Amazon plans 3000 further Amazon-Go stores
Author: Marcus Schilling
Cashless payment soon in San Francisco and New York
Amazon is planning to open 3000 more stores without cash registers. Three so-called “Amazon-Go” stores have already been opened in Seattle. Customers do not have to queue up at the cash registers, as their purchases are registered by cameras and sensors. As soon as the customer leaves the store, the amount to be paid is automatically deducted from his Amazon account. According to speculation, the next stores shall be built in San Francisco and New York.
With these plans, Amazon could become particularly dangerous for US chains like 7-Eleven or Subway. Amazon has not yet issued an official statement. In 2016, the Internet giant opened its first store without cash registers in Seattle. The first store in Chicago will open on Monday. It seems that the power of Amazon has no end, even though the company is actually at the beginning and many more projects shall follow in the future.
In two of the new stores, customers can currently only buy a small selection of salads, sandwiches and snacks. In two other stores it is also possible to buy certain foods, which tends to make these shops more like small supermarkets. A smartphone app is required to enter the stores. As soon as it has been scanned at the turnstile at the entrance, products can be packed and taken away without having to queue at a checkout.
However one challenge is the large amount of money required to open each store. The first Amazon Go shop in downtown Seattle, for example, is said to have required hardware worth over a million dollars.
If Amazon really succeeds in implementing their plans, Amazon Go could eventually become one of the largest retail chains in the US. By 2019, the company has set themselves the goal of expanding their current ten locations to around 50. By 2021, the number of stores is expected to reach 3000. By opening multiple locations within a city, Amazon could better control costs, for example by centralizing food production for each store.