Information Systems Integration – Tony Messina

Amazon Opens Grocery Store With No Check Out!

As we have learned in class, a CRM system is crucial to identify your customers’ needs and helps you determine how to meet those needs. Amazon recently opened a grocery store where you pick up items and walk out. No long check out lines. Amazon has identified an unmet need or complaint by consumers, the long check out line, and this is their solution to the dilemma. They use technology called “Just Walk Out” which uses cameras, sensors, and barcodes that allows the consumer to add to their digital tab by picking up items and walking out of the store. This platform offers big potential for Amazon’s CRM system. They can gather customer data about what they like and don’t like in the store, what they pick up and put back, and what goes paired well together. This data will be able to go through their CRM system and can be used for future decision making. Amazon has been on the forefront of new technology, and they hope this space will add to their customer centric business model.

The Amazon Go convenience store at Amazon's headquarters

What do you think this business model will do to the current grocery store industry? Would you use this platform for grocery shopping? Do you think this platform will be a success for Amazon?

https://www.usatoday.com/story/tech/news/2018/01/21/amazon-set-open-its-grocery-store-without-checkout-line-public/1048492001/

2 Responses to Amazon Opens Grocery Store With No Check Out!

  • Hey Thomas,

    This is definitely an interesting story and one that seems to have the potential to completely disrupt the retail industry. At first glance I have many logistical questions about how they would know what I was taking with me and/or the potential of theft. After reading your post and looking over the article, it seems that the amount of technology introduced is almost obscene and seems to have every inch of that store covered. It almost feels unsettling how easy it would be for Amazon to track my every move in that store. For me, the convenience of being able to walk in, grab my things, and leave just like that may outweigh my concerns of being “watched”. However, I think Amazon would surely have to be careful with how they approach a customer after a visit.

  • Hi Thomas,

    The Amazon Grocery Store is definitely something that is going to have an impact on the way consumers shop. I believe this is definitely an easier way to shop but at the same time it seems like a place were you are always being watched. Now being that this is just a grocery store, I guess that is fine, but at the same time I can see it turning off consumers. With all of the technology that is involved to keep a store like this running, I feel like it will take a while for this trend to catch on. I would definitely be interested in trying this type of store out. This platform works well for Amazon for it provides an outlet for them to sell items such as produce and poultry, which they have not been able to over the web

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