Guidance for 2020: What will Amazon do next in grocery?

Amazon has been able to capture the low hanging fruit that represents a fraction of the total grocery market. To get to its ultimate goal in grocery, however, it will have to go after the business the big players currently own.

We expect Amazon will likely focus on three areas over the next couple of years as it works on improving its offer and operations to earn the role of primary grocery provider for more US households:

1. Leveraging Prime to attract more customers

2. Building out strategically placed physical locations

3. Optimizing its product mix between national brands and private label