September 01, 2020

Store Closures: Microsoft

Last week we learned that Microsoft would close all of their stores (click here).

Yesterday I discussed how e-commerce as we know it is burning down, being replaced by what I call BOAR.
  • B = E-Commerce in a Box (Shopify / Big Commerce / MailChimp / Etsy / Marketplaces).
  • O = O-Commerce ... Huge Omnichannel Brands (Target, Walmart, Best Buy). The pandemic is burning down what is left of o-commerce, which was failing in the first place ... leaving just huge omnchannel brands left to dominate.
  • A = A-Commerce ... Amazon. You pay them to ship merchandise that they ship in their own vans. Less exposure to risk from UPS / FedEx / USPS. A giant chunk of e-commerce.
  • R = R-Commerce ... Recurring Revenue E-Commerce (Netflix, Microsoft, heck, even Stitch Fix / Subscription services could fit here).
Microsoft exits any semblance of unprofitable o-commerce in favor of r-commerce, where they have a digital relationship with 1.2 billion customers.

Times are changing.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.

Make Sure You Measure It

You measure the future value of Black Friday and Cyber Monday customers, right? Right? As long as you are going to burn all of these discoun...