Amazon Sets its Sights on yet Another Industry
Amazon.com, Inc. (NASDAQ:AMZN) is looking to make headway into yet another industry. The tech company made big news last year when it was announced it would be acquiring Whole Foods and that Amazon would be looking to compete head on with conventional grocery stores. However, you’d be naïve to think that Amazon is content with the number of industries it has a presence in.
On Monday, reports came out that Amazon had begun talks with JPMorgan Chase & Co. (NYSE:JPM) regarding offering checking accounts, particularly for younger customers. In a poll, nearly half of respondents indicated that they would be interested in using Amazon as their main bank account.
The tech giant’s popularity has gained a lot of trust among users and given all the different industries that the company touches, there is a lot of opportunity to integrate banking with its ecommerce marketplace with shopping in Whole Foods, and whatever else Amazon decides to get into.
Consumers like the appeal of a one stop shop for purchases and online services, and that’s where Amazon can set itself apart from a lot of its competitors. While the company isn’t looking to become an actual bank, there are a lot of ways that it can add value to customers by offering financial services in addition to its existing products and services.
Amazon’s stock has recently broke through $1,500 and it has produced returns of 80% in the past year. Investors are attracted to the company because of its constant need to innovate and its endless pursuit of finding new ways to grow.