You are using an older browser version. Please use a supported version for the best MSN experience.

Amazon will sell its own food brands to Prime members

Engadget Engadget 15/05/2016 Jon Fingas
© Provided by Engadget

Amazon is no stranger to selling self-branded goods, whether they're tablets, USB cables or baby wipes. However, it's reportedly close to venturing into uncharted territory: food. Wall Street Journal sources understand that the internet shopping pioneer is weeks away from a "broad push" into selling its own brands of perishables. The Happy Belly label would offer everything from cooking oil to tea, while the Wickedly Prime badge would focus on snacks. There's also talk of a wider move into around-the-home products like the Presto line (things like laundry detergent) and Mama Bear (baby-oriented goods, including food).

It's not certain how competitive the pricing would be, but you'd have to subscribe to Prime to even consider it. Amazon historically uses Prime to subsidize the costs of certain services, so it won't be shocking if these foodstuffs offer better-than-usual value.

Amazon isn't commenting at this stage. A move like this would make sense, mind you. While it's more challenging to sell products with expiration dates and potential health worries (what if there's a bad batch?), Amazon can profit in a way that other food makers can't. For one thing, it has much more data about the food that sells through its store than anyone else -- it knows which categories sell, and it could predict flavor trends simply by looking at its internal data. It also doesn't have to run ads or fight for space in grocery stores... heck, it even it has its own food delivery service in some areas. Provided this dry run is successful, there could come a time when Amazon's brands cover all the essentials in life.

Wall Street Journal

More from Engadget

image beaconimage beaconimage beacon