Amazon to open 3,000 brick-and-mortar stores by 2021

21 September, 2018, 02:44 | Author: Billie Castillo
  • Amazon is considering up to 3,000 cashierless Amazon Go stores by 2021

Amazon's cashier-free stores may be everywhere within three years.

Amazon is considering opening up to 3,000 new cashier-less stores by 2021 to vie for shoppers at convenience stores and quick-service sandwich shops, Bloomberg News reported Wednesday.

The company now has three Amazon Go stores in Seattle, and plans to expand in Chicago, San Francisco and NY. Though not giving a timetable or location details, Amazon also has confirmed plans to open Amazon Go outlets in San Francisco and New York City.

Amazon Go sells an array of prepared food alongside grab-and-go convenience-store grocery staples. Overhead cameras, weight sensors and deep learning technology detect merchandise that shoppers take from or return to shelves and keep track of the items selected in a virtual cart.

An Amazon representative told Business Insider the company does not comment on "rumours or speculation". The original Amazon Go in downtown Seattle required more than $1 million (roughly Rs. 7.2 crores) in hardware alone, according to a person familiar with the matter.

Amazon Go is basically a dream come true for introverts. Meanwhile, the 2,000-square-foot Chicago store marks the first Amazon Go outside Amazon's hometown of Seattle.

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The surge in Amazon's advertising business is due, in part, to more people searching from the e-commerce site directly, instead of going through Google's search engine.

News of the company's potential ambitions for Amazon Go sent shares of grocery and retail rivals lower.

The new chain would be a massive expansion of Amazon's retail efforts, which also include Whole Foods as well as bookstores and in-mall kiosks.

Such an expansion could put Amazon back into an investment cycle. The stores could also help Amazon become a bigger player in the pharmacy business because it agreed to buy PillPack, an online drugstore, in June.

To start shopping, customers must scan an Amazon Go smartphone app and pass through a gated turnstile. "We shall see", Wolf said at the roundtable event. Shoppers rate location and a lack of lines as the most important factors when shopping for convenience, he said. "The key to success will be convenient locations".

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