Amazon is set to close its 19 grocery stores in the UK, less than five years after launching these till-free locations in London. As part of the restructuring, the company plans to convert five of the stores into Whole Foods outlets, a brand that Amazon owns, which focuses on fresh and whole foods.
The company indicated that it will shift its focus to enhancing its online delivery services, collaborating with partners such as Morrisons, Co-op, Iceland, and Gopuff. As a step in the process, Amazon has initiated a consultation regarding the proposed closures.
In 2023, Amazon began the process of closing its grocery outlets by shutting down three Amazon Fresh stores in London. The first UK grocery store was opened in Ealing Broadway in March 2021, allowing customers to shop by picking items off the shelves and having their Amazon accounts billed automatically using in-store technology like cameras.
Amazon mentioned that the closure decision was made after a comprehensive assessment of business operations and highlighted that significant growth opportunities exist in the online delivery market. John Boumphrey, Amazon UK manager, stated that the company would aim to continue inventing and investing in the UK market.
If the plans for expanding Whole Foods proceed, Amazon could operate 12 Whole Foods locations in the UK by the end of 2026. The overall implications of these changes on the UK grocery sector and consumer behavior remain to be seen.
Source: https://www.bbc.com/news/articles/cx2xnkkn9ywo?at_medium=RSS&at_campaign=rss