The grocery, convenience, drug and many other retail formats are paying close attention to Amazon’s new grocery concept store – a store located in a strip mall just outside of Los Angeles. Ironically, the space was formerly a Toys “R” Us store that went bankrupt in part because of Amazon’s online toy selection.
From access to public documents and quick peaks, the highly confidential 33,000 square foot store is becoming more visible and surprisingly looks very similar to a conventional grocery store. It is not an extension of their $14 billion acquisition of Whole Foods in 2017, but a new grocery concept.
While Whole Foods will not stock Coca-Cola, Lays chips etc., this new grocery store chain will include these staple items (many of which are found in convenience stores). The store will not include the cashierless systems that they have deployed in the Amazon Go stores.
Near the entrance there is a bright orange wall with the Amazon smile logo with a window for pickups and returns. Equipped with digital displays, the strategic area is where the physical and digital shopping world converge. One can only guess that what ever technology has been built to speed up pickups and returns will be efficient to move customers in and out of the area quickly and conveniently.
Competition never sleeps and Walmart which accounts for 25 percent of the grocery market in the US, is now offering curb-side pickup at over 3,100 locations. Convenience, convenience, convenience replaces location, location, location in the new world order of retail.