Amazon closing Fresh and Go stores
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The e-commerce giant appears to have inadvertently tipped off some employees to layoffs planned for Wednesday, Jan. 28, by sending an errant email.
The message was apparently sent in error hours before workers were expecting thousands of job cuts to be announced.
Amazon is closing its Fresh grocery stores and Go convenience stores, the company said Tuesday. It will convert some stores to Whole Foods locations.
Amazon's top grocery executive Jason Buechel told staff that the company needs to make more "deliberate choices" to win over customers.
Through its brick-and-mortar trials, Amazon realized its customers have a stronger brand affinity with Whole Foods Market than they do with Amazon Go or Amazon Fresh convenience stores. Fully closing these concepts allows the company to consolidate its brick-and-mortar strategy entirely around Whole Foods.
The fourth quarter is the holiday season, when Amazon reports its highest sales numbers, but not necessarily its highest growth. Consumer data reports point to a strong holiday season, especially in e-commerce, and Amazon should be a big winner there.
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The tech giant canceled a morning meeting after sending a commiserating email to affected employees hours before the meeting was to occur.