Amazon to Open Superstore Near Chicago
Amazon (NASDAQ: AMZN) is planning to launch a 225,000 square-foot superstore outside Chicago, aiming to compete with Walmart by offering groceries, consumer goods, and general merchandise. This development comes after the company announced it would close 72 Amazon Go and Amazon Fresh grocery locations to focus on expanding its Whole Foods Market business.
Historically, Amazon’s brick-and-mortar ventures have faced challenges, resulting in the closure of all 68 of its bookstores and pop-up electronics shops last year. However, experts suggest that an expansive suburban megastore may have a better chance of success, given the proven formula utilized by competitors like Walmart, which operates over 5,200 stores in the U.S.
Amazon currently has approximately 200 million Prime subscribers in the U.S., presenting a significant opportunity to convert online shoppers into in-store customers, potentially capturing a share of the $6 trillion in retail spending that remains offline.
