1 in every 5 Amazon Go stores in the United States are scheduled to close

August 1, 2023 by
Frank Calviño

Amazon has decided to close 8 out of its 29 'walk-out' stores in the United States. These innovative stores, where customers can enter, grab their desired items, and leave without going through a checkout process, will require more time than anticipated to fully resonate with their target consumers. The closures suggest that the widespread adoption of this concept may take longer than initially projected.

The concept of Amazon Go stores appeared straightforward: customers enter the store, get identified through cameras, access their Amazon account, and shop as usual by adding products to their cart. Upon exiting the store, there is no need to go through a traditional checkout process. Instead, Amazon automatically charges the customer based on the items they have placed in their basket.

It has been three years since the company launched its first store with this technology in Europe, starting with its establishment in London, where there are already half a dozen stores. The goal was to expand across the continent and open a hundred stores in Spain, Germany, and Italy.

The European expansion plans are on hold following the closure of two stores in Seattle, two in New York, and four in San Francisco. However, Amazon still believes that this technology can be crucial. The company aims to resume its expansion plans when there is a more stable economic environment.

Just Walk Out is the technology behind Amazon Go stores

Just Walk Out is the technology behind Amazon Go's autonomous supermarkets, which relies on computer vision, sensor networks, and artificial intelligence. Its functionality and design continue to promise and are expected to become a reality shortly.

Some of the closures of Amazon Go stores are part of the company's cost-cutting plan. This is evident from the layoffs of approximately 18,000 workers and the initial pause in construction projects in Arlington, Virginia, which postponed some planned building and facility works.

Amazon has always been a strong advocate for technology and innovation and staying ahead of the curve by embracing technological advancements. While this particular endeavor may not have been a resounding success, it is undoubtedly a stepping stone that prompts us to consider alternative ways of shopping and how new technologies can transform even basic everyday activities such as grocery shopping. 

OpenAI aims to achieve a valuation of up to $90 billion
OpenAI - the company that created ChatGPT - aims for a valuation of up to $90 billion, specifically, according to The Wall Street Journal. Currently, the firm is seeking investors...
September 29, 2023
AI-Enabled Ticketing Systems in Ecommerce Customer Service
By Salesupply - In the ever-evolving ecommerce landscape, providing exceptional customer service has become a fundamental success factor and a strong ticketing system is crucial for any well-run customer service operation.   Still...
September 27, 2023
H&M will charge customers for online returns in the UK
H&M will charge customers for online returns in the UK starting in September. The Swedish company will begin charging £1.99 (€2.29) for returns on online orders in the UK. In-store...
September 26, 2023
Top crossmenu

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.