Buy, Inc. (AMZN) Stock as Prime Wardrobe Officially Kills Retail, Inc. (NASDAQ:AMZN) has been the pioneer of massive changes in the way consumers shop. Recently, investors have been focused on the company’s acquisition of Whole Foods Market, Inc. (NASDAQ:WFM). Certainly, the $13.7 billion deal has the potential to forever alter the grocery shopping landscape. As Amazon leverages its Prime ecosystem to potentially cut historically sky-high Whole Foods prices, other grocers stand to loose significant market share. That’s propping up AMZN stock, but investors shouldn’t forget that Amazon isn’t done killing the clothing retail world, either.

Buy, Inc. (AMZN) Stock as Prime Wardrobe Officially Kills Retail

Amazon’s most recent move, Prime Wardrobe, may be the nail in the coffin for brick-and-mortar clothing retail.

Here’s why.

Amazon Is Removing Brick-and-Mortar’s Last Advantage

Brick-and-mortar clothing retail still has one thing left in its moat: people like to try on clothes before they buy them. So far, that single quality has allowed some brick-and-mortar clothing stores to survive the Amazon-led retail carnage.

But, Amazon is about to start cutting into that, too. Today, Amazon launched Prime Wardrobe, a feature that allows Prime subscribers to try on clothes before they buy them. The feature introduces tremendous flexibility for the consumer, allowing for up to 15 items to be “tried on” at one time. Items are shipped to the consumer, who gets seven days to try on the items before deciding what to keep and what to send back.

There is also a financial incentive for consumers. The more they decide to keep, the bigger discount they get.

In other words, Prime Wardrobe has no upfront costs, no commitments, and allows for more discounts. Consumers will have a tough time saying no to that proposition.

And, brick-and-mortar clothing retailers will have a tough time hanging on to what little foot traffic remains. The only reason consumers still go to clothing stores is to try on clothes. But, now they no longer have to go to the mall to do that. Consumers can do it from the comfort of their own homes thanks to Prime Wardrobe.

By launching Prime Wardrobe, AMZN will begin to chip away at the last thing that makes brick-and-mortar clothing shopping relevant.

Bottom Line for AMZN Stock

Yes, Amazon stock has run up quite a bit. Yes, it’s expensive. And yes, it’s still a buy.

From building out cloud services to developing smart home products to selling groceries, Amazon remains at the forefront of market innovation. Amazon has also developed into one of the biggest players in each of those markets.

Until Amazon’s innovation and scale are both matched by a competitor, AMZN stock will head higher. I don’t reasonably see either of those happening any time soon, and the bigger Amazon gets, the more unlikely it becomes that the Amazon growth story will come unhinged.

Bulls have all the reason to remain bullish on Amazon stock

As of this writing, Luke Lango was long AMZN.

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