Posted by trenning 6 hours ago
https://www.wsj.com/business/retail/amazon-to-shut-down-all-...
I also found a loophole with the Amazon.com return grocery credit. The systems are separate for the $10 off $40 coupon and you just scan a QR code in the store to get it. It turns out you can just take a photo of their QR code and reuse it over and over again.
Wouldn't surprise me. I know a guy who invented a device for truckers that became ubiquitous in truck stops across the US. This would've been like 2014.
He refused to sell on Amazon, so Amazon duped his product and sold it at something crazy, like half price, until he agreed to list (at which point they dropped their competing product)
[0]: https://www.reuters.com/legal/litigation/amazon-copied-produ...
They are notorious for doing this.
While the general premise is true (big company will try to rip off small company), Amazon doesn't have the magical power to get around patent law and the economic penalties are fairly harsh, which is why most companies don't do it. And no war chest of tech patents is going to get Amazon around a patent in the trucking industry because the inventor of the trucking gizmo couldn't care less about whether Amazon patented the right to make Alexa speak in tongues.
It's possible, and likely, that Alibaba vendors decided to rip off the product, but again...patent law is a useful tool for those who use it, and Amazon can be held liable for the sales of infringing products on its storefronts.
iirc that's exactly what Amazon did to destroy diapers.com over a decade ago
Diapers.com aka Quidsi was already operating at a loss when it was acquired by Amazon. It's whole business model was using VC-funding to offer products below sustainable costs with the goal of eventually jacking up prices once they drove out smaller/local competitors. Amazon used its own business model against it by dropping prices even lower, knowing that the VC investors couldn't afford it.
Walmart passed on buying Quidsi when Walmart was thinking about launching its own e-commerce platform because the business model was unsustainable. Walmart decided they would rather spend several hundred millions building out their own platform then to buy an existing website with millions of customers.
The answer to this is complex, it has any number of products that are cheaper than products of similar quality from any other store. Places like Safeway/Aldi typically beat on price on very generic items that may or may not have similar quality.
The biggest thing to watch for at Walmart is price discrimination dependent on location. Back in the days I used to shop with them (read made less money) picking a store in a poorer neighborhood could save $10 to $30 dollars on the same car of items.
Amazon Go, on the other hand, always seemed like a dead man walking. It's a fun novelty to check out and grab some junk food, but it must be far more expensive to build and run than a 7-Eleven, and it's not even meaningfully more convenient.
I should also add that we've been pretty happy Amazon Fresh delivery customers for a couple of years now (we resisted regular grocery delivery for a long time...until we had a child).
Wegmans is popular because Wegmansnis good. But if you have a local baker, a local grocer, a local deli, and a small grocery store within the same block, all within walking distance of your apartment, you don’t need to deal with the hassles of finding stuff within a massive supermarket.
You get the highest quality products from people who specialize in those products.
Further, when you don’t have to drive 20-30 mins to go to a grocery store but the stores you need are within a 5 min walk, or more likely, right by the subway exit when you’re returning from work, you buy stuff as you need it, rather than stocking up for days.
Thats why Wegmans opened a store in Brooklyn Navy Yards in an area that’s close to no mass transit, because supermarkets are valuable in car centric areas and not as useful in walkable dense neighborhood.
Yeah, so for me that changed after having kids. Once I had to spend 30 minutes a day running around to various stores because we were always running out of everything it wasn't fun anymore.
Furthermore, specialist stores charge higher prices for the same goods because they don't have the pricing power of a large supermarket. It makes a material difference once you have a family.
Urban supermarkets are great because they give you the option of getting everything in one place when you're pressed for time, and they're usually not as large as suburban ones. Mine has a direct entrance from the subway station, so I don't even have to go aboveground.
Once you get used to have everything at a walking distance, you wonder how you could put up with having to drive to a supermarket.
Two are the main advantages.
The first is that you don't need to plan much in advance. Want to make hamburger tonight ? Cross the street, get meat from the butcher, get a couple of tomatoes and salad from the grocery store and the bread, and you are ready to go. I used to shop once a week and I had to have an idea of what I wanted to cook every day for the whole week.
The second is that this way you regularly eat really fresh food. My shopping list is always stuff like "two tomatoes", "three apples", "fish for tonight", "a loaf of bread". My fridge is mostly empty.
I don't plan much for this journey. I don't bundle up on clothes or lace on a pair of stout boots first. I just kind of set forth (in my loafers) and drive over there -- even as everything is covered in snow, muck, and it it is 2 degrees (F) outside.
I went there last night for two tomatoes, a head of lettuce, and some cheese because those were the ingredients I was missing to make some tacos last night. While I was there, I remembered that I was running out of green tea at home and picked some of that up. I also grabbed a box of Barilla pasta because I walked by a display of it where it was on sale for 99 cents (oh noes they successfully upsold me on pantry supplies!).
There was no great investment of time or planning needed to accomplish this. I just went to the store for some odds and ends, and that was that. I might go back (or hit some other store) on my way home from work this evening -- since you mentioned apples, I kind of want one. (And I might buy exactly 1 apple. I can do that. It's Kroger, not Costco.)
I need to have the car anyway because it is necessary for me to own one in order to make money to stay alive in my environment. As long as this necessity remains, I might as well also use it for other things.
(I looked at some other addresses I've lived at, and their drive time to the local grocery store, on Google Maps. Despite "distance to grocery store" having not ever been on my radar at all when selecting a place to live, most of the places I've lived were a reported 2 minute drive to the local supermarket. The furthest was just 5 minutes out. I was pretty surprised by this at first, but looking back: That's actually a pretty fair estimate.)
And can taxes from the community actually pay for the infrastructure to support this, or do they need subsidies because taxes per sqft are abysmally low and car infrastructure costs astronomically high? https://www.strongtowns.org/journal/2023-7-6-stop-subsidizin...
But when I've lived in larger cities that did feature such expansive roadways, the supermarket was also less than a ~5 minute drive away.
In one instance, it was close enough that I'd walk there instead of drive -- even for a couple of tomatoes, just to stretch my legs. That was a fairly opulent store as such places go, but there was a Kroghetto just a block further out if I felt like being cheap today.
(And I refuse to be baited into a discussion about how cars are, or are not, evil. I am powerlesss to change that, or to change anyone's views. That's a complete non-starter of a conversation that is absolutely devoid of merit.
I can only piss with the cock I've got.)
Having to walk meant you could only practically buy in small quantities, and visiting different places for different things was super annoying and inefficient.
Moving out and being able to take my car to the georcery store once a week and get everything I needed was one of the best quality of life upgrades from leaving.
Is that really a thing though? I feel like arguing for quality is a strong argument, but between walking between small shops at the end of my work day and just doing one supermarket feels more efficient.
Finding stuff within a supermarket is also not hard once you've been once or twice.
You need to be able to afford it as it it is more expensive, but yes it is.
I have the luck to live in a well served area: I have a Carrefour supermarket at about 200m from home yet I have 3 small markets closer than that. If I have to buy one or two things it doesn't matter if the supermarket is cheaper, in my mind spending 10 euros instead of 9 or 8 is worth it if it takes 5 minutes instead of 15. Moreover instead of having to interact with a bored cashier or an automated checkout machine, I will have a chat with a real person (yes, a cashier is a real person too, but most of the time doesn't act like one) . He will ask me how I am doing, put my stuff in the shopping bag and gasp smile at me. I think we lost sight of how those small things makes our life better.
The interesting part is, I always have to buy just 2-3 things because if it takes 5 minutes, whenever I need I just go out and buy it, so half of my shopping is not at the "big" supermarket.
I have to add though: I work from home, so for me shopping means having to go out just for that. Maybe if I was working at an office the dynamics would be different as I could just stop at a supermarket one the way home.
I'm with the original poster here about Wegmans. In London you have Waitrose, which is 10,000 times better than Trader Joe's/Whole Foods and has fresh bread, alcohol, a butcher, etc etc and way more all in one place.
NYC is gar-bage when it comes to groceries.
If you spend a few minutes in the suburbs, even a rural exoburb outside of NYC, you'll drive to the supermarket and take a deep calming breath. You're not supposed to say driving could ever be better than a walkable city, but if time is precious to you and you value not hauling bags back and forth across multiple stores, you'll be way way happier.
I only speak for myself here, but: While it would almost certainly be very easy for a sufficiently-motivated person to track me down and knock on my front door, I don't like broadcasting the details of where I am.
I might occasionally mention something like "some small city in Ohio [of many hundreds]" when that seems pertinent to the context, but that's about the extent of what anyone will ever get out of me on a public forum.
Y'all generally seem to be rather swell here, but this is a very public place that gets crawled approximately-instantly by search engines, and the world doesn't need to know what block I live on or the name of the bodega on the corner that I might feel like writing about.
And if it’s common and something people look for, it should be findable relatively easily.
Except that you don't. Typically, you have maybe one small store selling random junk reasonably close to you. At high prices, because there's no local competition.
There's a reason the current NYC mayor campaigned on opening government-run stores.
It was a good grocery store with decent produce, a good frozen section, some nice specialty items, and some decent prepared meals. I would put it at roughly the early-2010s era of Whole Foods with slightly better prices. Now that I'm no longer working near there, I don't miss it much.
So I've never understood the hype. But I've also been told that the Boston stores were pretty mediocre compared to the ones in NY and especially Ithaca.
I think the comment you are replying to is playing up a specific characteristic of, like, deep-in-the-city NYC (it looks like Wegmans has a place in downtown Manhattan?). I also read it as slightly tongue-in-cheek. People in NYC know what grocery stores look like, I think. They just don’t fit in dense areas.
I used to joke that you couldn't get a good cup of coffee in NYC in the 1990s because there were 2 or 3 Starbucks on every block to fool stock market analysts that the country was saturated with them -- thus driving out the independent espresso bars that you'd find in flyover states that had better coffee and leaving only the completely-indifferent-to-quality bodegas.
1) just haven’t really ever been on the forefront of coffee
2) invented Dunkin Donuts to flip off the coffee world (I know people sometimes say it is good but I think they are just being contrarian (although I will agree it is really not much worse than, or is just as good as, Starbucks))
Anyway, I’m pretty glad for the explosion of hobbyist coffee, it is pretty easy to make a good espresso at home these days.
I haven’t heard any Wegman’s fans comment on their NYC stores. I’ve heard multiple people wax poetic about Wegmans who frequented the Princeton-area store and the Ithaca store.
From my experience, I don’t get it, but I haven’t spent substantial time in either of those stores.
It's all made centrally now, for 3x the price and half the taste. All the kids went and got MBAs and the third generation family business curse hit hard as a result.
I've heard locals say "Bob Wegman loved people, Danny Wegman loves food, and Colleen Wegman loves money".
(Same reason closing the seafood counter got a big backlash. There's a similarly awesome guy working there. For now.)
This[0] image basically says it all, and quality has only further nosedived since 2020.
[0]https://i.ibb.co/Zz2Mb6rF/e0vb5drbeh0e1.jpg
In general, it seems like the pareto products dont exist anymore, the midrange has basically dropped out for daily products and it's been bifurcated. If quality is a scale from 1-100, most places sell a 1, a 10, or you go to an artisanal place for a 90, for exorbitant prices.
But in the past a supermarket or toy store would have sold you an 80 for a reasonable price.
What sucks even more is that for example due to the cacao shortage, lots of products now contain less cacao for the same price. And usually down from 500g/250g to something like 485g/235g. Shrinkflation.
But, when cacao becomes cheaper or inflation stabilizes, companies don't think "let's push the quality back up for the same price", no, they'll pocket the difference. The same is planned to happen if Trump's tariffs get struck down. Businesses will get a huge refund, but the customers that got the costs passed along won't see a penny.
To be fair I've noticed this in multiple supermarket chains the last few years. Although they aren't usually employees, they are instacart runners or whatever.
I go fairly often to a Sprouts grocery store and there are times I need to avoid multiple people clearly doing an Instacart run with 2+ carts full of items.
Shelves are often emptier than they used to be also at these times.
I've been weirded out by the fact that their jr burger buns are now super shiny as if they are spraying something on them. I know this is processed food, but no burger bun should be able to reflect sunlight the way their burgers now do...
Ordinal : Cardinal
1 : 0
2 : 1
3 : 2
4 : 3
5 : 4
6 : 5Wonder how much of this is due to economics since computer vision tech never reached the expected performance + outsourced workers got (relatively) much more expensive after COVID.
They trusted their tech enough to accept the false-positive rate, then worked to determine / validate their false positive rate with manual review, and iterate their models with the data.
From a consumer perspective the point is that you can "just walk out". They delivered that.
I get that this is a message board for YC, so lying about your company's tech is considered almost a virtue but that is an unreasonably big lie to tell without getting your hand-slapped by some regulatory body or investor backlash.
Still, would love to see a breakdown of why it didn't improve. Regardless of the accuracy at launch, I'd think that advances in AI would have been massively to their advantage. I wonder if security degradation hit them hard.
The entire system depends on a level of social trust that doesn't exist in American cities today. Similarly, the "Dash Cart" seems like a cheaper and easier way to accomplish the same thing.
At the end of the day, there's also a mismatch in the use case. If I'm going to a smaller format store, like they had, I'm not buying a ton of stuff. Self checkout is great, and minimal friction.
I'd think that improving the UX of self-checkout gets 80% of the way there with way less fraud, way less theft, and way less technology.
Still, I think it's wicked cool they took a big shot.
I know someone that worked on the project in the early days. It was always incredibly difficult technology, they were always behind on their accuracy targets, and the solutions were increasingly kludgy as they layered more and more complex systems on top. An honorable failure.
A lot of smart people really tried to make it work.
But this is tech and you just lie because hardly anyone in the investor class knows enough to call you out on it or they are just going with the lie to make a buck off of other rubes.
Privacy concerns aside, I thought it was a cool project. I agree that “convenience store” was probably not the best target but I think it was an effective enough proof of concept (creating a decent sized chain of them probably wasn’t the best idea) . I’ve seen the system used more effectively in smaller situations like stadium concessions, where the duration of the transactions needs to be very short to facilitate throughout.
Regulation lags so far behind that you can get away with bad behavior long enough that, by the time regulation catches up, you can buy your way out of consequences.
I think people just think that they must be misunderstanding something; that nobody could claim one thing while offering evidence of its opposite. 1/5 of purchases lose their significance.
The supply/demand curve shifted and now those workers are becoming more expensive while domestic workers are becoming cheaper.
I'm not an economist either, but I also assume that as the country attracts more local talent for local companies, the competition for outsourcing becomes harder. (i.e, you now have to pay more than the local companies).
All just speculation on my part though, I really have no clue either.
Scale is beyond comprehension though, there were 250 million people on strike one day last summer. This is not ever really covered in western media or mentioned on HN for reasons that are surely not interesting or worth pondering at all.
Americans have the nearly the highest nominal and PPP income of OECD countries as of 2024, only behind Luxembourg, Iceland, and Switzerland [1].
India experiences substantially higher shelter and food insecurity and poverty rates than the United States.
However, tech workers in Bangalore are paid an order of magnitude higher than prevailing local wages in other sectors, at around ₹2M (₹20 lakh) [2]. Median annual rents for 2BHK (2 bedroom) apartments appear to be around 1/10th of that figure at ₹3 lahk in desirable neighborhoods [3].
It appears to be reasonable for a technology worker to be able to perform a sustained strike. I have never personally traveled to Bangalore, though I have lived in places where cost of living is under a tenth of median American income.
I invite correction by people with first hand knowledge about cost of living in Bangalore.
1. https://www.oecd.org/en/data/indicators/average-annual-wages...
2. https://timesofindia.indiatimes.com/city/bengaluru/median-te...
3. https://www.birlaevara.org.in/best-areas-in-bangalore-for-re...
I don't think the strikes are done by tech people at all. Just normal workers.
250 million people striking in India isn't mainly “tech workers in Bangalore”, or mainly tech and other elite workers at all. It’s about 40% of Indian workers, and most articles I've seen about it centered on widespread participation of workers in coal, construction, and agricultural sectors.
When India "shut down" for Covid, day labourers suddenly had no income, and no government support - they had to walk all the way to their home province (can't remember if the trains were even running).
But oh well, Uberizing employment means the run-of-the-mill American worker can also live like that in the future... progress!
Theoretically if it was 99% computer and 1% human, that's enough to mess up the economics but it's not a bait and switch like some companies have done.
Reports said the “AI” was largely 1000+ people in India watching the cameras.
If Amazon actually managed to build AI that worked well at a decent cost point it would have been great since nobody likes those silly self checkout machines.
What’s amusing about all of this is that before it got leaked that it was basically a bunch of people in India watching cameras Amazon folks spoke about the tech like there was some super secret AI they developed. Since that story broke nobody there seems to want to talk about “just walk out” anymore.
I have little trust that a corporate behemoth will do right by me and refund the discrepancy at an unspecified later time as it says it will on checkout.
¹ Individuals manning a labyrinthine system of cameras and sensor fusion, like hawks, logging the precise moment you plop a Twix into your basket! Praise Bezos!
This was totally fake news though. Those people were labeling training data and reviewing low confidence labels, after the fact. There wasn't ever live monitoring of shoppers.
If everything goes fine, self checkout is fine. But the exception handling process for any of those is thoroughly aggravating, as you wait and try to get the attention of the one overworked attendant dealing with a dozen of these machines constantly throwing exceptions, as the computer screams at you for whatever it thought you were doing wrong.
That's not to say the value of the convenience is never worth it. I exclusively use Sam's Club scan-and-go because the time I save is much larger than the publix/walmart/ect.
"Do things that don't scale."
It was as if they expected everyone to know what to do, but when I’d watch 99% of people just sort of looked at the store, saw the odd gate things, and then just shrugged and walked off. The stores were almost always completely empty amidst a busy concourse.
Even if the tech worked (reports say it didn’t work well) they completely missed the boat on creating a clear customer experience that navigated the new tech.
As for the big Amazon Fresh grocery stores, I only have one out of my way so I only visited once or twice, but the big things I noticed were that it had a small selection and very average prices. Not that surprising because even after buying Whole Foods, Amazon itself has terrible prices on dry goods (meaning supermarket items besides fresh food), and relies heavily on random third-party sellers with big markups for a ton of it.
If they really wanted to get people to buy into Amazon Fresh it would have taken a lot more money (and thus pretty unprofitable for a long while): Probably one way to do that would have been making it as attractive as Costco for Prime members.
Optimus and Robotaxi are just as fake and Elon Musk never shuts up about them.
I guess Amazon never learned the important lesson that the OP meta for modern technology companies is just to consistently and blatantly lie.
I guess Amazon pulled out of the project halfway through, since for the last ~2 years there's been a half-finished building just sitting there completely abandoned in our town center.
My hope is that more towns learn from your experience and don't tolerate this nonsense anymore.
What's the Matter with Kansas? (2004) by Thomas Frank goes into this in part of it. While a bit repetitive (because history) the book is quite good.
Another funny story was that some substack writer (whom I forget sorry) noticed that Bill Ackman subscribed to their substack and used a 30% off coupon ha ha.
While the company he was the founder of passed over a trillion dollars in market cap.
Given that a supermarket abandoned that location, and Amazon never opened on their either, perhaps that location or the lease price simply doesn’t work for a grocery store?
Wondering what the municipality’s responsibility there wrt zoning.
They often put them in places, hoping that people would be attracted by marginally lower prices and brand extension, all while removing one of the primary appeals (for most people) of in person grocery shopping: impromptu community socialization, even if it is simply greeting the checkout worker.
I'm not surprised they failed.
And because they were relying on computer vision and Indian vision, they had to get rid of all their fresh meals because they were too hard to calculate prices for. So, it ended up being a half-assed 7-Eleven concept. The whole concept was made by someone who hates humanity.
I personally prefer stores with actual cashiers. What I don't like are lines, but that is very solvable. The organic grocer near me is super fast to check out.
I've gotten into the habit of stopping in to wander the aisles and check prices because of it (e.g. I stocked up on a bunch of canned soup when most (but not all) Progresso soups were $0.44 a month or two back, and I picked up some microwavable rice+quinoa pouches for my wife at $0.35 each a couple weeks ago, but the inconsistency and overall not great prices mean it can't be my go-to grocery destination.
I'm sure the one by me will be closing since there's a significantly larger Whole Foods just a few miles away.
Edit: oh oops I see this is about physical fresh stores, we never had those in the first place. Here in Europe Amazon fresh is a weird service for quick small grocery orders. For the bigger ones they partner with a local supermarket ("dia" here in Spain). But I never do grocery delivery because I never make any plans, I just make my life up as I go along :)
But Amazon fresh here is expensive and still slow (2hrs) so really not good for anything.
Amazon go I'm not even sure what that is.
And now you don't have to!
Ba-dump-ching! I'll be here all week, folks! :)
I remember WAY back in the day when Arby's implemented touch screen ordering (on CRTs!) and it was a very quirky process. An Arby's employee would sit behind the counter and stare at you while you spent 5 minutes poking a CRT display. Very slow and very impersonal. They discontinued them in a short period of time.
The Go stores were a great experience but they would certainly be uncomfortable for anyone other than early-adopter or tech-forward types of people. I would just walk in with my own bag, and put items directly from the shelf into the bag, and walk out the door. It was extremely convenient and fast once you got over how weird it felt.
I think they could have done a lot more in giving social clues on both the way in and way out.
I've watched so many people struggle to use these machines for so many different reasons. Pretty much anyone with a physical or cognitive disability will be better off with the cashier. Sucks they have to wait much longer for one now.
I am quite privileged and I know numerous people who might have trouble telling you the name of the meal they want even if presented with a hard copy of a menu.
The main thing I use it for is convenient returns, which is why I’m disappointed in this news. I hardly ever buy things there other than things like gum or chips.
It's convenient; I only ever remember one problem where it thought I had purchased an item that I picked up and decided on something else. I disputed it online and it was resolved in a day.
Oh man this is what consumers would love to do, have to constantly adjudicate false positives online which they'd have to track to make sure didn't happen. What nonsense.
one minor downside (especially since I don't live on campus anymore) is that in order to walk around and peruse the shelves, I have to give them my payment info just to enter
So no I didn't feel like I was a thief. But I felt like they assumed I was a thief. My guess is most stores are heavily surveilled nowadays, so it might be unreasonable for me to feel this way with Amazon but not Walmart or Target or Kroger, but that's how it felt.
The Home Depot cameras and screens that "BING BONG" loudly as you pass by to get you to notice them showing that they are recording you are also highly annoying.
I wish there was a greater variety of hardware stores near me...