Amazon could launch a new type of supermarket in early 2020 – supermarket without cashier of Amazon. After adopting a cashierless technology at a convenience store two years ago.
What is supermarket without cashier of Amazon?
The US e-commerce giant is experimenting with cashierless technology at a nearly 1,000-square-meter supermarket in Capitol Hill in Seattle. This is the latest effort in Amazon’s ambition to dominate the US $ 900 billion retail market in the US.
Earlier, Amazon opened its first cashier-less convenience store (Amazon Go) in Seattle in 2017. Up to now, the e-commerce giant operates 21 facilities across the United States. At the Amazon Go store, customers can pick up the products they need and leave right away without having to wait in line for payment at the cashier like regular department stores or supermarkets.
The condition for shopping here is that customers have to install the application of the same name on their phones. When entering the store, customers simply scan the QR code to connect to Amazon Prime account. Then, with the sensor system and artificial intelligence, any operations of picking up or returning goods are recorded into the account. When customers leave the store, their Amazon Prime account will automatically be deducted the corresponding amount.
Amazon’s cashier-free convenience store.
It is unclear how much Amazon has invested in the Amazon Go model, but according to a Bloomberg source, the total salary for about 1,000 project developers from 2012 to now is over $ 1 billion.
Many customers praise the Amazon Go store as “technical masterpieces”. However, retail analysts are skeptical that low profit margins at this store will be enough to offset technology costs. Another Bloomberg source said, Amazon spent millions of dollars on the camera system, network of equipment and services at the first Amazon Go store, but the following facilities cut costs significantly thanks to the minimalist system.
In spite of adopting current technology, Amazon is subject to criticism from its competitors that – cashier-less stores “leave” low-income Americans and millions of people without bank accounts. According to CNN, in 2017, about 8.4 million US households (equivalent to 6.5%) did not have a bank account. In response to these pressures, in April, Jeff Bezos’ business announced that it could accept cash at 10 Amazon Go stores.
This year, Philadelphia, New Jersey passed a ban on cashless stores. Lawmakers in New York, San Francisco and Washington are considering similar measures with stores that do not accept cash.
Tu Anh (according to Bloomberg and CNN)
* Source: VnExpress