always looking for fresh ways creators can diversify their revenue streams. That’s why I’m excited to unveil our fourth Paid Digital Good — Super Thanks. This new feature gives creators yet another way to earn money while also allowing them to strengthen relationships with viewers.”

    The feature appears to already be gaining fans, with some streamers seeing the feature accounting for nearly 15% of their revenue.

    The feature is currently in beta but, with today’s announcement, is now available to thousands of creators.

  • Uber Now Offers Grocery Delivery in Over 400 Cities and Towns

    Uber Now Offers Grocery Delivery in Over 400 Cities and Towns

    Uber has announced a major acceleration of its grocery delivery service, now available in more than 400 cities and towns in the US to Uber and Uber Eats customers.

    The global pandemic saw a dramatically increased demand for grocery delivery services, demand Uber and Uber Eats has benefited from. The company’s recent expansion is its first major one in the US, and more than doubles its footprint. Part of the expansion is a 1,200-store partnership with the Albertsons grocery chain. Albertsons also includes, Safeway, ACME, Jewel-Osco, Randalls and Tom Thumb.

    “This past year has been one of incredible growth for grocery delivery,” Raj Beri, Uber’s Global Head of Grocery and New Verticals “Today nearly 3 million consumers order groceries and other essentials each month through Uber and we’re just getting started. By adding thousands of beloved grocers to our selection this year, we are fast-tracking our efforts to help Americans get everything they need from their favorite supermarket, delivered to their doorsteps.”

  • GoDaddy Online Shops Now Integrate Across Google

    GoDaddy Online Shops Now Integrate Across Google

    GoDaddy online shops will now be able to integrate their products and inventory across Google.

    GoDaddy is a popular web hosting option used by many small and medium-sized businesses. Google has been teaming up with e-commerce platforms in an effort to better integrate their inventory and products across the search giant’s properties.

    “Starting today, we welcome GoDaddy online store customers to more easily integrate their product inventory across Google at no additional cost,” writes Matt Madrigal, VP/GM of Merchant Shopping. “This means that GoDaddy merchants can now get discovered across Search, Shopping, Image Search and YouTube in just a few clicks. With this integration, GoDaddy merchants can upload their products to Google, create free listings and ad campaigns and review performance metrics — all without leaving GoDaddy’s Online Store.”

    The move is good news for small shops, and should help them gain even more visibility. Especially as small companies have increasingly turned to e-commerce to survive the pandemic, the arrangement should help them make the transition even more successful.

  • COVID Has Had Lasting Impacts on the Consumer World

    COVID Has Had Lasting Impacts on the Consumer World

    A new report shows just how widespread the impacts from COVID have been as consumers look toward a post-COVID world.

    Brooks Bell conducted a survey of 700 consumers on a variety of topics, and the results show just how much the pandemic has altered consumer views and habits. The “New Normals in Retail, Travel and Financial Services: Consumer Sentiment Beyond 2020” report offers a number of insights businesses should pay attention to.

    • The report is good news for brick and mortar stores, with 76% of respondents planning to buy in-store post-COVID restrictions. At the same time, curbside pickup is here to stay, with 34% planning to continue using the service.
    • Travel is also looking to rebound, with 70% of Americans eager to travel. Millennials, in particular, are the most eager to do so. Interesting, 20% said safety will be a travel consideration indefinitely, while the single biggest consideration remains price.
    • Banking is another industry set to experience a revival, with in-person banking set to almost double from pre-pandemic levels. In-person banking doesn’t equate to face-to-face banking, however, as a preference for interacting with a human teller dropped 8 points to 38%. Even more telling, online communication in banking was the top choice among 56-74 and the over-74 age groups, dispelling the myth that older consumers are opposed to online banking.

    The full report is well-worth a read and can be found here.

  • Amazon Launches Amazon Scout Development Center in Helsinki

    Amazon Launches Amazon Scout Development Center in Helsinki

    Amazon is launching a development center in Helsinki, Finland, in an effort to boost its autonomous delivery.

    Amazon Scout is the company’s autonomous delivery robot. The size of a small cooler, the robot traverses sidewalks, delivering packages in four US locations. Like many companies, Amazon is looking to expand this further and widen Scout’s usage.

    The company is launching a new development center aimed at supporting Scout and continuing its research and development. The new team will initially consist of two dozen engineers, although Amazon says the team will grow over time.

  • Shopify Announces 0% Revenue Sharing on First $1 Million in Sales

    Shopify Announces 0% Revenue Sharing on First $1 Million in Sales

    Shopify is dropping its revenue cut for developers that earn less than $1 million annually, in a move that rivals other tech platforms.

    Shopify is one of the most popular e-commerce platforms, powering some $120 billion in Gross Merchandise Volume (GMV) in 2020. Until now, the company took a 20% revenue commission, but the company is waiving that for smaller developers.

    Developers who build for the Shopify App Store will now pay 0% revenue share for the first $1M they earn annually on the platform starting on August 1. That’s down from 20%. The $1M benchmark resets annually.

    The same 0% revenue share model will also be available to Theme Store developers. 

    The announcement follows similar moves by Google, Apple and Amazon as app ecosystems are increasingly under scrutiny by regulators. Whatever the motivation, the move will certainly help small developers.

  • Teamsters Vote to Prioritize Unionizing Amazon Workers

    Teamsters Vote to Prioritize Unionizing Amazon Workers

    The International Brotherhood of Teamsters has voted to create a division specifically tasked with assisting Amazon workers.

    Amazon has been the target of increased unionization efforts, efforts which the company has pulled out all the stops to combat. The Teamsters already represent 1.4 million delivery drivers and have been vocal opponents of Amazon’s anti-union tactics.

    The union voted Thursday to create a special division to help workers in Amazon’s logistics businesses, including delivery drivers and warehouse workers. “Special Resolution: Building Worker Power at Amazon” passed with overwhelming support, with 1,562 votes in favor and only nine opposed, according to NBC News.

    “Amazon presents a massive threat to working-class communities and good jobs in the logistics industry,” Randy Korgan, the Teamsters National Director for Amazon, said. “Amazon workers face dehumanizing, unsafe and low-pay jobs, with high turnover and no voice at work.”

    “Amazon workers are calling for safer and better working conditions and with today’s resolution we are activating the full force of our union to support them,” Korgan added.

    Only time will tell if the Teamsters’ efforts will be successful, but the timing is sure to put additional pressure on Amazon as it faces increased regulatory scrutiny.

  • Amazon and Google Under Scrutiny in Britain Over Fake Reviews

    Amazon and Google Under Scrutiny in Britain Over Fake Reviews

    Britain’s Competition and Market Authority is investigating whether Amazon and Google are doing enough to combat fake reviews.

    Fake reviews have become an increasing problem for online platforms and shoppers alike. As online shopping has displaced brick and mortar stores, users rely on reviews more than ever. Not surprisingly, an entire industry has grown up around providing fake reviews to dupe customers into purchasing products they otherwise may not have.

    The Competition and Market Authority is investing Amazon and Google to see if they’re doing enough to protect customers by combatting fake reviews, according to The Washington Post.

    Both companies have said they will continue to work with the CMA and its inquiries.

  • New York Magazine Working With Apple on ‘Journalism Project’

    New York Magazine Working With Apple on ‘Journalism Project’

    New York Magazine Editor in Chief, David Haskell has said his publication is working with Apple on a “journalism project.”

    The news industry has been under siege for years, thanks mainly to the rise of digital news and publications. A number of companies have worked on solutions, one of those being Apple News. 

    Various publications have met with differing degrees of success with Apple’s platform, but it appears New York Magazine has not seen game-changing results. Despite that, it appears the publication is working with on a journalistic endeavor with Apple, which Haskell alluded to in an interview with Women’s Wear Daily.

    We’re working with Apple right now on a journalism project together and that has unlocked some opportunities for us. It seems to be fairly consistent with the larger strategy of thinking about this place as a subscription business, but I don’t think Apple News has been a game changer for us.

    It should be interesting to see what Haskell is talking about, and whether the project it’s working on with Apple will be available to other publications as well.

  • Teamsters May Set Their Sights on Amazon

    Teamsters May Set Their Sights on Amazon

    The International Brotherhood of Teamsters may take on Amazon at a time when the company is aggressively combating unionization efforts.

    The Teamsters are the most well-known union in the US, with a long and storied history. The group also boasts some 1.4 million delivery drivers, putting it on a collision course with Amazon.

    Amazon has drawn significant criticism in recent years for its treatment of its workers, including delivery drivers. As recently as February, the company settled with the FTC for some $62 million dollars over its practice of illegally withholding tips from its drivers.

    The company has aggressively fought unionization efforts by its employees, however, successfully defeating an effort by warehouse workers in Alabama. The Teamsters have already come out swinging against the e-commerce giant, urging the House Judiciary to pass antitrust legislation that would target Amazon.

    On Thursday, the union will vote on whether to make unionizing Amazon drivers its top priority, according to The Seattle Times.

    “There is no clearer example of how America is failing the working class than Amazon,” says the resolution that will be voted on.

  • YouTube Wins Major EU Copyright Ruling

    YouTube Wins Major EU Copyright Ruling

    YouTube has won a major copyright ruling in the EU, one that will have far-reaching impacts on internet platforms.

    The issue revolved around whether YouTube and other internet platforms are legally responsible when their users post copyright content. The EU has been working on copyright reform and Article 17, specifically, would have required online platforms to proactively block copyrighted content.

    The European Court of Justice’s latest ruling, however, keeps things largely the same, with platforms not responsible for what their users post…with one caveat. Platforms will need to promptly remove copyrighted content and block it once it becomes aware of it.

    “As currently stands, operators of online platforms do not, in principle, themselves make a communication to the public of copyright-protected content illegally posted online by users of those platforms,” the EU Court of Justice said, according to Variety.