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September 21, 2009

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Amazon launches its own brand name

CONSUMERS visit for deals on products from companies ranging from Apple Inc to Zenith Electronics Corp. Now, the online retailer wants shoppers to check out stuff that carries Amazon's own brand name, too.

Seattle-based Inc is beginning to sell a line of electronics accessories called AmazonBasics this weekend. It includes audio and video cables and blank DVDs.

Amazon would not give price details ahead of the launch, but Paul Ryder, vice president of consumer electronics, said the items will cost "significantly less" than similar products on the site.

Amazon already sells its Kindle electronic reading device, along with a variety of products under private label brands. For instance it offers a line of outdoor furniture called Strathwood and home and garden items with the Pinzon name.

In choosing the name AmazonBasics, Ryder said the firm hopes customers associate it with high-quality, low-price items.

The world's largest retailer, Wal-Mart Stores Inc, sells goods under its Great Value store brand.

BWS Financial analyst Hamed Khorsand doesn't believe Amazon's private-label goods will contribute much to its sales. "I think they're just trying to have their own brand out there as more marketing than anything else," he said.



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