retail news in context, analysis with attitude

by Kevin Coupe

It may be yet another cautionary tale of what happens when Amazon.com sets its sights on your business.

Reuters reports that Bed Bath & Beyond's profit projections were disappointing to investors as the company said it needs to spend to improve its e-commerce business - a move that comes as Amazon.com "rolls out more incentives for shoppers to buy home goods online.
In February, Amazon launched home furnishings website Casa.com, which some analysts said could represent a potential competitive threat to Bed Bath."

The story notes that "Bed Bath is now spending money on a new e-commerce distribution center, a new data center and a new website and some of the expenses came earlier than previously expected."

To which I would respond: Really?

It is 2012. Amazon has been in business since 1994. And if you are a retailer who waited until now to take seriously the threat it poses, then perhaps it can be suggested that you have been asleep at the switch. At the very least, your eyes have not been open.
KC's View: