Retail

Amazon's New Phone Is A Showrooming Nightmare

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Amazon just unveiled a new smartphone called the Fire Phone. 

The phone makes Amazon an even bigger threat to brick-and-mortar retailers thanks to a feature called Firefly. 

Firefly allows you to scan items in person and encourages you to buy them on Amazon instead. 

In other words, Fire has a built-in showrooming tool. 

The feature "turns the Fire Phone into a sort of universal object scanner that'll recognize books, DVDs, or jars of Nutella, and help you buy them — from Amazon," writes Robert Sorokanich at Gizmodo

Amazon has already taken market share from traditional retailers by offering lower prices. 

The biggest obstacle it has faced is counting on customers to go to the website and look up items, rather than buying in stores. 

Amazon's Firefly removes the middleman and makes shopping on Amazon effortless. 

That could become a big headache for competitors. 

Firefly has other handy uses. 

For instance, it can recognize a painting and immediately transfer you to the Wikipedia page. 

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Ashley Lutz was Business Insider's creative director. Ashley joined BI as a retail reporter in 2012. Her work led to Abercrombie adding plus sizes and Lululemon changing its policy of banning customers who tried to resell clothing online. She was previously a retail reporter at Bloomberg News. Ashley has a Bachelor's of Science degree from Ohio University. Follow her on Twitter @AshleyLutz