Amazon plans to launch a new supermarket brand separate from Whole Foods

Marco Green
November 12, 2019

Amazon ratcheted up its ambitions in the grocery business again on Monday, confirming plans for a new grocery format set to debut in California next year.

An Amazon-branded grocery store will launch in the Los Angeles neighborhood of Woodland Hills in 2020, CNET reports.

The new format, operated under the Amazon brand, will reportedly be separate from Whole Foods, the 500-store chain Amazon acquired two years ago for $13.7 billion.

Unlike Amazon's growing number of cashierless Amazon Go convenience stores, the new store will feature conventional checkout technology, says Amazon. Amazon, the report claimed, was planning a chain of dozens of grocery stores across the USA, beginning with sites in L.A., Chicago, and Philadelphia. CNet first reported the news.

Amazon has experimented with its own physical stores in the U.S., and has made tentative steps towards opening its first locations in the UK. We are passionate about creating a shopping experience that customers will love.

The company is also in talks to open grocery stores in San Francisco, Seattle, Chicago, Philadelphia and Washington, D.C., the Wall Street Journal reported in March. That's much bigger than anything Amazon has built in the past. Woodland Hills was mentioned as being among the first locations, along with Studio City and Irvine. Following the acquisition of the grocery chain, Amazon has tried to combat that notion with weekly sales and discounts for Prime members.

"No, this store will not compete with Whole Foods Market", a company spokesperson told CBS News in an email. Will it canibalize Whole Foods customer base?

Other reports by Click Lancashire

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