Amazon Go versus Albert Heijn

11

October

2018

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Amazon is forcing industries to become more digital. Being customer focused is central in their offerings. Since this year, Amazon Go is launched and thereby Amazon is now active in the grocery industry.

Amazon Go makes use of the so-called Just Walk Out Technology. This technology combines computer vision, sensor fusion, and deep learning. So how does it work? Customers use the app to enter the store and then they can just grab the groceries they need. The technology traces the customer, recognizes the groceries that are grabbed by the customer, and automatically add those products to the customer’s digital shopping card. The advantage of this new shopping experience is that the customer does not have to wait in line to checkout. They can just walk out the store, whereas the payment is done digitally via the application.

Albert Heijn is currently rolling out stores with the same shopping experience. The system works with smart labels on the shelves. The customer has to scan the label of the corresponding product so that the product is added to their digital shopping card. Similar to the Amazon Go shops, the payment for the groceries is done digitally and automatically.

Amazon is not yet active in the Netherlands. It seems to me that Albert Heijn is getting ready for the arrival of Amazon Go to prevent being disrupted. Comparing the technologies of Amazon Go and Albert Heijn one can only conclude that the Just Walk Out Technology is more advanced. The difference is that this technology automatically add products to the shopping card while the customers of Albert Heijn need to scan the groceries themselves. The competitive advantage of Albert Heijn is that it already has a large customer base and introducing the new shopping experience is a proper way to protect their business.

Sources
https://www.amazon.com/b?node=16008589011
https://www.emerce.nl/nieuws/ah-to-go-eerste-pin-kassaloos-shoppen

 

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