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Amazon to discontinue Just Walk Out technology in Fresh grocery stores across the US

Byeditor

Apr 2, 2024

Amazon is making changes to its Amazon Fresh stores by removing the Just Walk Out technology in order to revamp the grocery chain. The technology, which allowed customers to pay for items without waiting in line and receive receipts afterwards, will be replaced by smart carts. These smart carts will still allow customers to skip the checkout line while providing real-time visibility of their spending as they shop. The decision to make this change came after Amazon received feedback from customers who wanted the convenience of skipping the checkout line but also desired to see their receipts and savings as they shopped.

Seattle-based Amazon operates several Fresh grocery stores in states like California, Illinois, Virginia, and Washington. Additionally, the company owns cashier-free convenience stores under the Amazon Go brand and acquired Whole Foods in 2017 for $13.7 billion. Despite initial predictions that Amazon’s foray into the grocery sector would disrupt the market, the company has faced challenges in finding a successful strategy. CEO Andy Jassy mentioned in a letter to shareholders that Amazon is working on identifying a formula that would allow it to have a significant impact on physical grocery stores.

Amazon has closed some underperforming Amazon Fresh and Go stores and had paused the expansion of Fresh stores earlier. Despite this, the company recently reopened three Fresh stores in Los Angeles, California. Moving forward, Amazon plans to selectively open new Fresh stores and remodel existing ones. The Just Walk Out technology will still be available in some Amazon Go stores and smaller Amazon Fresh stores in the U.K., as well as to third-party retailers.

By editor

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