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Amazon and Target have reached a critical truce after years of fighting

Aug 5, 2016, 20:27 IST

Flickr/ Kevin DooleyTarget is once again selling Amazon items, after a four-year rift between the retailer and its ally-turned-rival.

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The retail chain has resumed selling Amazon's Kindle e-readers, Fire tablets, and Fire TV devices online, reports Bloomberg. The items are expected to return to stores in October.

Target stopped selling Amazon devices in 2012, due to concerns that the items would draw customers to Amazon - and away from Target.

It's a reasonable fear, especially based on Target and Amazon's complicated history.

In 2001, Target outsourced its e-commerce business to Amazon. Online shopping was not seen as a core part of Target's business at the time, and the partnership continued until 2011.

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That's a full decade in which Target was unable to build, grow, and test an online site of its own.

Meanwhile, Amazon has grown into the No. 1 threat to the rest of the retail industry. In May, Morgan Stanley released a report that revealed Amazon holds 7% of the apparel industry. Since apparel accounts 19% of Target's business, that makes Amazon a huge threat going forward.

However, Target apparently didn't think that the e-commerce giant could be stopped by simply refusing to sell its devices.

"Target continually evaluates our assortment to deliver quality products at a great value," the company said in a statement to Bloomberg. "We know our guests love the many aspects of shopping at Target, and believe they will appreciate the convenience and savings of finding these items in our stores and on Target.com."

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