Beautiful Virgin Islands

Thursday, Jun 05, 2025

Amazon's attempt to disrupt grocery market not going as planned

Amazon's attempt to disrupt grocery market not going as planned

Amazon CEO Andy Jassy says the retailer has paused expansion of its Amazon Fresh stores

Online retail behemoth Amazon has not yet found the formula for dominance in the grocery industry after years of trying, COE Andy Jassy admitted this week.

The chief executive said on the company's fourth-quarter earnings call Thursday that while Amazon has built what he called a "pretty significantly sized grocery business," it hasn't gained much ground in capturing market share in perishables, which would require a lot more brick-and-mortar locations.

Jassy touted the selection and growth of Amazon's Whole Foods stores but said, "if you want to have a mass physical store offering, you need a different offering." The CEO said that is what Amazon has been working on with its Amazon Fresh locations.

But the ecommerce giant has not found what works with Amazon Fresh just yet.

Inside an Amazon Fresh store in Pasadena, CA, Thursday, September 15, 2022.

CFO Brian Olsavsky said on the same call that Amazon has shuttered some of its Amazon Fresh and Amazon Go store locations "with low growth potential" last quarter, resulting in $720 million in impairment charges.

Jassy went on to reveal that Amazon leadership has made the decision to hit pause on expanding beyond its current Fresh shops while recalibrating to find what works for the consumer.

Andy Jassy, chief executive officer of Amazon.Com Inc., speaks during the Bloomberg Technology Summit in San Francisco, California, on Wednesday, June 8, 2022.


"We've decided over the last year or so that we're not going to expand the physical Fresh doors until we have that equation with differentiation and economic value that we like, but we're optimistic that we're going to find that in 2023," Jassy said. "We're working hard at it. We see some encouraging signs. And when we do find that equation, we will expand it more expansively."

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Global News Roundup: From Ukraine's strategic military strikes and Russia's demands and Tensions Escalate in Ukraine, to serious legal issues faced by Britons in Bali and Trump's media criticism, the latest developments highlight a turbulent landscape
Majority of French Voters View Macron's Presidency as a Failure
Hungary Partners with China to Boost Electric Vehicle Production
‘Vibe Coding’ Emerges as the New DIY Trend
AI Pioneer Yoshua Bengio Warns Models Can Deceive Users
Big Four Firms Rush to Create AI Auditing Systems
Musk’s xAI Pursues $113 Billion Valuation in New Share Sale
Walmart Increases Revenue Despite Shrinking Workforce
Hims & Hers Plans UK and EU Launch of Replica Obesity Drugs
Toyota to Acquire Supplier in $33 Billion Buyout
U.S. Reduces Military Presence in Syria
Trump Demands Iran End All Uranium Enrichment in Nuclear Talks
China Accuses US of Violating Trade Truce
Panama Port Owner Balances US-China Pressures
France Implements Nationwide Outdoor Smoking Ban to Protect Children
German Chancellor Merz Keeps Putin Guessing on Missile Strategy
Mandelson Criticizes UK's 'Fetish' for Abandoning EU Regulations
British Fishing Boat Owner Fined €30,000 by French Authorities
Dutch government falls as far-right leader Wilders quits coalition
Harvard Urges US to Unfreeze Funds for Public Health Research
Businessman Mauled by Lion at Luxury Namibian Lodge
Researchers Consider New Destinations Beyond the U.S.
53-Year-Old Doctor Claims Biological Age of 23
Trump Struggles to Secure Trade Deals With China and Europe
Russia to Return 6,000 Corpses Under Ukraine Prisoner Swap Deal
Microsoft Lays Off Hundreds More Amid Restructuring
Harvey Weinstein’s Publicist Embraces Notoriety
Macron and Meloni Seek Unity Despite Tensions
Trump Administration Accused of Obstructing Deportation Cases
Newark Mayor Sues Over Arrest at Immigration Facility
Center-Left Candidate Projected to Win South Korean Presidency
Trump’s Tariffs Predicted to Stall Global Economic Growth
South Korea’s President-Elect Expected to Take Softer Line on Trump and North Korea
Trump’s China Strategy Remains a Geopolitical Puzzle
Ukraine Executes Long-Range Drone Strikes on Russian Airbases
Conservative Karol Nawrocki wins Poland’s presidential election
Study Identifies Potential Radicalization Risk Among Over One Million Muslims in Germany
Good news: Annalena Baerbock Elected President of the UN General Assembly
Apple Appeals EU Law Over User Data Sharing Requirements
South Africa: "First Black Bank" Collapses after Being Looted by Owners
Poland will now withdraw from the EU migration pact after pro-Trump nationalist wins Election
"That's Disgusting, Don’t Say It Again": The Trump Joke That Made the President Boil
Trump Cancels NASA Nominee Over Democratic Donations
Paris Saint-Germain's Greatest Triumph Is Football’s Lowest Point
OnlyFans for Sale: From Lockdown Lifeline to Eight-Billion-Dollar Empire
Mayor’s Security Officer Implicated | Shocking New Details Emerge in NYC Kidnapping Case
Hegseth Warns of Potential Chinese Military Action Against Taiwan
OPEC+ Agrees to Increase Oil Output for Third Consecutive Month
Jamie Dimon Warns U.S. Bond Market Faces Pressure from Rising Debt
Turkey Detains Istanbul Officials Amid Anti-Corruption Crackdown
×