Report Alleges Amazon Looked to Adopt Trader Joe's Strategy

When Amazon was working on private-label food brand, Wickedly Prime, management resolved to replicate top-selling items from Trader Joe’s, reports The Wall Street Journal, which draws on internal documents, emails, and interviews with 600 Amazon employees and stakeholders.

To achieve its vision, Amazon recruited a senior manager from Trader Joe’s to help create the product assortment for the private-label business, according to the report. The grocery chain’s top sellers are well-guarded as there is no online website to track selling information and customer reviews. 

Additionally, many of Trader Joe’s offerings are made by the retailer itself, such as Cinnamon Bun Spread and Rosemary Croissant Croutons.

After hiring the former Trader Joe’s employee, the report alleges that her manager at Amazon demanded the employee email documents she had kept from her time at Trader Joe’s.

Amazon responded to the behavior by firing the manager and other employees who had accessed the data. Additionally, a spokesperson for Amazon said the following:

“We do not condone the misuse of proprietary confidential information, and thoroughly investigate any reports of employees doing so and take action, which may include termination.” Full Story (Subscription Required)