Amazon has announced the closure of all its physical Amazon Fresh supermarkets and Amazon Go convenience stores in the United States, as part of a strategic shift to concentrate on grocery delivery services and the expansion of its Whole Foods Market chain.
The Seattle-based company explained that while its cashier-less technology and innovative store formats showed promise, they failed to achieve a scalable and profitable business model capable of broad expansion.
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Around 72 stores will close, including 57 Amazon Fresh and 15 Amazon Go locations, most of them scheduled to shut down on February 1, with a few exceptions in California due to local regulations. Several of these locations will be converted into Whole Foods stores, as the company plans to open more than 100 new Whole Foods locations in the coming years.
Amazon will also strengthen its same-day grocery delivery service across thousands of cities, reinforcing its digital and logistics strategy.
Why is this move important?
Because it highlights Amazon’s shift away from traditional brick-and-mortar retail toward fast delivery, digital services, and a stronger Whole Foods presence, adapting to changing consumer habits.
