Core Insights - Amazon is shutting down all 19 Amazon Fresh stores in the UK, just four years after launching its first grocery shop in London, and plans to convert five of these into Whole Foods Market shops [1][3] - The Fresh store concept struggled due to declining demand for contactless shopping post-pandemic and failed to compete effectively with major UK grocery chains like Tesco and Sainsbury's [2] - Amazon is shifting its grocery strategy to focus more on Whole Foods, exercising greater control over the brand since its acquisition in 2017 for $13.7 billion [3] Business Strategy - Amazon plans to offer affected Fresh store employees new roles within the company as part of its restructuring efforts [3] - The company aims to double the number of Prime subscription members in the UK with access to various grocery options through partnerships with Morrisons, Iceland, Co-op, and Gopuff [4] - Starting next year, customers will be able to purchase fresh groceries, including dairy, meat, and seafood, directly from the Amazon website [5] Regulatory Environment - Amazon's grocery operations in the UK are facing increased scrutiny, including an investigation by the Groceries Code Adjudicator regarding timely payments to suppliers [6]
All Amazon Fresh stores in UK to close