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Retail Industry Updates

So What Do Consumers Think of Amazon Go Grocery Stores?

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Amazon’s foray into brick-and-mortar grocery doesn’t just include its ownership of Whole Foods Market, which the Seattle-based company purchased in 2017. The world’s largest online retailer has started its own grocery chains, including Amazon Fresh and Amazon Go.

Amazon Fresh debuted last August in Woodland Hills, Calif. There are currently eight stores in operation in the U.S. Amazon Fresh stores are about the size of Whole Foods stores but offer lower prices.

Amazon Go is a chain of U.S. stores that are partially automated, with customers able to purchase products without being checked out by a cashier or using a self-checkout station. The checkout-free shopping experience is made possible by the same types of technologies used in self-driving cars: computer vision, sensor fusion, and deep learning, according to Amazon. “Just Walk Out Technology” automatically detects when products are taken from or returned to the shelves and keeps track of them in a virtual cart. When consumers are done shopping, they can just leave the store. Their Amazon accounts will be charged and they will receive receipts later.

Thanks for your quick response, really appreciate it. The title of piece leads with “Amazon Go Grocery” stores which are different from Amazon Go. While both stores are powered by Amazon’s Just Walk Out Technology, Amazon Go Grocery’s selection offers “fresh produce, meat and seafood, bakery items and household items, among other items” whereas our Amazon Go stores offer freshly prepared, grab-and-go items for breakfast, lunch, or snacks. Readers of the story may interpret the selection is the same at both Amazon Go Grocery and Amazon Go stores which isn’t accurate and hoping you can clarify this further for your readers. You can find more information about our Amazon Go and Amazon Go Grocery stores on our website here.

There are currently about 27 of the AI-enabled stores in operation in mostly major cities like Seattle and New York. The stores offer fresh produce, meat and seafood, bakery items and household essentials, among other items.

Some believe Amazon has plans to open hundreds and maybe thousands of Amazon Go stores in the next several years. Piplsay, a global consumer research platform, recently conducted a survey of more than 30,000 American consumers to learn what they think of Amazon Go and how the concept might disrupt the grocery business. Here’s what Piplsay found:

• 59% of consumers think Amazon Go will be a threat to big-box stores like Walmart and The Kroger Co., the nation’s two largest grocers.

54% of consumers believe Amazon Go-like stores will be a success despite online retail’s entrenchment.

• 57% said they would be excited to see an Amazon Go store (or similar AI-enabled store) in their neighborhoods.

• Of the 24% of consumers who had visited an Amazon Go store, 54% said they had an “excellent” shopping experience and 35% said called it a “good” experience.

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