Amazon is scaling back its “Just Walk Out” technology in its Amazon Fresh stores, marking a significant shift in the company’s retail strategy.

Originally launched as a futuristic alternative to traditional checkouts, the system aimed to eliminate queues and streamline the shopping experience.

But rising costs, operational complexities and evolving customer preferences have led Amazon to replace the technology in larger stores with “smart trolley” systems.

What is “just walk out”?

“Just Walk Out” is a checkout-free technology that allows customers to enter a store, pick up items and leave without scanning products or stopping to pay at a till.

The system uses a network of cameras, shelf sensors and artificial intelligence to track what customers take from shelves. The technology then automatically charges the shopper’s Amazon account when they exit the store.

Launched in 2018 and later rolled out in Amazon Go and Amazon Fresh stores, the idea was to create a frictionless shopping experience.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

However, the system still required human oversight—teams reviewing footage to confirm transactions—highlighting some of the hidden complexities behind the seamless front.

Customer experience at the heart of the decision

Amazon’s decision to pull back on the technology is driven in part by customer feedback. Shoppers said they preferred being able to track their spending during a shop, access receipts instantly, and easily find products—all things that are harder with a fully automated system.

The new solution—smart trolleys known as Dash Carts—lets customers scan items as they shop, view their basket total in real time, and pay using contactless payment at the end.

This approach offers a hybrid between automation and the control customers are used to with traditional self-checkouts.

Technology too complex and costly at scale

Implementing “Just Walk Out” in larger grocery stores turned out to be far more expensive than anticipated. The technology relies on a dense infrastructure of cameras and sensors, as well as ongoing labour behind the scenes to review shopping data.

These factors make it difficult to scale profitably, especially across larger store formats with high volumes of traffic and a wide range of products.

Amazon’s own internal reviews reportedly revealed that while the system was successful at reducing shoplifting and checkout wait times, it was not financially sustainable for widespread use in full-sized grocery stores.

A wider industry shift

Amazon is not the only retailer rethinking checkout-free shopping. Sainsbury’s scrapped its “till-free” store in London’s Holborn Circus, reverting to a traditional layout after customer dissatisfaction.

Tesco has experimented with hybrid formats that combine automated and manual options to better meet customer needs.

Retailers are finding that while customers appreciate convenience, they still want visibility, choice and control during the shopping process. Fully automated systems, despite their futuristic appeal, may not always deliver the most user-friendly experience.

What’s next for “just walk out”?

Amazon has confirmed it will continue to use “Just Walk Out” technology in smaller, curated retail formats and some third-party stores.

The company is also working on improving the system’s accuracy and reliability, suggesting it may reappear in future contexts better suited to its design.

For now, the shift reflects a broader realignment in retail: focusing less on novelty and more on practical solutions that enhance both the customer experience and operational efficiency.

Retailers looking to innovate will likely need to balance ambition with usability—and cost.