Amazon has opened the doors on its first physical store outside the US as it looks to explore automated store options in European markets.
The first Amazon Fresh convenience store has opened in Ealing, London. Credit: Amazon
The store is located in Ealing, London and will focus on everyday items such as food on the go, ready meals and essentials like bread and milk.
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Similar stores are already operating in the US, but is operating under a different brand, "Amazon Fresh," named after its food delivery service in the UK.
Like their US counterparts, Amazon Fresh stores rely on a branch of automated technology which allows customers to put items in a bag and walk out without having to wait in and queue, reducing the need for cashiers, so staff can instead focus on stacking shelves and attending to customers. All paying is done through a mobile app.
The app also offers a bespoke code for shoppers, which grants access to the facility.
However, this does create a barrier for entry for those without access to a smartphone.
Matt Birch, director of Amazon Fresh Stores told the FT: “We’ve chosen Ealing because it is the sort of location where people enjoy shopping locally and there are also good transport links."
“We work back from customers. We could see that queueing was a real pinch point in this kind of store.”
While food on the go will be the primary stock for the store and the menu is set to shift throughout the day.
The first Amazon Go - its US shop brand - opened in Seattle in early 2020 and is the size of a regular supermarket.
Convenience stores are by far the more common model used and this is likely to be the most prevalent model used in the UK too, such as the store in Ealing.
27 stores are currently in operation in the US.
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Birch has said the e-commerce company are looking to open a few more stores across London and then branch out to the city centres.
Convenience stores and the like continued to operate decent profit margins during the pandemic as many managed to remain open due to their stocking of essential everyday items.
Birch said the company may consider expanding into larger out-of-town supermarkets at a later date, but this remains unconfirmed.
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