The decision to close the stores is part of Amazon's wider efforts to focus on ventures that have long-term potential and generate good returns for the business. Amazon Style, which featured automated fitting rooms, was unable to scale and become a powerhouse of apparel retail.
The decision to close the stores is part of Amazon's wider efforts to focus on ventures that have long-term potential and generate good returns for the business. Amazon Style, which featured automated fitting rooms, was unable to scale and become a powerhouse of apparel retail.
According to experts, the stores lacked a distinctive point of view and failed to build a base of regular, loyal customers. As a result, Amazon will now focus its efforts on selling apparel online, an arena where it has considerable success.
However, Amazon is not giving up on physical retail entirely. The company is still committed to building out a much bigger grocery business, expanding both Whole Foods and its own-format grocery stores.
Although Amazon has made good progress in grocery, experts believe that it has not yet developed a compelling new format that is able to successfully compete with mainstream grocers on a national level. The freeing up of resources from ventures with less potential will allow Amazon to keep investing and expanding as it seeks to crack the grocery nut.
Sources: https://internetretailing.com.au/amazon-to-close-its-style-experiment-in-symbolic-move/
Amazon has announced that it will be closing its two Style stores, a move that symbolizes the company's retreat from physical non-food retail. This follows the closure of Amazon Books and Amazon 4-Star stores last year.