Amazon announced Tuesday it would be closing its Fresh and cashierless Go stores in Pennsylvania and nationwide, including an Amazon Fresh store in Broomall, writes Kara Seymour for Patch.
Amazon Fresh will continue to exist as an online brand.
“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 in a statement.
Some of the stores will be converted to Whole Foods Markets, with plans to open 100 new stores in the next few years. It did not state which stores would be converted.
Amazon’s grocery business generates more than $150 billion in gross sales annually.
It launched its grocery business 20 years ago, then acquired Whole Foods in 2017 for $13.7 billion.
Whole Foods Market has seen strong success since 2017, with over 40 percent sales growth and expansion to more than 550 locations, according to a statement from Amazon News.
The company is introducing Whole Foods Market Daily Shop based on the Whole Foods brand, which features smaller stores focusing on convenience and neighborhood shopping. The stores offer grab-and-go meals, coffee, and everyday essentials.
Read more about Amazon’s decision to close its stores in Patch and Amazon News.
