Bold Prediction: Amazon to acquire Target in 2018

Predicting the demise of Sears & Kmart since 2017!
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submariner
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Bold Prediction: Amazon to acquire Target in 2018

Post by submariner »

https://www.bloomberg.com/news/articles ... r-predicts

Loup's Gene Munster has issued a bold prediction for 2018: Amazon will acquire Target.

Yeah, you heard that right.

Bloomberg writes:
“Target is the ideal offline partner for Amazon for two reasons, shared demographic and manageable but comprehensive store count,” Munster wrote, noting both companies focus on mothers and families. “Getting the timing on this is difficult, but seeing the value of the combination is easy.”
I mean, there's a valid point, and if one year ago someone said "Amazon will buy Whole Foods", they'd be written off as crazy.

Over the past few years, Amazon has dangled its toes into the brick-and-mortar realm with small markets, bookstores, and university shops, and Bezos is nothing if not flush with cash.

The idea is definitely "out there"... but is it really that far?
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by storewanderer »

Target is a profitable entity. I think this could be good for Amazon for many reasons.

Kohl's seems to be begging for Amazon to buy them...
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by wnetmacman »

submariner wrote: January 2nd, 2018, 5:48 pm https://www.bloomberg.com/news/articles ... r-predicts

Loup's Gene Munster has issued a bold prediction for 2018: Amazon will acquire Target.

Yeah, you heard that right.

Bloomberg writes:
“Target is the ideal offline partner for Amazon for two reasons, shared demographic and manageable but comprehensive store count,” Munster wrote, noting both companies focus on mothers and families. “Getting the timing on this is difficult, but seeing the value of the combination is easy.”
I mean, there's a valid point, and if one year ago someone said "Amazon will buy Whole Foods", they'd be written off as crazy.

Over the past few years, Amazon has dangled its toes into the brick-and-mortar realm with small markets, bookstores, and university shops, and Bezos is nothing if not flush with cash.

The idea is definitely "out there"... but is it really that far?
I'm torn. I know Target is ripe for a takeover due to their internal dysfunction, but I'm not sure the feds would allow it.

I could, however, see Amazon as the savior for Sears Holdings. Think of this: a somewhat fully functional network of stores and distribution, ready made and in need of improvement. It could work, and retail wouldn't lose its most storied name and innovator, plus it could keep innovating.
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by rwsandiego »

wnetmacman wrote: January 2nd, 2018, 8:52 pm
submariner wrote: January 2nd, 2018, 5:48 pm https://www.bloomberg.com/news/articles ... r-predicts

Loup's Gene Munster has issued a bold prediction for 2018: Amazon will acquire Target.

Yeah, you heard that right.

Bloomberg writes:
“Target is the ideal offline partner for Amazon for two reasons, shared demographic and manageable but comprehensive store count,” Munster wrote, noting both companies focus on mothers and families. “Getting the timing on this is difficult, but seeing the value of the combination is easy.”
I mean, there's a valid point, and if one year ago someone said "Amazon will buy Whole Foods", they'd be written off as crazy.

Over the past few years, Amazon has dangled its toes into the brick-and-mortar realm with small markets, bookstores, and university shops, and Bezos is nothing if not flush with cash.

The idea is definitely "out there"... but is it really that far?
I'm torn. I know Target is ripe for a takeover due to their internal dysfunction, but I'm not sure the feds would allow it.

I could, however, see Amazon as the savior for Sears Holdings. Think of this: a somewhat fully functional network of stores and distribution, ready made and in need of improvement. It could work, and retail wouldn't lose its most storied name and innovator, plus it could keep innovating.
I agree with you on the potential for an Amazon/Sears Holdings tie-up if for no other reason than Amazon being the disrupter that Sears was around the turn of the 20th century.
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by Super S »

rwsandiego wrote: January 2nd, 2018, 10:08 pm
wnetmacman wrote: January 2nd, 2018, 8:52 pm
submariner wrote: January 2nd, 2018, 5:48 pm https://www.bloomberg.com/news/articles ... r-predicts

Loup's Gene Munster has issued a bold prediction for 2018: Amazon will acquire Target.

Yeah, you heard that right.

Bloomberg writes:


I mean, there's a valid point, and if one year ago someone said "Amazon will buy Whole Foods", they'd be written off as crazy.

Over the past few years, Amazon has dangled its toes into the brick-and-mortar realm with small markets, bookstores, and university shops, and Bezos is nothing if not flush with cash.

The idea is definitely "out there"... but is it really that far?
I'm torn. I know Target is ripe for a takeover due to their internal dysfunction, but I'm not sure the feds would allow it.

I could, however, see Amazon as the savior for Sears Holdings. Think of this: a somewhat fully functional network of stores and distribution, ready made and in need of improvement. It could work, and retail wouldn't lose its most storied name and innovator, plus it could keep innovating.
I agree with you on the potential for an Amazon/Sears Holdings tie-up if for no other reason than Amazon being the disrupter that Sears was around the turn of the 20th century.
Target has problems, but hasn't completely lost sight of how to run a retail business. Sears and Kmart on the other hand are rapidly losing customers. Amazon wouldn't be any worse than the way Lampert has nearly killed both names....it might actually keep them alive.
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by arizonaguy »

I don't see Amazon buying Target.

I actually think that an Amazon / Costco tie up makes much more sense for a multitude of reasons, not that it'll happen.

Costco has probably the worst eCommerce platform of any major retailer but, like Whole Foods, it has a fiercely loyal clientele.

Target can survive on its own just fine if it can figure out what kind of retailer it is trying to be. It used to be an upscale discounter, then it went cheap chic, and now it's almost a limited assortment discounter.
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by Knight »

Is Amazon in position to acquire another retailer if its litmus test with specialty organic grocer Whole Foods Market is a success?
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Re: Bold Prediction: Amazon to acquire Target in 2018

Post by lola42 »

I think some analysts would love an Amazon/Target merger, so they plant a seed in the press. I doubt Cornell is ready to throw in the towel.

I think there will always be three players in this category - the Big 3 - and currently they're Amazon, Walmart and Target. All the others will merge and acquire amongst themselves and into and out of the Big 3: Kroger, Albertsons, Sears/Kmart, Costco, Sprouts, CVS, Walgreens, etc.

My guess is Amazon is going to sit on big acquisitions for now, waiting to see how Amazon GO works out. That technology could be a game changer to the entire industry. Once it's kinks are worked out, I'm sure Amazon will target companies that would benefit most from electronic checkout.
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