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Amazon to shut down Go and Fresh stores

224 pointsby gmaystoday at 3:58 PM215 commentsview on HN

https://www.wsj.com/business/retail/amazon-to-shut-down-all-...


Comments

Bluecobratoday at 4:51 PM

Doesn’t surprise me. I frequently shop at Amazon Fresh in store and it’s a mediocre experience. It’s a poorly run store with no visible manager making sure things are in order. You constantly have to work around employees fulfilling online orders and they aren’t helpful. I always find expired groceries/produce on the shelf so I have to spend a lot of extra time inspecting each item. The only reason I put up with their nonsense is that some of their prices are insane and they have easy returns, for example $0.85 for a box of Barilla pasta. They actually don’t accept returns in store and just refund you automatically in the app (Returnless returns). It’s pretty silly and rife for abuse.

I also found a loophole with the Amazon.com return grocery credit. The systems are separate for the $10 off $40 coupon and you just scan a QR code in the store to get it. It turns out you can just take a photo of their QR code and reuse it over and over again.

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nayrocladetoday at 4:25 PM

I always found the "Amazon 4-Star" name funny. Presumably when it was first pitched internally it was called "Amazon 5-Star", then they realised that meant they basically couldn't sell anything, since nothing popular gets a full 5 stars. So they changed it to "4-Star", which just sounds awkward, and lacks the suggestion of top-quality that "5-Star" would. Instead, it's like the "Amazon Not-too-bad" store. I was amazed that they actually went ahead with it.

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mjr00today at 4:22 PM

> On April 4, 2024, it was revealed that Amazon's "Just Walk Out" technology was supported by approximately 1,000 Indian workers who manually reviewed transactions. Despite claims of being fully automated through computer vision, a significant portion of transactions required this manual verification. ( https://en.wikipedia.org/wiki/Amazon_Go )

Wonder how much of this is due to economics since computer vision tech never reached the expected performance + outsourced workers got (relatively) much more expensive after COVID.

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dananstoday at 4:56 PM

These stores were solving for an Amazon problem (brick and mortar stores without the expense of workers), and not any significant customer problem.

They often put them in places, hoping that people would be attracted by marginally lower prices and brand extension, all while removing one of the primary appeals (for most people) of in person grocery shopping: impromptu community socialization, even if it is simply greeting the checkout worker.

I'm not surprised they failed.

g947otoday at 4:36 PM

These bastards drove out some nice stores near me (supposedly the lease ended and did not renew) and rebuilt the buildings in order to open an Amazon Fresh location. That Amazon Fresh store never opened. Now we have a giant empty storefront nobody uses.

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minimaxirtoday at 4:32 PM

The Amazon Go stores in San Francisco were weird. They always had no people shopping in them, which would make sense given the increased efficiency, but it amplified the "am I stealing?" vibe. And the cost of goods wasn't made any cheaper than comparable stores in SF despite the touted increased efficiency.

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julianozentoday at 7:38 PM

Amazon Fresh had no reason to exist. They closed down a great Whole Foods near me and replaced it with a store with minimal changes to safeway/albertsons. Heavy carts for automatic scanning that barely saved time at checkout.

I will miss the grab and go tech in the Amazon stores. I was hoping they would successfully manage to sell that to other stores and make the tech wide spread in bodegas, gas stations and 711s

dgunaytoday at 6:58 PM

I've only been to the Amazon Fresh in my neighborhood, haven't been to other locations, here is what my experience was like:

They resisted implementing self checkout for years before eventually folding. No digital wallets though, you have to either use plastic or link it to your Amazon account.

The whole dash cart system was a solution in search of a problem IMO. I'm already able to check out about as efficiently as possible. Frontloading the scanning time isn't really an amazing improvement. The store was never crowded enough for it to matter.

My biggest problem with the store was that it was lacking random pantry staples and supplies that you would expect from your primary grocer. Several times I showed up in desperate need of something for a recipe or household task and they just wouldn't have it.

The produce was actually decent quality and competitively priced, but my alternative (the local Ralph's) I think just had some kind of curse or something on it because the produce at that specific location was a consistent level of awful observed over 5 years.

I hope they replace it with a whole foods, much better store IMO.

wolvoleotoday at 4:35 PM

Hmm Amazon fresh was useless anyway. It was this weird niche of grocery delivery but for small urgent orders. I just don't have that need like ever, if I need a bottle of shampoo or a head of lettuce urgently I'll just go to the corner shop.

Edit: oh oops I see this is about physical fresh stores, we never had those in the first place. Here in Europe Amazon fresh is a weird service for quick small grocery orders. For the bigger ones they partner with a local supermarket ("dia" here in Spain). But I never do grocery delivery because I never make any plans, I just make my life up as I go along :)

But Amazon fresh here is expensive and still slow (2hrs) so really not good for anything.

Amazon go I'm not even sure what that is.

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jgbuddytoday at 5:58 PM

The general force behind this is the expansion of sub-same-day delivery which they have been pushing hard for the last year. Amazon fresh was a more traditional model which didn't fit in well with amazon's strengths (fulfillment, automation) because they tried to enter a market they were directly competing with (in-person shopping) and charged users for delivery in addition to their existing membership.

It's a welcome change IMO, amazon groceries are super cheap online and now delivery is free. They have been removing the fresh name from products for a few months now and replacing with amazon grocery. Certainly less confusion for consumers, at least

Related: https://www.aboutamazon.com/news/retail/amazon-same-day-fres... https://www.aboutamazon.com/news/retail/amazon-same-day-fres...

_fat_santatoday at 4:33 PM

I don't live around any Amazon Fresh stores so I never saw them though I did see the technology in use at several airports (though I've never personally used it). IMO I think places like airports are the best place for something like this, people are usually in a rush so not having to wait in line to checkout is nice and you don't have to worry about security as much because everyone there is a ticketed passenger (only saw them post-security) and even if someone did try stealing they wouldn't get very far.

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nuneztoday at 6:43 PM

This was the more surprising bit for me: https://www.geekwire.com/2026/amazon-supersizes-its-walmart-...

Amazon straight up wants to just become Walmart. Or maybe Sears is a more apt comparison given their mail-order beginnings.

DrinkingRedStartoday at 5:01 PM

Doesn't surprise me either. Anecdotal story coming, but there is physical location on Philadelphia, and I stopped by as I needed an item for dinner that night, and it was on my way home.

Store was kind of bare, and poorly organized. But the kicker is they didn't accept any form of mobile wallet! They had an identical POS system to wholefoods which takes it just fine.

So I quickly put my items back and headed to Giant.. Haven't been back since

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nothercastletoday at 4:19 PM

They never made sense to have but I’m sure someone made a huge career and got lots of bonuses for this initiative

maxfurmantoday at 6:41 PM

Wow, they just opened a brand new one in Philly less than two months ago. I've yet to shop there and I guess now I never will. It must have cost millions to clear that site and build a whole new building there. Just to abandon it. I wish I had money to waste like that.

Edit: it actually opened in August, so it was around for about six months instead of two.

CamouflagedKiwitoday at 6:34 PM

Yeah, they've just closed the one near me. I think they underestimated how hard it would be, at least in the UK - the existing supermarket chains are already competitive, mostly pretty good, and people have surprisingly high brand loyalty to them. I don't think I've even talked to anyone who has shopped in Amazon Fresh, or even wanted to.

awilltoday at 7:46 PM

this is pretty surprising. Didn't they spent a fortune on the camera tech for Amazon Go?

vondurtoday at 5:59 PM

Not surprised. Unless the item is on sale (which can be very good deals) their pricing is no better than a standard supermarket and usually far more expensive than a Target or WalMart. And they quickly gave up on the scan and go where the smart shopping card read everything in the basket and automatically charged your Amazon account, so it was back to regular checkout.

deepflowtoday at 5:42 PM

We have Żabka Nano which is self-serve cashierless shop in Poland. You just swipe you card at the entrance, get whatever you want and walk out. I think they use computer vision system to detect the products taken from the shelves. It kinda amazes me because it's what Amazon promised but failed to deliver.

advisedwangtoday at 5:03 PM

The technology lives on, as Amazon "Just Walk Out". But rather than general grocery stores, it is used for concessions at stadiums and places like that.

I guess it turned out that the need more human intervention than they hoped, so the cost is too high for regular stores. However at places where a premium can be charged for high throughput or a low friction experience then the cost of the human intervention can be recouped.

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s08148692today at 4:28 PM

Shame, shopping there felt like magic. I hope the technology is developed in future without having to rely on remote workers validating transactions. Definitely felt like the future of shopping

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justonceokaytoday at 4:18 PM

I’m in an interesting place. Here in Seattle I am two blocks from one of the largest Amazon Fresh stores. It was built on the former location of a local grocer. The construction was almost complete before Covid hit, but Amazon shuttered the store during that time. As a result there was no groceries in my neighborhood from 2018-2023.

Now it seems Amazon is going to leave us a grocery desert yet again.

They were piloting smart carts at the location. The cart scans your items so checking out you just push the cart through a scanner that weighs it. But this invention was like a microcosm of Amazon’s whole fuckup with groceries. The problem with the store wasn’t that I couldn’t check out fast enough, it’s that it was a shit grocery store. They had popular products but they were missing all the unpopular, low margin products you need to actually cook (baking powder, shortening, tomato paste, soy sauce…). They only hire non-union jobs program people at the registers because Amazon believes that cashier is a sub-human role.

The previous store had an owner who would wander the aisles and chat with customers. The new store has Europeans with clipboards who watch you as you shop.

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SeanAndersontoday at 4:43 PM

Well, that article made me nervous for a second! I love my Amazon Fresh grocery delivery. I started using it during Covid, but could never go back. It's so nice having groceries feel automated instead of a semi-daily chore. I eat much healthier and the rationale for using DoorDash evaporated.

Absolutely zero interest in a physical version that lets me check-out easier, though. So, I can see why they're making this switch.

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IvyMiketoday at 6:23 PM

The "just walk out" surveillance system sucked, but the Dash Cart shopping was actually pretty nice/

benbristowtoday at 5:02 PM

They literally only put them in unaffordable areas. Like the only one I know is in a residential area of Southwalk in London not far from the TATE Modern museum. I don't even live in London.

Been in one once for the novelty as they've never been useful.

golbez9today at 5:34 PM

In my town they redeveloped an empty corner lot at a busy intersection just for the Amazon Fresh store. I guess it'll go back to being empty again...

vlaksh365today at 5:19 PM

I guess that is curtains for the Amazon Go kiosks in Seattle's Climate Pledge Arena? That whole arena was setup as a poorly veiled Amazon store...

wagwangtoday at 5:45 PM

If we lived in a high trust society, you could just trust people to scan their own items and walk out.

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timmgtoday at 4:42 PM

My wife will be heartbroken. We moved recently and she loves shopping at Amazon Fresh. (Though part of the reason was that it was never busy :)

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saostoday at 6:26 PM

Not surprised at all

jedbergtoday at 4:57 PM

I don't know about other areas, but here in the Bay Area (or at least Silicon Valley) our Whole Foods has subsumed all the services provided by Amazon Fresh (and Go really never worked). So we're not really losing any services, just the brand name.

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otikiktoday at 4:49 PM

Oh no! Anyway

tempiretoday at 6:08 PM

It's a trap!

a-dubtoday at 5:17 PM

amazon fresh never really made much sense to me alongside wfm.

surlyadoptertoday at 5:56 PM

Disappointing. The shopping experience is mediocre and prices/quality are no better than other local supermarkets.

However, I love my local Amazon Fresh store because it's a super convenient Amazon return location...

ChrisArchitecttoday at 4:52 PM

Earlier: https://news.ycombinator.com/item?id=46781444

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kotaKattoday at 4:47 PM

Curious thought - will they be shutting down other “just walk out” powered stuff like Hudson Nonstops in airports?

I also know some Amazon warehouses had an entire Just Walk Out powered concessions area in their breakroom for purchasing snacks in partnership with one of their canteen vendors.

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dangustoday at 4:44 PM

I’m not surprised about Amazon Go but I’m surprised about Amazon Fresh.

They almost seemed like an extension of Whole Foods to a more mainstream suburban market, and I thought they had solid foot traffic.

sodafountantoday at 7:07 PM

I stopped into the Amazon Fresh in Broomall, PA, to check it out not too long ago. It just looks bland and dystopian from the outside, and not much about it is impressive from the inside. I've worked with computers and technology my whole life, and the entrance to the store just confused me. If I remember correctly, I had to scan the Amazon app on my phone to enter the building. Once inside, it felt like a warehouse; the aisles were too small, and the food selection wasn't even really that great. (From memory, it was a few years ago that I went)

All in all, it's a cool concept on paper with absolutely terrible execution.

Only went once, bought some snacks, and left.

EngineerUSAtoday at 6:29 PM

Amazon keeps shutting Restaurants, their retail stores, etc., but I for one am glad they are at least trying. I agree that the fiasco around the Indians running the show was a PR nightmare for their idea, but large companies running startup like ideas should be encouraged rather than disparaged (and I am no fan of Amazon just to be clear). I think this is one of those ideas where execution failed. If you are a busy worker, it is great to just head there and grab what you need, and walk out. Just faster all around.

wetpawstoday at 4:12 PM

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