In a strategic shift, Amazon has announced the closure of all its Amazon Go and Amazon Fresh locations, redirecting its focus towards enhancing its grocery delivery services, expanding Whole Foods Market, and developing a new “supersized” store concept. This pivot reflects the company’s ongoing evolution in the competitive retail landscape.
The Seattle-based giant disclosed this plan in a blog post on Tuesday, highlighting its strategy to convert some of the closing locations into Whole Foods Market stores. Currently, Amazon operates 57 Amazon Fresh and 15 Amazon Go outlets, which will soon cease operations as part of this transition.
“Despite seeing promising signs from our Amazon-branded physical grocery stores, we have yet to establish a distinctive customer experience coupled with a sustainable economic model for large-scale growth,” the company explained in its announcement. This decision underscores Amazon’s commitment to refining its grocery offerings and customer experience.
Amazon assures its customers that they can continue shopping online through Amazon Fresh in regions where the service is available, promising “fast and convenient delivery.” This move reinforces Amazon’s dedication to maintaining its strong presence in the online grocery sector.
The physical Amazon Fresh and Amazon Go stores will close their doors on February 1, except for those in California. These locations will remain operational for a longer period to adhere to state regulations, according to Amazon.
Since acquiring Whole Foods Market in 2017, Amazon has witnessed over 40% growth in sales, with the chain now boasting more than 550 locations. Looking ahead, the company plans to open over 100 new Whole Foods Market stores in the coming years, further solidifying its foothold in the grocery industry.
At the same time, shoppers are turning to online delivery for everyday essentials and fresh food, Amazon said.
The online retailer is now delivering groceries to 5,000 U.S. cities and towns, including thousands served by same-day delivery where customers can shop produce and other perishables along with staples. Based on strong customer feedback, it said it plans to expand its same-day delivery service of fresh groceries to more areas this year.
Still, Amazon pledges to continue to experiment with new physical store formats.
The company revealed on Tuesday its plans to open a “new supercenter” physical retail concept designed for customers to shop Amazon’s broad selection across fresh groceries, household essentials, and general merchandise. The company didn’t provide any other details including the timing of the opening.
Amazon also is testing a new in-store format called Amazon Grocery, which it launched alongside Whole Foods Market in Chicago. This concept at Whole Foods Market in Plymouth Meeting, Pennsylvania, lets customer also shop for groceries and household essentials from Amazon
Amazon opened its first Amazon Go concept in 2018 in Seattle, letting shoppers take milk, potato chips or ready-to-eat salads off its shelves and just walk out. Amazon’s technology charges customers after they leave.
It said that it’s gathered valuable insights along the way.
For example, its Amazon Go locations served as “innovation hubs” where it developed “just walk out” technology-now a checkout solution operating in more than 360 third-party locations across five countries.
Amazon said it expanding its “just walk out” technology to Amazon’s own operations, with more than 40 North American fulfillment centers using it in breakrooms today, and more planned for 2026, helping employees grab meals without checkout delays.
Amazon introduced its first Amazon Fresh physical store in 2020. The stores features an assortment of national brands and produce, meat and seafood.
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