Amazon Announces Closure of All Amazon Go Stores by 2025, Reshaping Tech-Driven Retail
Amazon will shutter all of its remaining Amazon Go cashierless convenience stores by the end of 2025, marking a strategic pivot away from its high-tech retail format. The decision impacts roughly 30 locations across major U.S. cities, including New York, Chicago, San Francisco, and Seattle—the birthplace of Amazon Go.
Launched in 2018, Amazon Go stores were among the first to offer “Just Walk Out” technology, allowing customers to shop and leave without checking out. Shoppers scanned their smartphones at the entrance, while an array of cameras and sensors tracked their selections. Purchases were automatically charged to linked Amazon accounts. The format promised speed and convenience, but struggled to gain mass consumer adoption or deliver consistent profitability.
Amazon cited changes in consumer shopping behavior and internal cost-cutting priorities as key factors behind the closures. While the tech giant previously positioned these stores as the future of brick-and-mortar retail, operational expenses and limited foot traffic presented ongoing challenges. The COVID-19 pandemic further intensified shifts in shopping habits, with more consumers opting for online and delivery-based solutions, reducing demand for high-concept physical stores.
The closure underscores a broader recalibration of Amazon’s physical retail ambitions. It follows the company’s 2023 decision to slow expansion of Amazon Fresh grocery stores and its exit from physical bookstores. Industry analysts note that these moves reflect the difficulty of translating online retail expertise into sustainable in-person models.
For FMCG brands, the exiting of Amazon Go removes a niche but influential distribution channel, particularly for grab-and-go items. It also signals a reorientation toward platforms that offer greater scale and repeat purchasing behaviors. FMCG players should monitor how Amazon reallocates its resources—particularly within Amazon Fresh, Whole Foods, and last-mile delivery ecosystems—as the company deepens digital integration in its grocery efforts.
While Amazon will continue exploring applications for its cashierless technology—licensing it to third-party retailers and airports—the closure of Amazon Go highlights the importance of balancing innovation with commercial scalability. The announcement serves as a reminder that even tech-driven disruptions must align with core consumer needs and economic viability.