Amazon is now officially closing down both its bookstores and 4-star stores. The company is now shifting its business model and currently rethinking its strategy.
Specifically, the retail giant is said to be focusing on its grocery and fashion stores.
Amazon to Close Down Bookstores and 4-Star Shops
While Amazon originally started selling books, the company has shifted its focus directly towards its online retailing business. The company has decided to move away from books and allocate more of its resources directly towards other aspects of the company's business.
Per a story by Reuters, the company is closing down all of its 68 physical bookstores as well as other pop-up locations. 4-star shops across both the US and UK will also be closed down.
In addition, an article by the New York Times shared a statement that the company made regarding in-person retail being still important. The statement also says that the company would focus more towards cashierless stores.
Amazon's Just Walk Out Approach Allows for Cashierless Stores
Amazon currently has its Just Walk Out tech, which allows buyers to go in, purchase items, and pay automatically without having to interact with a cashier. In relation to this, the company has just recently announced its new Los Angeles clothing store that uses the cashierless technology.
As of press time, the retail giant's different stores all have different closure dates. Workers that are currently employed at the affected locations will be able to receive job offers coming from the other nearby Amazon stores, per the company.
When Did Amazon Launch Its First Bookstore and 4-Star Outlet?
The company's first ever physical bookstore was originally opened back in November 2015 in Seattle. Amazon's bookstores has since expanded to a total of 24 stores in the United States.
Amazon's first ever 4-star outlet, on the other hand, was opened back in September 2018.
Both of these show that, when combining Amazon's very own online shopping data along with the retail world, in-store selection actually reflects what was most popular or most likely to be sold.
As of writing, it is still not certain as to how well they have all fared in practice. The story by Engadget, however, notes that it is safe to say that they were not actually as disruptive as the internet-based book sales that Amazon was able to garner.
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Just Walk Out Feature Being Tested by Other Businesses
The company, on the other hand, is still cranking up the effort to open up even more cashier-free Go stores. It should also be noted tha other third parties just like Sainsbury and Starbucks are now testing out the Just Walk Out feature.
In 2020, Amazon also opened up its very own Amazon Fresh grocery store. With that, Engadget notes that this move is more of a shift when it comes to the company's strategy compared to a retreat.
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This article is owned by Tech Times
Written by Urian B.
