November 22, 2024
Brand

Amazon Go Stores to Close in USA as Company Shifts Focus to Evolving Grocery Division

Amazon Go Store

Attention shoppers! Amazon is shaking things up with its Go convenience stores in the USA. The e-commerce giant has decided to close eight stores as part of its cost-cutting measures. Two Go Stores in New York City, two in Seattle, and four in San Francisco will soon be saying goodbye to customers.

What’s unique about Amazon Go stores is their cashier-less system. Using cameras and sensors, the stores determine which items customers have chosen and charge them when they leave. But despite the futuristic tech, the grocery business has been struggling with slowing sales and a poor economic outlook.

The stores are set to close on 1 April, but Amazon assures us that they will work to help affected employees find employment in other areas of the business. CEO Andy Jassy has been taking action to address these challenges, including layoffs of as many as 18,000 employees, with a number of those being felt in the grocery business.

An Amazon spokesperson Jessica Martin says, “Like any physical retailer, we periodically assess our portfolio of stores and make optimization decisions along the way.” The company will remain committed to the Amazon Go format, operating more than 20 Amazon Go stores across the US. The spokesperson adds that Amazon will continue to learn which locations and features resonate most with customers as they keep evolving their Amazon Go stores.

Despite the store closures, Amazon Fresh opened two new locations in Croydon and Monument in January, showing that the company is still dedicated to providing customers with convenient grocery shopping options. Stay tuned for more updates on Amazon’s ever-evolving retail strategy.

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