Amazon will shut all 19 of its Amazon Fresh stores in the UK, just four years after opening its first outlet in London. Five of the locations will be converted into Whole Foods Market shops, the US organic grocery chain that Amazon acquired in 2017.
The Fresh stores, launched in 2021, offered cashierless shopping using cameras, sensors and an app to charge customers automatically when they left. But the format failed to catch on after demand for contactless shopping fell post-pandemic, leaving Amazon unable to compete with Tesco and Sainsbury’s.
Amazon has not confirmed how many staff will be affected but said it plans to redeploy workers elsewhere in the business. The closures come as part of a wider shift in Amazon’s grocery strategy, with a greater focus on Whole Foods and expanding partnerships with retailers including Morrisons, Iceland, Co-op and Gopuff.
From next year, UK shoppers will also be able to buy fresh groceries such as dairy, meat and seafood directly on Amazon’s website. Meanwhile, the company faces regulatory scrutiny, with the Groceries Code Adjudicator investigating claims that Amazon has failed to pay suppliers on time.
Amazon UK boss John Boumphrey said the company remained committed to innovating in the grocery sector, promising more choice, convenience and low prices for customers despite the Fresh closures.
