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Amazon is the Monster Under Every Consumer Startup’s Bed

via Mashable

Amazon is a business giant that keeps gaining power. It got some extreme power-ups this past summer when it bought Whole Foods, where it began to sell it’s own products like Alexa’s and Echo’s.

There is literally not one category of business that Amazon is not involved in. It has its own grocery service and delivery and also a household section that is so much easier than winding through IKEA.

Amazon is currently in the middle of a bidding war between cities vying for Amazon’s new headquarters location.

Some startups are still trying to keep their heads above Amazon’s floodwaters:

Handy: Cleaning Service

Handy is a startup that gives users on-demand cleaning. It has been involved in different lawsuits and worker battles because it considers the cleaners to be “independent contractors.” That means the company is freed from giving benefits and wages that are protected under labor laws. Amazon is working on their own cleaning service. Amazon said employees “will be traveling and working in customers’ homes ensuring they return to a sparkling clean environment.”

In contrast to Handy, workers for Amazon are given formal employment, including health insurance and stock options.

Smart locks

Amazon created something called Amazon Key, which allows Amazon employees access to your home using a certain key code. Because of Amazon’s customer base, the Amazon Key can be very successful as more and more customers give Amazon personal access to their homes.

Walmart has a similar service for their delivery service, which allows Walmart employees to enter customer’s homes to put away groceries.

With the addition of Amazon Key, Amazon has a better chance of being the only home delivery service to use smart lock technology.

Grubhub

With the announcement of restaurant delivery service, Amazon singlehandedly caused stock in Grubhub to decrease. Grubhub is part of Amazon’s Alexa, where customers can order delivery by speaking to the digital assistant.

However, Amazon could easily edge Grubhub out of the system. In collaboration with Olo, Amazon will be highly successful in restaurant delivery.

Subscription Box Services

A new program from Amazon called Prime Samples is an advanced version of subscription box services like Birchbox and Harry’s razors. Prime Samples has assortments of various items like dog treats, toiletries, and even coffee and tea.

While Prime Samples stays unnoticed on the radar, it can pick up speed and easily beat out most subscription box services. One major aspect of Prime Samples is that it does not work on a recurring monthly basis; customers have the option to order a box whenever they please.

Blue Apron

Similar to Grubhub, Blue Apron was bullied by Amazon this summer after the purchase of Whole Foods.

And to mess with Blue Apron even more, Amazon revealed their own home prep meal kits, giving the startup a run for their money. The launch of Amazon’s own service has not gained that much momentum in it’s short three month life, but the fact that Amazon is involved is threatening enough.

[via Mashable]

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