Amazon announces the closure of 87 flash stores across the US,
reflecting on physical retail strategies
According to foreign media reports, Amazon Week will close all its 87 "flash stores" in the United States in April and reflect on its physical retail strategy.
Amazon has a flash shop in the National Whole Foods, Kohl's stores and shopping malls. These flash stores allow customers to try out Amazon products such as Fire tablets, Kindles, Echo smart speakers, and Amazon services such as Prime Video, Prime Audible and Kindle Unlimited.
Amazon said: "In the Amazon network, we regularly evaluate our business to ensure that we make deliberate decisions about how to best serve our customers in the best way. After many evaluations, we decided to stop us. The flash shop project."
With the closure of the flash shop, the relevant employees will also be dismissed, it is not clear how many employees will be affected. An Amazon spokesperson said it will work hard to find other opportunities within the company for employees.
In addition, it is unclear whether Amazon will close flash stores outside the United States. However, turning off the flash store will not affect Amazon's unmanned convenience store Amazon Go.
Amazon also announced that it will add several Amazon Books and Amazon 4-star stores to "provide a wider range of product choices and a more comprehensive customer experience for more customers." Currently, Amazon has three Amazon four-star store stores and 19 Amazon bookstores. Amazon's four-star stores allow customers to browse and try out certain products sold on their websites that have a customer rating of four stars or higher. Amazon said it will open more four-star stores and more Amazon bookstores this year.
In fact, Amazon’s closing of the flash store is at a time when its traditional physical retail business portfolio is adding value. Two years ago, Amazon acquired the Whole Foods Supermarket and acquired more than 460 stores under its retailer. The Wall Street Journal reported last week that Amazon plans to open dozens of new grocery stores across the United States, and is expected to open its first grocery store in Los Angeles sometime this year.
On March 5, in a conference call with analysts, Kohl's said it would gradually close 30 Amazon flash stores in its stores. Kohl's CEO Michelle Gass said that Kohl's has decided to switch to Amazon's electronics. Currently, 100 Kohl's stores that can accept Amazon returns will continue to accept returns.