Amazon Fresh Stores: is the hype real?

Creative Partner, Pam, paid a visit to her new local Long Beach Amazon Fresh to see if this store of the future is really the next big thing.

FIRST IMPRESSIONS

The fascia is adorned with balloons and bunting, which really sets the stage for a piece of retail theatre. We’re almost certain you’ll have heard the ‘shop and just walk out’ concept of Amazon stores by now, but on the small chance you haven’t, here’s what Amazon themselves say:

Just Walk Out technology enables shoppers to simply enter a store, grab what they want, and just go. Born from years of experience at Amazon Go, Just Walk Out uses a combination of technologies to eliminate checkout lines. We now offer retailers the ability to leverage this technology in their stores to help bring fast and convenient checkout experiences to more shoppers.”

Now that you know what it is, let us give you the scoop and tell you what we think.

 

THE GOOD

Initial observations were largely positive. There was a great buzz and sense of fanfare around the opening – with graphic stickers and other freebies to give a sense of celebration.

Value communications had strong representation with the use of intelligent hierarchy red hotspots for15c bananas (along with giant die-cut graphics), 89c donuts, $4.99 chicken and many other items. Shelf edge pricing was all digital (no surprise), clean and clear.

Embracing technophobes – Amazon are trying to offer something for everyone with traditional, printed, weekly ads and shopping trolleys alongside Dash carts and digital integration. Associates were on hand to help and easy to identify – their uniform’s smile logo making them immediately seem friendly and approachable.

Showcasing their own brands. Customers are much more likely to try a new brand when shopping in-store like this so it’s a great way to give their own brands more credibility. Their own brands Happy Belly and Solimo were featured prominently in-store to keep them front of mind for shoppers roaming the aisles.

Challenging the status quo ­– if there’s one thing this new supermarket is doing for the industry as a whole, is pushing it forward with innovation and in turn, keeping everyone on their toes. Could we see the integration of similar technologies move in to our favourite supermarkets? Time will tell.

Overall: the store feels like they've hand-picked the best of everything from other supermarkets and layered their tech on top. They're going head-to-head with Trader Joe's on every day low price bananas, the seasonal signage is akin to brands such as Target, the store interior is utilitarian and is reminiscent of Co-op in the UK and several other grocery stores we've seen.

THE NOT SO GOOD

Lacking local soul – for a company battling perceptions of being the giant corporation monopoly, not much was done to change perceptions here. Grand openings we've attended in the last few years have always made a real effort to be part of the community. From teaming up with local artists for store murals to location-themed shopping bags or truly highlighting local producers in stores with tastings – by comparison, it was a minimal effort on display.

It feels temporary – something about the lack of conviction to embrace local community sends a message that this might not be a long-term institution. What’s especially interesting is that Just Walk Out technology is being offered to other retailers, including competitors. So, it begs the question, is Amazon Fresh here to stay or is it a proof of concept?

Overall: environment feels very cold, sterile, robotic, like a warehouse and does little to change perceptions. Given the sheer amount of technology in-store, there’s a real sense that without any warmer touches, customers could feel like they’re parts moving on a motherboard rather than people roaming the aisles of a local supermarket. Closer to our London ‘HQ’, reviews have been mixed for the new store in Ealing, to put it mildly. Its write ups in the press range from describing the experience as 'magical' or 'scary;… 'frightening' or 'fabulous'. Whatever your take on the concept as a whole, there’ll be only one way to make up your own mind – visit.

Have you paid an Amazon store a visit in the US, UK or elsewhere? What was your view? Is this the future of retail or a technical showcase? We’d love to know your thoughts. Share with us @weareticketyboo on Instagram and Twitter.

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