1. Amazon’s Private Label Success
Amazon’s private labeling business has skyrocketed profit margins for Amazon by essentially eliminating dependency on 3rd-party sellers. This year alone, its private label division is set to produce $7.5B in revenue. While it may be easy to distinguish store brands like Walmart’s “Great Value,” it is much less obvious in an online platform, giving Amazon a major leg up. Amazon currently sells over 70 in-house brands that are seemingly identical to other 3rd-party products. The “Amazon Accelerator Program” will continue to inflate the number of private label brands being created, as the company’s private label business is projected to reach $25B by 2022. Nearly half of US internet users start product searches on Amazon compared with 34.6% who go to Google first. Amazon is, in fact, big, but they only control 5% of all retail sales in the U.S. and only 1% globally. However, by 2020, the number is estimated to increase to 10%.
2. Google Releases Pixel 3
Google has finally released their new Pixel iPhones after weeks of leaks and hints. The designs are similar to the original Pixel model but have wider screens and glass backs. The phone also has a new notch on the front of the phone’s display. The Pixel 3 will be available for purchase starting at $799 along with the Pixel XL at $899. These smartphones will be Google’s first products to hold wireless charging capabilities with the $79 Pixel Stand accessory. The camera has been significantly upgraded and includes a wide-angle lens on the front of the screen for group selfies and a portrait mode-like feature similar to the iPhone X. Google is out to give Apple a run for their money with all of these new capabilities.
3. FDA ‘Okays’ Bose Hearing Aid
The FDA has granted Bose approval to market their Bose Hearing Aid, which does not require any assistance from doctors or professionals. 37.5M adults currently live with hearing loss. This number and the demand for hearing devices will only continue to rise as people age. Because of this, the audio-aid market is projected to hit 9.78B by 2022. The Bose Hearing Aid is very user-friendly and can be personally adjusted via a smartphone app. The app allows users to alter and regulate their hearing aid settings by the convenience of their smartphone. The U.S. approval of these aides has already driven traditional hearing-aid shares down by 10%.
(Source: The Hustle)