Amazon’s first brick-and-mortar location would sell pricier merchandise for its tablet computers, the Kindle e-reader and Kindle Fire. The store will be a test run for Amazon to see if creating a chain of retail outlet stores would be profitable, the Associated Press reported. If it takes off, the company could use it as a way to make up for declines in profits due to manufacturing costs of the Kindle Fire.
According to reports from GoodEReader.com, Amazon hired a designer to work on the store’s look and is hoping to open it by the holiday shopping season. Amazon’s main headquarters are located in Seattle, a city known for its tech savvy market.
“It reminds people that Amazon is out there,” said Rob Enderle, an analyst with Enderle Group, MSNBC reported. He pointed out that both Apple and Microsoft have opened retail stores, and Apple has seen a huge success due to it.
Sources told GoodEReader.com Amazon doesn’t intend to open a huge store “with thousands of square feet,” and will be modeling it after a boutique. The store will be stocked with their entire Kindle line, along with accessories such as cases, screen protectors and USB adapters.
One of the advantages to Amazon opening retail stores could be that some items can be picked up immediately rather than waiting for shipping once they’re purchased online, the AP reported. Still, Amazon’s store won’t be nearly as big as Barnes & Noble, the book retailer that now offers the Nook e-reader.
