Amazon has joined the ranks of mass merchant power players, selling everything from digital downloads to consumer electronics, toilet paper, books, and groceries. Its limited face-to-face interaction with consumers belies Amazon’s vast physical presence around the country, where a network of fulfillment centers puts it near to customers. Amazon’s mass market tactics include spreading same-day delivery to more segments of the population.
Although mergers and acquisitions have been a way of life, grocery remains the most fragmented segment of retailing. Albertsons took over the remnants of Safeway’s network, covering much of North America, and Kroger completed its first full year with Harris Teeter stores under its wing. Then, after A&P and its affiliate brands were forced into bankruptcy in 2015, it was ultimately decided to sell off all the store locations to several major chains.
The biggest news was a deal that closed in August 2015—Ascena Retail Group’s acquisition of Ann Taylor and Loft parent company Ann Inc. Ascena paid $2 billion to bring Ann Inc. into a diverse stable of brands that included Lane Bryant, Dress Barn, Maurices, and Justice.
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