Whole Foods Expansion Boosted by Amazon Store Conversions

Whole Foods to grow as Amazon shuts some Fresh and Go stores, converting select locations in major grocery strategy overhaul.

January 28, 2026

Valerija I.

Amazon will close Fresh supermarkets and Go convenience marts, converting some to Whole Foods locations.
Over 100 new Whole Foods stores are planned in the coming years, alongside expanded Whole Foods Daily Shops.
Amazon will continue Fresh grocery delivery and develop a new mass store concept.
Store closure impact on staff is undisclosed, but support and severance will be provided.

Key Takeaways

Amazon Reshapes Grocery Strategy

Amazon is making a decisive shift in its grocery division, announcing plans to shutter its Amazon Fresh supermarkets and Amazon Go convenience stores. Select locations from these chains will be repurposed as new Whole Foods Market stores, per CNBC. This move represents the latest in a series of strategic adjustments to grow Amazon’s presence in the US grocery market.

Amazon bought Whole Foods in 2017 for $13.7B. Since then, it has doubled down on physical retail. The company now prioritizes key formats over spreading resources across multiple grocery brands. It plans to open more than 100 new Whole Foods locations across the US Amazon also aims to grow Whole Foods Daily Shops, its smaller-format markets tailored for quicker trips and dense urban areas.

Why the Whole Foods Expansion

The Whole Foods expansion comes as Amazon consolidates its grocery brands and redirects resources. Fresh grocery delivery will persist, and a new mass physical store format is in the works. Last month, Amazon received approval for a new big-box store in suburban Chicago, signaling broader ambitions in brick-and-mortar retail.

Amazon says helping affected Fresh and Go employees find new roles within the company remains a priority, with severance for those who exit.

Ongoing Evolution in Grocery

Since its Whole Foods acquisition, Amazon has experimented with multiple grocery formats. Amazon Fresh debuted in 2020 but saw closures and reduced expansion amid cost-cutting. The Go store concept, featuring cashier-less technology, was gradually scaled back after initial rollout. In parallel, the company has tested smaller, urban-focused store formats to better serve city-based consumers, signaling a broader shift in how Amazon evaluates its brick-and-mortar strategies. These changes underline Amazon’s ongoing efforts to strengthen their US grocery market position through streamlined operations and Whole Foods expansion.