Archived Could Target Become An Amazon Asset????

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HRZone said:
I believe competition has made both companies better. Our free two day shipping and ship from store were developed due to Amazon's success.

As for joining forces it would be the death of us. Let's not forgot it's Amazon piloting the store where you can checkout from your smart phone. No need for cashier's or salesfloor folks. Unless you are a flow team member there wouldn't be room for any of us.
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They would change the procedure on flow as well and make it a 5-6 person job at most stores. Almost no question.
 
The thing is...rumors come from somewhere. So either this analyst knows something or he is just truly blowing smoke. In any case, the rumor is growing bigger (and becoming more like fact) bc media has run with it.
 
The image that comes to mind is Amazon as a shopper picking thru a bargain bin & looking over the Target piece they've picked out before saying 'Nah' & tossing it back.
 
I predicted this awhile ago, although I didn't think it would happen, but it makes sense. In a nutshell, if Amazon bought Target, they could possibly cut their delivery times in half. (Think of each Target as a Brick and Mortar/Fullfillment Center).

I think it would be a great thing for stores in large Markets, that aren't already saturated by Target Sister stores, and are at major crossroads on major Highways (Mine is one). Stores that are struggling, I could see being turned into strickly fullfilment centers, or outright shuttered, if this was to happen.
 
lmao, right on cue:

Sorry Luddites, Bezos will be king and if you don't think this is totally #awesomesauce you're probably a BLUMPF supporter

This lulzy Y2K-flavored article is a must-read. The basic gist is that we're fucked because my generation will usher in a new era of unprecedented market consolidation, income inequality and wealth capture that will make Gates, Rockefeller and Carnegie look like SNAP recipients. Remember Occupy Wall Street? Yeah I don't either.

As for the antitrust hurdles that Amazon could face, Munster thinks that regulators will be forced to approve the deal once they review the numbers. The only competitor that truly gives Amazon any competition is Walmart with its 11,695 locations and $315 billion in U.S. sales, according to Munster. He says a combined Amazon and Target would have about 2,300 locations and about $176 billion in U.S. revenue based on figures from 2017.
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Imagine being this disingenuous. Why, it's no different than In-N-Out Burger buying out a local greasy-spoon diner. $176 billion isn't that much, he assures us, that's only like 1 dollar for every time I've uploaded a selfie to Instagram

Munster suggests that Amazon would pay around $41 billion for Target with a 15 percent premium on its market cap. That’s only about 8 percent of Amazon’s current market cap.
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"only"

Of course, Amazon would have to make it past the Trump administration’s review of a Target acquisition, and Trump is no fan of Bezos and his newspaper The Washington Post. As recently as last week, the President went on a nonsensical rant about Amazon killing the Post Office... or something.
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Yeah BLUMPF, quit being mean to the corporate baron who dictates columns to his stenographers at the WaPo

Actually all Lord Bezos has to do is wait until the orange meanie is out of office and then it will be full speed ahead on the competitor buyout train. And who needs Walmart, if he can buy out literally everyone else then it's a wash.

And with zero irony, the Gizmodo blogger concludes:

No matter what, in a few years time, we’ll all work for, buy our goods from, and cash our checks with Amazon. Hail Bezos.
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P72fxjO.png


Best enjoy what vestiges of market competition remain while Feudalism v2.0 is still in beta testing.
 
I don't think we read the same article.
It seemed to me that if Mr. Jones had posted it here about 80% of it would have been in the sarcasm font.
I don't think he is any more impressed with the idea of Amazon buying up the market than you and I are (or for that matter, that he blames it on 'your generation').

It is true that 45 hates Bezos but mostly because he owns the Washington Post and they have been hitting 45 pretty hard.
The fact is 45 has made it far easier for acquisitions and major control by single corporations.
Bezos probably wouldn't have any problems buying Target.

If he actually wanted to.
I'm not so sure this isn't a rumor started to drive up their stock price.
 
BigEyedPhish said:
If they do SFS will literally be atleast half the business in all Target Stores.
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I think its a bit of a myth that they are going to turn every store into a DC.

If you've ever been to a distribution center they look nothing like a store. We have maybe 3 loading docks for trailers they have dozens... our backrooms are not the most efficient for shipping.

I could see Amazon refitting the target distribution centers though for sure
 
HRZone said:
I think its a bit of a myth that they are going to turn every store into a DC.

If you've ever been to a distribution center they look nothing like a store. We have maybe 3 loading docks for trailers they have dozens... our backrooms are not the most efficient for shipping.

I could see Amazon refitting the target distribution centers though for sure
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I've been in DC's for other companies though, (just as large), they are all fairly similar. However, with the eaches model others spoke of on this forum (Sorry I forget their names). It sounds like they are trying to reform their backrooms to be similar to small DC.

What pisses me off is we see all of these new Sales Floor Remodels etc, that are literally just being thrown money etc, and I have yet to see them actually create more revenue.

What I would like to see is a complete overhaul/remodel of our Off-site/Logistics/Backroom process that might actually make E2E more efficient, and give IT, AND SFS a more efficient future.

Target is diving head first into E2E, just like they did Target Canada. They may say they are swinging a big stick, but in the end it is all balls, and no shaft.
 
BigEyedPhish said:
What pisses me off is we see all of these new Sales Floor Remodels etc, that are literally just being thrown money etc, and I have yet to see them actually create more revenue.
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I'm not sure I agree. Apparel and Home are two areas we have shown tremendous growth and it's not surprise these are two areas to commonly get a remodel.

You're spot on though the logistics process needs work
 
HRZone said:
I'm not sure I agree. Apparel and Home are two areas we have shown tremendous growth and it's not surprise these are two areas to commonly get a remodel.

You're spot on though the logistics process needs work
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I had both last year, at the same time (Was a Super Fun 7 Weeks, nooooo).

I think a lot of the positive sales, this year, in these new Departments, have to do with Major Launches, and total Re-Branding (Almost all of Softlines). I don't think it is a coincidence that, you mention these two specifically, and both were the most overhauled Brand wise all year.

I am likely more wrong, than right, but that is what I see.
 
Flow Warrior said:
If Amazon wanted to actually complete they would buy them not us. However, they have personal problems of their own.
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Amazon can't afford to buy Walmart, and even if they could, the Walton family still owns the majority of the shares and they'd never go for it. Target is the next best option.
 
Anelmi said:
The thing is...rumors come from somewhere. So either this analyst knows something or he is just truly blowing smoke. In any case, the rumor is growing bigger (and becoming more like fact) bc media has run with it.
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he is blowing smoke according to my source.
 
SFSFun said:
Amazon can't afford to buy Walmart, and even if they could, the Walton family still owns the majority of the shares and they'd never go for it. Target is the next best option.
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You are aware that bezos only owns 17% of Amazon, right? Walmart could buy them.
 
I said this a while ago, but I actually think Amazon should be in the market to buy Target, but this purchase would just be a battle in a larger war (and this is not over the brick and mortar retail space, which is dying).

First, it would make strategic sense. Amazon could have a presence in a physical sense, but this is just a small increase in convenience to the consumer. The real immediate benefit would be a large scale distribution network throughout the country. Can the store function like a DC to supply other retail outlets? Of course not, but they can fulfill the same day needs of consumers (especially when there are multiple facilities like this per major city). It is real estate for Amazon to operate from in a more immediate way.

HOWEVER, the real battle... and I believe is Amazon's real white whale, is the AmazonGo and transaction market. Amazon as it stands functions as a market place in the online arena, and dominates this space. They do NOT have any presence in brick and mortar stores. Why try to have a monopoly on grocery stores where the margins are low (Whole Foods, Target)? The obvious answer to me is so that they can flip these large retailers to supporters of AmazonGo transactions. They want us to use Amazon Accounts to be used to process purchases in every single thing we do. That is my theory.
 
Anelmi said:
The thing is...rumors come from somewhere. So either this analyst knows something or he is just truly blowing smoke. In any case, the rumor is growing bigger (and becoming more like fact) bc media has run with it.
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90% of analyst's jobs are to make some shit up
 
It's called a "Fishing Expedition". When two companies see a mutual benefit for a merger/acquisition, it will often be leaked out through a limited number of sources to gauge the markets response. Neither company addressed this issue which says they are not opposed to the venture. For the most part, most responses were either neutral or positive.

Depending on earnings outlooks and ongoing operational concerns it is possible and practical given the two company's basis for business.

Walmart is still by far the largest retailer out there. I looked into their physical size and they own enough real estate under roof to cover the Island of Manhattan about 1.5 times.

Financially they dwarf Amazon in net income (2016 Sales Data): Walmart $482 billion sales/$14 billion plus net income vs. Amazon $136 billion sales/$2.3 billion net income.
http://www.dividend.com/news/2017/12/29/amazon-versus-walmart-comparing-sales-earnings/
Amazon Inc. vs. Wal-Mart Stores Inc. - http://www.dividend.com/news/2017/12/29/amazon-versus-walmart-comparing-sales-earnings/
http://www.dividend.com/news/2017/12/29/amazon-versus-walmart-comparing-sales-earnings/
Walmart could literally buy both Amazon and Target.
 
No I in Team said:
Walmart could literally buy both Amazon and Target.
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Good post. And although I agree I would at least point out that sales shouldn’t be a measure of cash on hand/value. Just because sales/revenue was high (and much more than Amazon) there’s obviously gross vs. net, and available cash. They may not be able to scrape up the cash to buy one or the other without a little bit (or a lot) of strain. Also, just because they can doesn’t always mean they should!
 
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