Amazon said Tuesday it is closing almost all of its Amazon Go and Amazon Fresh locations by the end of the week, exiting a decade-long effort to build cashierless grocery shopping. The last day of operation for most locations is Sunday, though California stores will remain open longer to comply with state requirements.
“While we’ve seen encouraging signals in our Amazon-branded physical grocery stores, we haven’t yet created a truly distinctive customer experience with the right economic model needed for large-scale expansion,” Amazon said in a blog post.
The company plans to convert some shuttered stores into Whole Foods Market locations, accelerating a pivot toward that grocery chain, which Amazon acquired in 2017.
The closures represent a strategic reorientation toward Whole Foods and same-day grocery delivery, signaling a shift in how the company is approaching food retail after deciding its cashierless stores could not achieve profitable scale.
Amazon is closing almost all of its Amazon Go and Amazon Fresh locations by the end of the week, exiting the cashierless grocery shopping format it pioneered eight years ago.
The company will shutter most locations by Sunday, though California stores will remain open longer to comply with state requirements, Amazon said Tuesday in a blog post. Some of the shuttered stores will convert to Whole Foods Market locations.
Amazon said the decision reflects the company’s inability to create the right economic model for the stores. “While we’ve seen encouraging signals in our Amazon-branded physical grocery stores, we haven’t yet created a truly distinctive customer experience with the right economic model needed for large-scale expansion,” the company said.
Whole Foods and Same-Day Delivery Take Center Stage
Amazon is redirecting its grocery strategy toward Whole Foods Market, which it acquired in 2017. The chain has expanded to more than 550 locations and achieved sales growth exceeding 40%, Amazon said. The company plans to open more than 100 additional Whole Foods stores over the next few years.
The pivot emphasizes same-day grocery delivery, a service Amazon now offers to 5,000 U.S. cities and towns. The company delivers fresh produce and other perishables with same-day delivery in many locations and plans to expand that service further in 2026 based on customer feedback.
Amazon also announced plans to open supercenter locations carrying groceries and other merchandise, though the company provided no additional details about that format.
‘Just Walk Out’ Technology Expands Beyond Amazon
The just-walk-out technology Amazon pioneered at its Go stores remains a commercial product. The company said the technology is now in use at more than 360 third-party locations across five countries. Inside Amazon’s own operations, more than 40 North American fulfillment centers use the technology in employee breakrooms to allow workers to grab meals without checkout delays, and the company plans to expand that use this year.
A Strategic Retreat After Eight Years
Amazon opened its first Amazon Go location eight years ago in Seattle. Amazon introduced its first Amazon Fresh stores in 2020 in an attempt to compete directly in grocery retail. The closure of both formats marks a retreat from that ambition after the company determined neither could achieve the scale and profitability it sought.
The announcement came as Amazon disclosed it was cutting 16,000 corporate jobs, the company’s second major round of layoffs in three months. CEO Andy Jassy said the cuts reflect changes in Amazon’s business priorities rather than financial troubles or pressure from artificial intelligence, marking a shift toward properties the company believes offer stronger returns.