Price research shows Amazon Go Grocery is already undercutting circuitously sell rival

We compared prices during a new Amazon Go Grocery store to a circuitously QFC on 17 items. (GeekWire Photo / Taylor Soper)

Amazon done headlines Tuesday with a entrance of a newest cashierless grocery store judgment in Seattle. The opening drew hundreds of smartphone-equipped shoppers fervent to try out a “Just Walk Out” record that removes a checkout routine from a selling experience.

But does larger automation meant reduce prices? GeekWire sought to answer this doubt with a possess exam Tuesday evening, selling for matching products during both Amazon Go Grocery and a Kroger-owned QFC only down a travel in Seattle’s Capitol Hill neighborhood. Kroger is one of several incumbents confronting new foe from Amazon, that is creation moves in a $800 billion U.S. grocery attention given a 2017 merger of Whole Foods.

We compared a basket of 17 items, from uninformed vegetables to finished goods. The verdict? We saved some-more than 5 percent, or $2.92, during Amazon Go Grocery, profitable $52.78 for equipment that cost $55.70 with a bar label during a circuitously QFC. Without a QFC bar card, a disproportion would have been scarcely 25 percent, a assets of about $10.

Here’s how a profits compared:

Here are some discerning takeaways:

  • Produce by a unit. Other than a cashierless tech, this is a biggest disproportion during Amazon Go Grocery compared to other stores. Fruits and veggies are labelled by a section — for example, $0.80 for one Fuji apple, contra a $2.29 per bruise assign during QFC. We weighed a apple during QFC (10oz) and distributed a per section cost of $1.43. Other examples during Amazon Go Grocery: $0.64 for one yellow onion; $2.29 for one eggplant; $0.58 for one roma tomato; $1.19 for one vast avocado; $0.25 for one organic banana.
  • A QFC Advantage Card shaved about $10 off a a cost of goods. Amazon Go Grocery does not offer a bonus module — not yet, during least. You don’t need a Prime membership to emporium during Amazon Go Grocery. But don’t be astounded if Amazon rolls out Prime member discounts during Amazon Go most like a association offers during Whole Foods.
  • “Surveillance shopping” feels like magic: “So we only travel out?” we asked an worker as we was prepared to leave. The record is impressive. Not carrying to wait in line is awesome.

  • I favourite removing my receipt around a app. It took about dual hours to get a receipt by a Amazon Go app. This is most longer than during a Amazon Go store. We’re seeking Amazon because this was a case. But even with a delay, it’s eventually a convenience. You can ask a reinstate for any particular item. It’s another sign of how most information Amazon is collecting — not only what you’ve purchased, yet what equipment we collect adult and put behind on a shelf during a earthy store. It’s most like how Amazon marks online shoppers browsing a marketplace.
  • Yes, but: Sometimes, those conversations with associate shoppers or few mins of gibberish with a assistant can lighten your day. Amazon Go’s record seems like another step toward a “de-personalization” of food.
  • While a Amazon Go Grocery store does not have cashiers, Amazon employs workers who assistance restock equipment and answer patron questions. The association hasn’t disclosed a tangible worker count, yet we speckled during slightest 5 workers roaming a floor, creation it feel like a normal grocery store — solely for a deficiency of cashiers and checkout lines. “We’ve simply shifted how a associates spend their time so they can assistance broach a good knowledge for shoppers,” Amazon says on a FAQ page.
  • Amazon is everywhere. we done a array stop during a Amazon-owned Whole Foods adult a travel from QFC on my approach home. After leaving, we gathering by another Amazon Go preference store. And before removing on a highway, an Amazon Prime smoothness outpost upheld by. We’re vital in Amazon’s world.

For some-more on a new store, see a hide look here.

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