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Known as the giant shark of fulfillment, Amazon has instilled fear in brands that cannot keep up with its e-commerce offerings and short delivery windows. As mentioned in the L2 Amazon Clinic, the online retailer is investing heavily in fulfillment while being one of the few with resources to excel at this expensive game. L2 Founder Scott Galloway likened Amazon’s strategy to a scuba diver going underwater and dragging everyone with it, knowing it has the biggest oxygen tank.

 

But winning against Amazon is not futile, as BestBuy demonstrated in the 2013 holiday season. The electronic retailer’s e-commerce site delivered packages two days faster than Amazon in November due to its ship-from-store feature launched in June. Best Buy was able to use its 1,000+ stores as warehouses, and ship from the nearest store.

 

This relatively new use of physical stores is not unique to BestBuy, and is reflective of a shift in retail habits. Consumers are increasingly making purchase decisions online and using physical stores as warehouses where they pick up their items or ask for shipments. For more on how brands can respond to this new consumer, stay tuned for our upcoming Omnichannel Retail report.

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