“Amazon Go” to the Unemployment Line
Jan 8, 2017
The online shopping website that we all know and love has decided to expand its prowess into the grocery store industry by coming out with Amazon Go. This revolutionary grocery store has no check-out lines and instead uses advanced technology normally used for self driving cars to keep track of items customers pick up. The idea of a grocery store without the check out line may be enticing. However, if other major chain stores adapt their technology then thousands of jobs are sure to be lost. There are also sure to be many technical errors during the store’s beginning months that may end up overcharging for certain items or not charging them at all, hurting or overinflating Amazon’s profits. Amazon may bring smaller local grocery stores out of business with its low prices and the convenience of “just walking out” with your groceries.
Cutting out the check-out line also means cutting jobs to the hundreds of cashiers normally employed by traditional grocery stores. Amazon instead capitalizes on the money they save by not having to pay wages by making their products cost less, which will then give them an advantage over other local grocery stores and potentially run them out of business. Has Amazon found a way to take over the entire grocery store industry? Only time will tell; as of now, there is only one Amazon Go store in Seattle, Washington, which is also where Amazon’s headquarters is located. With any form of new technology, there are bound to be critical errors. From errors when customers sign into their account to errors in pricing, there are multiple ways that things can go wrong for Amazon and the consumer.
“I think Amazon would have more competition and would have to do something out of the box to keep their customers. I think the Amazon grocery store could eventually replace other grocery stores but it would take a lot of time because of the hesitation of the community towards trying something new. On the other hand, people are getting so lazy that the Amazon grocery store idea could be a big hit,” sophomore Melanie Elguezabal said.
The idea of convenience is a big seller, and Amazon clearly knows it, since they are known for free 2-day shipping for their Amazon Prime members. It’s easy for people to overlook the fact that many people may lose their jobs when they could just grab their mac & cheese and tissues without being judged by a cashier. How much more convenient can it get from just walking in and out of the grocery store with everything you need? If Amazon Go is spread to busy and fast paced cities like New York, it is sure to be successful due to the hustle and bustle nature of that city. However, the idea may be a little lack luster in more rural areas where traditional grocery stores will reign supreme.
While there may not be any checkout lines at Amazon Go, customers are still required to have an Amazon Go account in order to purchase anything at the store. A simple scan of your smart phone will allow access to this smart grocery store. However, as of now it is only open for Amazon employees and is set to be open for the public in “Early 2017,” – a bit vague. Also, since Amazon Go will only sell consumable items like meal kits, it is unlikely that they will pose much competition to mega-stores like Walmart or Target that also sell merchandise like clothing and household products.
If Amazon Go lives up to the hype and is as successful as many people are claiming it will be, then we very well may find ourselves shopping from an Amazon Go store in Miami! This is concerning to those who plan on applying for jobs at traditional grocery stores, since they will undoubtedly not be needed if other stores incorporate this type of smart technology.