The chain is opening its first store in Los Angeles and the goal is to compete with Walmart for a market share
In 2020, Amazon will open its first supermarket in Los Angeles, in neighborhood of Woodland Hills, in the United States. However, in this point of sale, the customers will not have the same services as at the Whole Foods chain, nor to the technology of the Amazon Go stores. According to the company, this will be the enterprise’s first supermarket and, according to the Wall Street Journal, Jeff Bezos is aiming at strengthening Amazon in the food sector.
On the other hand, Amazon’s main goal with its supermarkets is competing against the sector giant Walmart for a share in the US$ 800 billion market, which today has Sam Walton’s chain on the lead. Actually, they are already competing since last October, when Walmart launched the Delivery Unlimited program, for US$ 12.95 a month, to which Amazon responded extinguishing the US$ 14.99 delivery fee charged by Amazon Fresh and the Whole Foods stores.