Amazon to open all-new grocery stores separate from Whole Foods

[SteveG]

Amazon to open all-new grocery stores separate from Whole Foods
https://arstechnica.com/information-tech...ds-market/
According to a report by The Wall Street Journal, Amazon plans to open dozens of new grocery stores that will be distinctly different from the company's Whole Foods Market stores. The retail giant has reportedly already signed leases for some locations and plans to open the new grocery stores in cities across the country, including San Francisco, Seattle, Chicago, Philadelphia, and Washington DC.

As your face is recognized at the door, it will selectively raise prices on items you like, have purchased or ones you have looked at before?

[Gareth]

It makes some sense, given that Whole Foods' "365" ("partial paycheck stores") experiment failed and the locations that opened will either be closed or converted to proper Whole Foods. So if Amazon wants a broader appeal in grocery stores, they'd need something with more appeal to the average consumer.

[3d]

[Carnos Jax]

At least he's making cheap rockets. ;-)

[RAMd®d]

Bezos looks like he's doing a J K Simmons impression.

[bobinmurphy]

Also heard speculation that Amazon would be selling off Whole Foods as they transition to their own new food stores. Guess the experiment with Whole Foods didn't work out, or they think they learned what they needed to get into the grocery business. WalMart followed the same route when they decided to get into the grocery business.They partnered with a family owned grocery chain in Texas to exchange information, and a year later split the blanket with them and started opening their own grocery stores.

[Zoidberg]

Whole Foods is nice & all, but would never consider opening in slightly economically "lower" areas. This could work far better for Amazon overall.

[Lemon Drop]

bobinmurphy wrote:
Also heard speculation that Amazon would be selling off Whole Foods as they transition to their own new food stores. Guess the experiment with Whole Foods didn't work out, or they think they learned what they needed to get into the grocery business. WalMart followed the same route when they decided to get into the grocery business.They partnered with a family owned grocery chain in Texas to exchange information, and a year later split the blanket with them and started opening their own grocery stores.

Haven't heard that. What I have heard is that Amazon wants to expand it's access to grocery distribution networks to increase the reach of two-hour grocery delivery, which is very profitable. Brick and mortar grocery-selling is not, though Amazon has increased revenues and reduced costs at WF without changing the shopper experience or the quality of what WF sells.

WF only has 480 stores and Amazon has plans in the works to open more particularly in the West and the Amazon/Prime brand is stamped all over WF, which is why I don't think they're planning to sell it. The Amazon-branded new stores will be in different markets where they can expand delivery.

"365" was a very weird brand dilution idea by WF that precedes Amazon, not surprised they shut that down.

[$tevie]

I buy groceries from Amazon on occasion using Prime Now. The selection is limited, but it is not a selection of only WF type groceries, in fact far from it. They also have Amazon Fresh, which I am not interested in joining, but which is also not a "health food" outlet.

I see no reason why Amazon grocery stores would mean they had to give up Whole Foods, because there's a world of products out there to sell which have nothing to do with Whole Foods. I believe Lemon Drop is correct in that this would expand their ability to offer Prime Now services in more areas, although once they have their own b&m stores the branding of this service could well change.

[graylocks]

while visiting friends in chicago last month i went whole foods shopping with them. the store was amazing. the selection of foods outstanding. it was a pleasure to be there. and a few bags of groceries were over $200. my friends shop there regularly. my access to resources has greatly improved in the last year but still, i could never see my self shopping there on a regular basis. if i'm in the neighborhood in my own town i will stop in and indulge myself some cornbread.

amazon new stores have to compete with Aldi for my wallet.