Amazon Fresh, what to expect from high-tech e-commerce giant’s budding chain of physical grocery stores, is set to open Thursday in Naperville, the first of four stores the company is planning in the Chicago area.
The high-tech shopping experience will include the option to use Dash Carts, which use cameras, sensors and scales to identify the items selected and ring them up, allowing customers to skip the checkout line. Terminals outfitted with voice-enabled Alexa, Amazon’s personal assistant technology, will help shoppers locate products and offer recipe suggestions.
The 35,000-square-foot Naperville store, at 3116 S. Route 59, is that the fifth Amazon contemporary store nationwide and therefore the 1st outside of Calif.. Amazon has been mistreatment the area since July to meet on-line grocery orders.
Seattle-based Amazon, that opened its 1st contemporary store in September in la, is finance in bricks-and-mortar because the pandemic fuels a surge in on-line grocery sales.
“We believe that each nowadays and within the future there’s a true place for in-store looking, and that we assume we provide one thing new and completely different,” aforesaid Jeff Helbling, vp of Amazon contemporary Stores.
The recent idea is concentrated on convenience moreover as low costs, like 15-cent bananas and rotisserie chicken for $4.97.
Prime members will get free same-day delivery and pickup. a neighborhood of the shop are going to be dedicated to pick-up lockers and returns for things bought on-line or in-store, while not the requirement for packaging or shipping labels.
The Naperville store can have a dish cook, deli, bakery, dish counter and a made-to-order sandwich counter.
Its assortment can embody massive national brands moreover as native brands like Oberweis farm and Revolution production. it’ll provide Whole Foods Market’s 365 organics line and Amazon-exclusive brands, together with its new private-label wine whole Cursive.
The recent stores ar being watched closely as a doubtless tumultuous force within the grocery business. they’re Amazon’s biggest invade physical retail since it bought Whole Foods in 2017.
Conventional grocers like Jewel and Mariano’s, that have similar product offerings, can face larger competition from Amazon recent than specialty grocers like recent Thyme or commonplace Market that have additional premium and connoisseur merchandise, aforementioned Amanda Lai, manager at Chicago-based retail practice McMillanDoolittle.
Its competitive evaluation will place pressure on budget merchandiser Aldi, she said.
Meanwhile, native freelance grocers like Pete’s recent Market and Tony’s recent Market, that lack the shopping for power to vie on worth, “will have to be compelled to emphasize their native roots and superior client service to remain competitive against Amazon recent, that lacks the communal ties of those independents and is additional technology-focused than customer-focused,” Lai said.
Amazon has proclaimed plans for four recent stores within the Chicago space, and is hiring one,500 individuals at a beginning pay of $15 associate degree hour. Helbling declined to mention once the stores in Bloomingdale, Oak field and Schaumburg would possibly open.
“We’re excited about Chicago and Illinois more broadly,” said Helbling, who lived in Chicago for a decade before moving to Seattle.
While the local debut is focused on the suburbs, the overall real estate strategy includes city locations, Helbling said.
Amazon has not announced how many Fresh stores it plans to open overall. Analysts have estimated the company is planning for a U.S. footprint of 2,000 physical grocery stores, including about 750 Whole Foods. It also operates about 30 automated Amazon Go convenience stores in big cities.