Last week Seeking Alpha’s Eric Parnell wrote an article titled, “The Most Overhyped Company In the World Strikes Again”. As usual, Parnell writes a thought-provoking article in which he details his recent Wegmans visit where “selections are extensive, prices are low, and the parking lot is as full as ever”.
As I write this article my son is headed to work at my area Ingles’ (IMKTA) and also where my wife shops frequently. I agree with Parnell’s conclusions, as it relates to home delivery,
“But like 98% of all Americans, I still like to go in and pick out my produce and meats myself while seeing the folks in my community out for the day.”
I am just not sure that Amazon (AMZN)– the most over-hyped company in the world – is going to disrupt the grocery sector, for the same reasons that I visit at a Starbucks (SBUX) store almost daily. Grocery shopping is an experience that requires brick-and-mortar ingredients, and AMZN’s resources will make Whole Foods a stronger grocery chain.
