Amazon is closing all of its Amazon Go and Amazon Fresh grocery stores, effectively ending a years-long experiment in cashierless technology and a significant push into physical retail. The closures, announced this week, will impact locations across the United States, with some sites slated for conversion into Whole Foods Market stores, according to the company.
The decision marks a major shift in Amazon’s grocery strategy, signaling a renewed focus on online delivery and its existing Whole Foods Market chain. Amazon currently offers grocery delivery to over 5,000 U.S. Cities and towns, including same-day service in many areas, and plans to expand that service further in 2026. The company will also continue to invest in Whole Foods Market, with plans to open over 100 fresh stores in the coming years, including additional Whole Foods Market Daily Shop locations.
Amazon Go stores, which pioneered the “Just Walk Out” technology allowing shoppers to grab items and leave without checking out, proved unable to scale profitably. The technology, which utilizes sensors and artificial intelligence to track purchases, will now be licensed to other businesses, such as sports stadiums and concession stands. “Whereas 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,” Amazon stated in a blog post.
The Amazon Fresh stores, intended as a physical counterpart to Amazon’s online grocery service, also faced economic challenges. An Amazon spokesperson previously indicated that the company “couldn’t make the economics work with the lease cost” for some locations, leading to earlier closures in 2024. The current closures represent a more comprehensive retreat from the Amazon Fresh physical store model.
Despite the closure of its physical stores, Amazon maintains a substantial presence in the grocery market, ranking as one of the top three grocers in the U.S. With over $150 billion in gross sales annually and more than 150 million grocery shoppers. Customers can continue to purchase groceries and household essentials through Amazon.com and the Amazon app, as well as through Whole Foods Market stores and the company’s delivery services.
Amazon’s grocery delivery service offers customers a range of options, including delivery of fresh produce and household staples, and, where available, rapid delivery options. The company has established a delivery network capable of fulfilling orders efficiently without requiring customers to visit a physical store.
