Amazon (Grab and ) Go - Chicago
If you were to ask the average grocery shopper what they loathe the most about the experience, top among the reasons would be waiting in lines (next might be the yacht-rock music, but let’s tackle one problem at a time). Amazon Go did something that plenty of “grab and go” stores couldn’t do: they literally made their stores grab. And go. No checkout lines.
We took a field trip to the Amazon Go store in Chicago to get a sense of the experience. And what we found went a little something like this:
1. Download the Amazon Go app before you go.
2. Walk in, grab what you want
3. Walk out.
Done. A complete shopping experience, all without having to interact with a single person — it’s a misanthrope’s dream. And, it kind of feels like you’re shoplifting, if that particular brand of rush appeals to you without having to deal with actually breaking the law.
Also of note: A small team of orange-shirted Amazon Go employees are responsible for making sure that when products are taken off the shelves they are replaced in such a way that there is never an “indented” stack. All shelves appear fully stocked. They also turn all labels outward in a uniform way that, if you’re a bit OCD, will likely keep you staring at the aisles for longer than you should, eliciting at least one, “Are you okay?” from another shopper. Yes, I’m okay. So. Okay. It’s beautiful.
Seriously. Note the orientation of all of the labels. Soooo satisfying.
What Amazon Go has done is truly mastered “convenience,” which used to be a category of stores that I imagine will be greatly impacted by Amazon’s plans to expand to as many as 3,000 locations by 2021. But Amazon Go is truly, actually convenient — all while keeping prices low, and providing a large variety of high-quality fresh options thanks to their partnership with Whole Foods.
At least for now, Amazon Go locations are strategically placed amid hustle and bustle, with a location just opening in San Francisco, two locations in the Chicago Loop, and a third location planned at Ogilvie Transit Center. The other three locations are in Seattle (Amazon’s home turf).
Amazon Go will likely impact both convenience as well as quick-serve restaurants. However, with the news of the ~3,000 locations to come, shares of a wide variety of retailers lowered, including not only CVS and Walgreens, but also Kroger, Target and Walmart. No retailers will be immune from this level of expansion, and it will be interesting to see if and how Amazon Go changes the format and offerings based on the type of location.
While Amazon was the giant that first set the stage for personalization, Amazon Go is not (yet) going there. As of now, they are not advertising or targeting via the app, but because the app is linked to the larger Amazon account, Amazon Go has line-of-sight to not only Amazon Go purchases, but also all Amazon purchases.
All brands will likely be impacted indirectly, as Amazon Go expands and retailers begin to feel the pinch.