Chris Jones: Greene Publishing, Inc.
Veterans will soon be able to shop online tax-free. The Army & Air Force Exchange Service (AAFES) will offer veterans tax-free shopping both on and off base. Active-duty, reserve, retired, and honorably discharged veterans from any branch will be eligible to take advantage of the tax-free shopping.
Tom Shull is the CEO of AAFES, which is often referred to as “the exchange, BX (base exchange) or PX (post exchange) by military members. He took control of the organization five years ago. Exchanges are located on military installations both in the United States and abroad. They offer items such as Disney toys, Michael Kors fashions, electronics, and outdoor equipment. Most military members consider the Exchange to be their local mini-mall or department store.
To facilitate the addition of 13 million potential new customers, new shipping centers within existing stores will allow AAFES to send products directly from their locations, avoiding the cost of building separate warehouses and shipping centers. Offering online shopping and tax-free benefits to honorably discharged veterans will help AAFES compete against online retail giants like Amazon.
Since Shull took over as CEO, the Exchanges have undergone renovations to push a more modern look. Off-brand merchandise was replaced with name-brand, mainstream products, with well-known names like Nike, Sony, and Calvin Klein gracing the shelves.
One thing that helps AAFES compete against their civilian counterparts is not having to pay rent for their location on military bases. Also, the government transports some of their products to more isolated locations. Nearly two-thirds of AAFES employees are family members of military members. In addition to their main stores, AAFES operates movie theaters and partners with franchises such as Burger King and Taco Bell, bringing military members the comforts of home, even to overseas locations.
More information on AAFES and online shopping can be found at www.shopmyexchange.com.