Amazon has opened a barber shop. Why do Internet giants look at “small business”?

Who will kill Amazon to open a barber shop?

Amazon’s gunpoint is not aimed at consumers’ haircut income, but at its influence as a supplier of professional hairdressing products and technology.

Although cross-border is already a routine operation, after hearing the news of Amazon opening a barber shop, people are still confused.

In April of this year, Amazon’s first smart hair salon with AR technology was officially opened to the public. The salon is located in the lively Spitalfields district of London. It is divided into upper and lower floors, with a total area of ​​about 140 square meters.

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

As soon as the store opened, many Londoners visited it. However, according to Amazon Salon employees, the current salon’s main customer base is still 10,000 internal Amazon employees in London. Amazon has also officially introduced that the newly opened barber shop is “an experimental place to showcase new products and new technologies in the hairdressing industry.” So far, it does not plan to open other Amazon salon branches.

What is certain is that according to Amazon’s e-commerce genes, this store is more than just providing hairdressing services.

What do the elephants intend to dance?

Hair color can be changed at the touch of a finger, equipped with the offline space of smart retail

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

Entering the Amazon Salon, there are a total of 8 workstations upstairs and downstairs. The industrial and simple decoration continues Amazon’s usual physical store style.

The entire salon is divided into an AR virtual hair color test application area, a professional styling tool area, and a smart retail shelf. Amazon broke the single space of the salon as a service place and upgraded it to a composite space that integrates shopping, shopping, exploration and experience.

AR color test is the biggest technical feature of this Amazon salon. The online complaints about Mr. Tony generally come from disappointment with the effect-each time the stylist decides on the styling and hair color, the effect is often very different from the actual effect.

The AR technology of Amazon Salon can just solve this pain point. Amazon has embedded a camera with AR technology in the salon mirror, and customers can see their hairstyle and face in the mirror in real time. Massive hair color, you can truly feel the effect of the new hair color with just a swipe of your finger.

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

Coming to the professional styling work area, the hair cutting and styling services of the Amazon salon are provided by Neville Hair & Beauty, an independent hair salon in London. This team of hair stylists brings together a group of hair stylists who are at the forefront of fashion and have served Paris Fashion Week and Cannes Film Festival.

In addition to providing the best hair cutting technology services, Amazon is also committed to creating the most seamless consumer experience. When doing hair styles, customers can browse the information and usage tutorials of various hair care products on the tablet computer in the store, and keep abreast of Amazon’s selected product lists. Any questions about their own hair styles can also be answered immediately by the hair stylist.

If you are interested in goods, customers can also scan the code on the smart shelf behind them to place an order and directly deliver the goods home. The entire shopping process is very smooth, without artificial sales, but through digital technology, the product and service are fully integrated, and personalized recommendations that are closest to consumers’ preferences are obtained based on data analysis.

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

For such a barber shop in the East End of London, the price of Amazon Salon seems very reasonable, and it is not much different from the average market price in London: washing, cutting and blowing 53 pounds (about 470 yuan), hair repairing 15 pounds (about 130 yuan) , Highlight 110 pounds (about 980 yuan).

After the opening of the Amazon Salon, some small and medium-sized barber shop operators in London expressed concern that their business might be affected. On the other hand, more operators believe that technology can never replace the “human” factor in haircutting services. Amazon’s intervention has accelerated the development of technology in the hairdressing industry, which is also a good thing.

What kind of medicine is sold in the gourd when opening a barber shop across borders?

Opening a barber shop across borders is not Amazon’s patent. At the end of 2020, the fast food giant McDonald’s opened a retro barber shop in the Swedish market that only cuts McDonald’s “Golden Arch” hairstyles. 

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

But compared to McDonald’s marketing behavior in order to create a super symbol, Amazon’s move is obviously not so simple.

Since Amazon acquired Wholefood, the largest healthy organic supermarket in the United States, in 2017, Amazon has gradually accelerated the speed of extending its tentacles to physical stores. From Amazon Book bookstore to Amazon Go 24-hour unmanned convenience store, Amazon continues to test offline commerce, showing people the charm of cutting-edge technology, in order to form its own industrial layout.

The establishment of Amazon Barbershop has more demonstrated Amazon’s ambition to enter the professional hairdressing B2B supply chain.

As early as 2019, Amazon quietly launched the professional beauty salon Amazon Professional Beauty Store, which provides wholesale discounts on products for beauticians and hairdressers.

At present, most of Amazon’s B2B products come from its Amazon Business plan, but many companies have not noticed this service provided by Amazon. This time Amazon decided to open a barber shop, which seems to be an extension of Amazon’s hairdressing B2B promotion.

For the industry, Amazon’s barber shop is a signal that shows Amazon’s determination to expand its B2B business segment, and hairdressing is one of the most meaningful market segments.

This is why Amazon chooses to start with hairdressing-high-frequency and just-needed local life services are a big way for Amazon to enter the consumer group. Whether it is the B2B supply chain itself, or studying consumer purchase behavior patterns through offline service scenarios, to obtain the deepest consumer insights, it is a beneficial and harmless business for Amazon.

It is understood that Amazon is constantly strengthening its supply chain strength in the hairdressing industry, adding new brands to multiple market segments in the hairdressing industry.

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

According to the forecast of the United Market Research Corporation of the United States, the global professional hair care market in 2019 will be 19.16 billion U.S. dollars, and it is expected to reach 26.24 billion U.S. dollars by 2026, with a compound annual growth rate of 4.6%.

If you can successfully build a hairdressing B2B platform, in addition to the huge profits that this market itself brings, it will also accelerate Amazon’s deployment of the Internet in other industries. This also explains why Amazon’s barber shop is not designed to attract customers to the greatest extent- Amazon’s gun is not aimed at consumers’ haircut income, but its influence as a supplier of professional hairdressing products and technology.

Giants have entered local life one after another, the revival of offline stores?

Hairdressing business for Amazon to get involved in this matter, the industry is also a congregation diverse. Although Amazon’s B2B ambitions are obvious, many people believe that Amazon has always been good at integrating and transforming the industry. Starting from selling books, this time it may also be hairdressing.

Leon Alexander, the president of Eurisko, a well-known salon consulting company, recalled that when Amazon first launched a physical bookstore, he said “we are just doing a test”, which is exactly the same as opening a barber shop. Now, Amazon has more than 20 bookstore outlets. Alexander believes that if Amazon Salon gains traction in Europe, it will not rule out that it will launch its own salon brand in the future, which may directly change the rules of the game in the entire industry.

These guesses are possible, because no one knows where Amazon will go next. It’s just like people can’t imagine that Bezos took a ride in the outer sky on the commercial space rocket “Blue Origin” he founded after announcing his stepping down as Amazon CEO.

Amazon has opened a barber shop. Why do Internet giants look at "small business"?

From bookstores, retail, supermarkets, to hairdressers, Amazon’s pursuit of new markets has never stopped. Not only Amazon, whether it is Ali and Byte to increase local life in recent years, and Tencent’s layout of the industrial Internet, they also have the same purpose-to go to consumers and find new business growth space. This has caused the giants to cast their sights on the local life services surrounding the consumer’s food, clothing, housing and transportation.

Traditional offline formats, a business field that used to be inconspicuous to investors, has now become a new innovation point. How to integrate online and offline, traditional channels and new technologies has also become the focus of competition among giants on the local life service track in recent years.

For various traditional industries, the entry of giants is also a good thing overall. Inject new vitality and use technology as the biggest driving force to change lives. After the optimization of consumer experience, it will further arouse people’s enthusiasm for offline space experience.

Bezos has always believed that there are two types of companies in the world: Day 1 company and Day 2 company. Day 1 is the state of the first day of business, and Day 2 is stagnating, gradually becoming irrelevant, experiencing a painful recession, and finally welcoming death. Therefore, Amazon is only a fast-moving Day 1 company, which is the best defense against the unknown.

In 2010, he wrote a paragraph: “We should build a 20-dollar device, with its brain in the cloud, completely controlled by your voice.” Four years later, the voice of the smart voice assistant Alexa echoed in the living rooms of households. .

As Bezos said, if you only do things for which you know the answers in advance, your company will disappear. When Amazon continues to launch projects to explore a new possibility, it is destined to disrupt an industry.

Of course, this process may also be full of failures. In 2019, Amazon closed its four-year-old operation and tried to compete with Amazon Restaurants such as Grubhub and Uber Eats.

Internet giants continue to extend their business to other areas, this is a borderless war that cannot be stopped. In the past, there was a view that this was the anxiety of the giants, but Amazon’s deployment of the hairdressing market is more like a rainy day, a change initiated by the giants from another field.

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