Amazon launches exclusive brand for Prime members

Amazon (NASDAQ:AMZN) announced the launch of Amazon Elements, a line of ethically-sourced items that can only be purchased by Prime members.

Elements will begin by selling baby products such as wipes and diapers. Other products include health, personal care, grocery and gourmet foods.

"Our obsession with customers and drive to continuously innovate on their behalf has led us to create Amazon Elements. The two things customers told us they want are premium products that meet their high standards, and access to information so they can make informed decisions, Amazon Elements offers both," said Sunny Jain, consumables VP. "We've leveraged our strengths in technology to bring customers an unprecedented level of information about these products, all with just the click of a button. We're excited to offer Amazon Prime members added selection, beginning with diapers and baby wipes."

Amazon will only be selling its diapers through Elements, not, the site it bought in 2010 through Quidsi for $540 million, reported Business Insider.

When received in the mail, each Elements product will include information about where each ingredient is sourced and manufactured. Each product will also contain a QR code that, when scanned with the Amazon app, gives buyers more information.

Amazon hopes to make the $99-per-year Membership more attractive and gain new subscribers with these new product offerings.

Amazon already sells some private-label products including the Kindle and Fire electronics, but this is its first attempt at consumables, reported Forbes. And baby items are the most frequently used consumables and used by young mothers, a demographic that is price sensitive and more likely to shop online.

The e-commerce company has been concentrating on beefing up its food, grocery and consumables deliveries. Its Fresh service already offers same-day or next-day delivery on more than 500,000 grocery items. Amazon tested Fresh in Seattle for five years before adding Los Angeles and San Francisco in 2013, and then Brooklyn, New York, a few months ago.

And the company's food Takeout and Delivery service went live last weekend. Currently, the service is only live in Seattle, covering about 20 restaurants for delivery and 110 for takeout orders.

For more:
-See this Amazon press release
-See this Business Insider article
-See this Forbes article

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