I shopped at Amazon Fresh to see why it's struggling. I found hyped discounts, odd displays, and bad coffee.

Alex BitterSep 4, 2023, 16:22 IST

Amazon Fresh has operated grocery stores for three years, but the chain has yet to win over many shoppers.Alex Bitter/Insider

It's been three years since Amazon introduced Amazon Fresh, its second chain of supermarkets.
But the stores haven't caught on with consumers, leading Amazon to make some changes.

Expanding its grocery business has been a goal of Amazon's for years. But it's proving to be a tough nut to crack, even for one of the biggest names in retail.

The latest example of that challenge came in early August, when Amazon said it would revamp some of its Amazon Fresh supermarkets, according to Bloomberg Businessweek. The coming changes include Krispy Kreme donut stands, a wider range of items on shelves, and brighter color schemes for store decor. The chain has also cut back on staff. In July, Amazon Fresh laid off employees at its stores, the Washington Post reported.

August marked three years since Amazon opened the first Fresh store in the US. In that time, Amazon has built a network of 44 Fresh stores, according to its website. But along the way, Amazon has closed some Fresh stores. It has also canceled some Amazon Fresh store openings.

I decided to visit one near my home in Washington, DC to see what Amazon had spent the last three years building — and whether I could see myself shopping there on a weekly basis.

"Our goal is to build a best-in-class grocery shopping experience where Amazon is people's first choice for selection, value, and convenience," Molly McWhinnie, Amazon spokesperson, told Insider.

"While the largest brick and mortar grocery retailers in the U.S. and globally have operated for a half century or more, it's still just Day 1 for us, and we remain committed because we believe when we find the right mix of offerings for customers we'll be able to make their lives even easier," McWhinnie said.

Are you an Amazon Fresh employee with a story idea to share? Reach out to this reporter at abitter@insider.com

I went to an Amazon Fresh location in Chevy Chase, Maryland, right on the border between Maryland and DC.

Alex Bitter/Insider

I immediately saw these two ads plugging deals at this store.

Alex Bitter/Insider

This particular store is half a block away from a Metro station and several bus routes, as well as just off of busy Wisconsin Avenue.

Alex Bitter/Insider

It's also across the street from a Whole Foods, the other Amazon-owned grocery chain.

Alex Bitter/Insider

Technically, I went in the side entrance, which required going up these stairs to get to the store itself.

Alex Bitter/Insider

Around back was the main entrance, which was more welcoming.

Alex Bitter/Insider

There are seven spots reserved for curbside pickup at this Amazon Fresh store.

Alex Bitter/Insider

After walking up the stairs inside of the side entrance, I saw this bank of self-checkout kiosks.

Alex Bitter/Insider

I also saw these packs of bottled water.

Alex Bitter/Insider

There was also brand-name water sitting right next to it.

Alex Bitter/Insider

In what would become a theme of this shopping trip, I noticed a bright "Sale" sticker on this cooler.

Alex Bitter/Insider

Nearby were these pre-packaged beef burger patties.

Alex Bitter/Insider

Good thing there was so much packaged meat: These cases for meat and seafood were completely empty.

Alex Bitter/Insider

On many of the end caps were more "Sale" signs.

Alex Bitter/Insider

Not all of them were well-stocked or contained a logical mix of products.

Alex Bitter/Insider

Some of the end caps were mostly empty.

Alex Bitter/Insider

Other parts of the store were better-stocked, such as the baby diaper section.

Alex Bitter/Insider

Some of the sales weren't what they first appeared to be.

Alex Bitter/Insider

A closer look revealed a lower price on the shelf tags than the one indicated on the big sign above.

Alex Bitter/Insider

There were also ads on the wall for Amazon's own-brand products.

Alex Bitter/Insider

I also saw this TV that was playing ads for name brands like Tostitos.

Alex Bitter/Insider

As I looked around, I noticed more sales and discounts than the last time I visited this store.

Alex Bitter/Insider

There were discounts on both Amazon-branded products as well as name-brand ones.

Alex Bitter/Insider

One thing I needed to buy was oat milk, so I headed to the dairy section.

Alex Bitter/Insider

Next to the milk, I found this kiosk where you could ask Alexa for help.

Alex Bitter/Insider

You could ask Alexa about sales in the store, or even where the bathroom is.

Alex Bitter/Insider

I found a few different kinds of oat milk and made my choice.

Alex Bitter/Insider

On my way out of the milk section, I walked by this freezer full of Whole Foods-branded ice cream.

Alex Bitter/Insider

I found more signage promoting low prices as I moved into the produce section.

Alex Bitter/Insider

Most basic produce was well-stocked.

Alex Bitter/Insider

There was plenty of seasonal fruit.

Alex Bitter/Insider

But some of the signage in the produce section needed updating.

Alex Bitter/Insider

I picked up an eggplant after being tempted by the price cut.

Alex Bitter/Insider

Next to the produce selection was a lane for those using Amazon's Dash carts.

Alex Bitter/Insider

Dash carts require you to log in using a QR code from the Amazon app.

Alex Bitter/Insider

Not far from the Dash cart lane was this customer service counter.

Alex Bitter/Insider

There were also these pickup lockers for Amazon purchases, and to the right, a kiosk for returning items.

Alex Bitter/Insider

But the returns kiosk was full when I walked by.

Alex Bitter/Insider

As I moved toward self-checkout, I saw plenty of prepared foods.

Alex Bitter/Insider

There was also space for the roast chickens I had seen advertised outside, but unfortunately, there weren't any to buy.

Alex Bitter/Insider

There was also space for the roast chickens I had seen advertised outside, but unfortunately, there weren't any to buy.

Alex Bitter/Insider

There was space for a selection of hot sandwiches, but those were also not available.

Alex Bitter/Insider

I decided to pick up a mid-afternoon snack to test out some of the prepared food offerings, starting with this espresso machine.

Alex Bitter/Insider

After a few taps on this screen, I got it to dispense a mocha.

Alex Bitter/Insider

I also decided to pick up a slice of pizza.

Alex Bitter/Insider

With groceries and a snack in hand, it was time to check out.

Alex Bitter/Insider

The self-checkout looked pretty standard, aside from a couple additions.

Alex Bitter/Insider

With checkout done, it was time to try the pizza and mocha.

Alex Bitter/Insider

The pizza had flavor, but the crust was dry.

Alex Bitter/Insider

The mocha was worse: It barely tasted like anything.

Alex Bitter/Insider

Overall, the pizza and mocha weren't the satisfying snack I had hoped for.

Alex Bitter/Insider

I probably won't be shopping regularly at Amazon Fresh based on my visit there.

Alex Bitter/Insider

Overall, I don't see any clear advantages to shopping at Amazon Fresh as opposed to other grocery stores in the area.

Alex Bitter/Insider

I tried IHOP's new biscuits. It's clear Chick-fil-A and Cracker Barrel have nothing to worry about.

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I shopped at Amazon Fresh to see why it's struggling. I found hyped discounts, odd displays, and bad coffee.

I went to an Amazon Fresh location in Chevy Chase, Maryland, right on the border between Maryland and DC.

I immediately saw these two ads plugging deals at this store.

This particular store is half a block away from a Metro station and several bus routes, as well as just off of busy Wisconsin Avenue.

It's also across the street from a Whole Foods, the other Amazon-owned grocery chain.

Technically, I went in the side entrance, which required going up these stairs to get to the store itself.

Around back was the main entrance, which was more welcoming.

There are seven spots reserved for curbside pickup at this Amazon Fresh store.

After walking up the stairs inside of the side entrance, I saw this bank of self-checkout kiosks.

I also saw these packs of bottled water.

There was also brand-name water sitting right next to it.

In what would become a theme of this shopping trip, I noticed a bright "Sale" sticker on this cooler.

Nearby were these pre-packaged beef burger patties.

Good thing there was so much packaged meat: These cases for meat and seafood were completely empty.

On many of the end caps were more "Sale" signs.

Not all of them were well-stocked or contained a logical mix of products.

Some of the end caps were mostly empty.

Other parts of the store were better-stocked, such as the baby diaper section.

Some of the sales weren't what they first appeared to be.

A closer look revealed a lower price on the shelf tags than the one indicated on the big sign above.

There were also ads on the wall for Amazon's own-brand products.

I also saw this TV that was playing ads for name brands like Tostitos.

As I looked around, I noticed more sales and discounts than the last time I visited this store.

There were discounts on both Amazon-branded products as well as name-brand ones.

One thing I needed to buy was oat milk, so I headed to the dairy section.

Next to the milk, I found this kiosk where you could ask Alexa for help.

You could ask Alexa about sales in the store, or even where the bathroom is.

I found a few different kinds of oat milk and made my choice.

On my way out of the milk section, I walked by this freezer full of Whole Foods-branded ice cream.

I found more signage promoting low prices as I moved into the produce section.

Most basic produce was well-stocked.

There was plenty of seasonal fruit.

But some of the signage in the produce section needed updating.

I picked up an eggplant after being tempted by the price cut.

Next to the produce selection was a lane for those using Amazon's Dash carts.

Dash carts require you to log in using a QR code from the Amazon app.

Not far from the Dash cart lane was this customer service counter.

There were also these pickup lockers for Amazon purchases, and to the right, a kiosk for returning items.

But the returns kiosk was full when I walked by.

As I moved toward self-checkout, I saw plenty of prepared foods.

There was also space for the roast chickens I had seen advertised outside, but unfortunately, there weren't any to buy.

There was also space for the roast chickens I had seen advertised outside, but unfortunately, there weren't any to buy.

There was space for a selection of hot sandwiches, but those were also not available.

I decided to pick up a mid-afternoon snack to test out some of the prepared food offerings, starting with this espresso machine.

After a few taps on this screen, I got it to dispense a mocha.

I also decided to pick up a slice of pizza.

With groceries and a snack in hand, it was time to check out.

The self-checkout looked pretty standard, aside from a couple additions.

With checkout done, it was time to try the pizza and mocha.

The pizza had flavor, but the crust was dry.

The mocha was worse: It barely tasted like anything.

Overall, the pizza and mocha weren't the satisfying snack I had hoped for.

I probably won't be shopping regularly at Amazon Fresh based on my visit there.

Overall, I don't see any clear advantages to shopping at Amazon Fresh as opposed to other grocery stores in the area.