This content was created by Lorenzo. This content was uploaded by Lorenzo. This is a YouTube video titled "Jeff Bezos responds to CNBC reporter who says Amazon isn’t a 'pure internet company'". It contains an interview from November 8, 2024, where Jeff Bezos discusses Amazon's business model, emphasizing customer service and the strategic use of distribution centers over traditional retail stores.
You're not really a pure Internet company anymore either, are you? I mean, you've got millions of square feet now of real estate. You've got a huge and growing inventory of items and you've got thousands and thousands of employees now.
Yeah, we have over 3,000 employees and over 4 million square feet of distribution center space. And those are things I'm very, very proud of. Because with that distribution center space and half a dozen distribution centers around the country, it allows us to get product close to customers so that we can ship it to customers in a very timely way, which improves customer service levels. That's what we're about. If there's one thing Amazon is about, it's obsessive attention to the customer experience, end to end. And that's what those distributions like.
You're not a pure Internet play.
It doesn't matter to me whether we're a pure Internet play. What matters to me is we provide the best customer service. Internet shminternet. That doesn't matter.
Well, but it does matter to your investors to know whether they're investing in a company that.
No, they should be investing in a company that obsesses over customer experience. In the long term, there's never any misalignment between customer interests and shareholder interests.
Well, that's the same argument that somebody at Walmart would make as well, wouldn't they?
I don't see why not. I think they should make that argument. It's a correct argument.
Okay, so you'll open as many square feet of space, physical space as you have to, hire as many employees as.
You have to, to service customers. Absolutely. And we'll do it as rapidly as we can.
That's a very cost intense proposition.
Not compared to opening an equivalent network of retail stores. So if you open a bunch of chain stores, look, when we open a distribution center, we're opening places where we may pay $0.30 a square foot for a lease instead of paying $7 a square foot, which you might pay in a high traffic retail area. So when you compare those things, they're not the same. You can't compare a big chain of retail stores to half a dozen distribution centers. It's just not, you know, it's bad math. Okay?
Either way, whichever side of the argument you believe you're making, what seems to.
Me to be there's only one side which is obsess over customers.
