Plug set to be pulled on all Just Walk Out technology powered Amazon Fresh stores in the UK

Amazon is binning its ambitious Amazon Fresh experiment in the UK, just four years after the US online giant launched its first grocery store in London.

It is set to shutter its 19 Fresh stores, with plans to convert five of these into Whole Foods Market locations.

The first one opened in the UK during 2021 in Ealing, west London, powered by Just Walk Out technology.

The original target was a portfolio of more than 200 locations by the end of 2025. However, the concept failed to catch on in a notoriously competitive grocery retail space dominated by the likes of Tesco, Sainsbury’s, M&S, Co-op, and Asda.

Amazon did not say how many staff would be affected by the closures, but it does plan to offer workers new roles in other parts of the business. The move comes amid a broader overhaul of its grocery retail strategy, with a stronger focus on Whole Foods.

In a LinkedIn post, retail analyst, Natalie Berg, said: “They came. They disrupted. They didn’t quite conquer. Why not? Because they underestimated the competition. The UK is one of the most competitive grocery markets in the world - which also makes it one of the most innovative. If Amazon was going to disrupt the status quo, they needed to offer something truly special.”

She added: “And they thought they had it: the checkout. The launch of fully autonomous, checkout-free stores was bold. It was fresh. It was the kind of innovation that made people ask: Could this change grocery shopping forever? No one likes queuing. This could have been Amazon’s killer differentiator in such a crowded market.”

“Here’s the catch. They achieved first mover advantage but, as we know, today’s innovations are tomorrow’s norm. Competitors caught up quickly. And here we can give Amazon some praise - they are a catalyst for change! It didn’t take long for Tesco, Sainsburys, even Aldi to launch their own version of ‘Just Walk Out.’ So where did that leave Amazon? If the tech was meant to be the differentiator, and everyone else is now testing their own version of it, what is it that makes Amazon special?”

Berg concluded: “And that’s the crux: it’s never been clear what Amazon stands for in grocery. Are they cheaper than Sainsbury’s? Higher quality than Tesco? More convenient than Aldi? I honestly have no idea and I’d be willing to bet most shoppers didn’t either. On top of that, adoption of the tech was slower than expected. Turns out what shoppers value at the checkout is choice. They don’t want tech forced on them. Even other retailers who trialled autonomous checkout have shifted toward hybrid models.”

“So where does that leave Amazon? They succeeded in shaking up the industry and pushing incumbents to raise their game - which ultimately benefits consumers. But they fell short of conquering because they lacked a clear identity, a clear purpose, and a clear reason for shoppers to choose them in one of the most cutthroat markets in the world.”

2025 RTIH INNOVATION AWARDS

Check-out free stores will be a key focus area at the 2025 RTIH Innovation Awards.

The awards. which are now closed for entries with our finalists and shortlists being announced this week, celebrate global tech innovation in a fast moving omnichannel world.

Our 2024 hall of fame entrants were revealed during an event which took place at RIBA’s 66 Portland Place HQ in Central London on 21st November, and consisted of a drinks reception, three course meal, and awards ceremony presided over by comedian Lucy Porter

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “The event is now into its sixth year and what a journey it has been. The awards started life as an online only affair during the Covid outbreak, before launching as a small scale in real life event and growing year on year to the point where we’re now selling out this fine, historic venue.”

He added: “Congratulations to all of our finalists. Many submissions did not make it through to the final stage, and getting to this point is no mean feat. Checkout-free stores, automated supply chains, immersive experiences, on-demand delivery, next generation loyalty offerings, inclusive retail, green technology. We’ve got all the cool stuff covered this evening.”

“But just importantly we’ve got lots of great examples of companies taking innovative tech and making it usable in everyday operations - resulting in more efficiency and profitability in all areas.”

Congratulations to our 2024 winners, and a big thank you to our sponsors, judging panel, the legend that is Lucy Porter, and all those who attended November's gathering. 

For further information on the 2025 RTIH Innovation Awards, please fill in the below form and we will get back to you asap.