Please create an account to participate in the Slashdot moderation system

 



Forgot your password?
typodupeerror
×
Businesses

Amazon Stops Accepting New Online Grocery Customers Amid Surging Demand (reuters.com) 28

Amazon will begin to put new grocery delivery customers on a wait list and curtail shopping hours at some Whole Foods stores to prioritize orders from existing customers buying food online during the coronavirus outbreak, the company said. From a report: Many shoppers recently seeking to purchase groceries from the Seattle-based e-commerce company found they could not place orders due to a lack of available delivery slots. Amazon said it would have to relegate all new online grocery customers to a wait list starting Monday while working on adding capacity each week. In recent weeks, it increased the number of Whole Foods stores offering grocery pickup to more than 150 locations, up from 80 previously.

Amazon also plans to shorten some Whole Foods stores' hours for the public so its employees can more quickly fulfill online grocery orders, the company said. The moves illustrates how the world's largest online retailer, which showed its ambition to enter the grocery industry by acquiring Whole Foods for $13.7 billion in August 2017, is now leveraging its presence both online and in physical stores to handle high demand from consumers who are stuck eating at home, with many restaurant dining rooms closed to the public.

This discussion has been archived. No new comments can be posted.

Amazon Stops Accepting New Online Grocery Customers Amid Surging Demand

Comments Filter:
  • by fahrbot-bot ( 874524 ) on Monday April 13, 2020 @10:44AM (#59940998)
    The company is changing its name to Half Foods, and some larger stores to 3/4 Foods.
  • It isn't just Amazon (Score:5, Interesting)

    by AlanObject ( 3603453 ) on Monday April 13, 2020 @10:58AM (#59941048)

    I have been noticing every online retailer can't process orders, particularly in my zip code. Walmart, Safeway, Target and others' systems are completely hosed.

    I did get an order in for non-edibles at Costco back on the 4th. Still no delivery in sight although they did charge my debit card for part of it.

    The biggest problem appears to be in the inventory back-end. In pre-pandemic days I noticed that often the item count on the web site would not match what they actually had. The inventory increment numbers seem to apply when things hit their loading dock, where boxes can sit for weeks. The decrement numbers are absolutely not taken directly from the PoS systems. The systems rely on periodic physical inventory counts which would be required by accounting rules.

    In other words the inventory systems were designed to satisfy the needs of the CFO office filing monthly reports for financial reporting and inventory tax purposes. That would have been in place for as long as the store was around. The online order processing systems were tacked on later and the inventory systems had a second layer added on for that, but the interface between the two is shaky.

    Then there is the issue of what they call "shrinkage" and the system is totally helpless in the face of that.

    This is mostly speculation, but it matches what I see.

    • Part of the issue is probably balancing resources vs reporting priorities. A real-time inventory system takes a lot of resources as many, many transactions are happening at once and many companies have them. It is however terrible for reporting for large scale. It’s fine for the dozens of warehouse managers to help them do their jobs. It’s not great for the thousands of consumers that might be hitting the website at the same time. So a compromise is usually struck in that near real-time inventor
    • Costco like most stores operate on the "Just in Time" stocking method that Walmart pioneered.

      The problem is most likely that they can't keep up with demand from people stockpiling.

      Moreover they don't _want_ to keep up with that demand. The problem with the stockpilers is that in a few months when things settle down they'll start going through their stash, meaning a large drop off in sales.

      This is why TP is going to be hard to come by for months. If you're a TP company you can't just make more ev
      • This is why TP is going to be hard to come by for months. If you're a TP company you can't just make more even if you've got the capacity. You'll go out of business when when over extend yourself meeting short term spikes in demand.

        Shortfalls for months? I doubt it. It's not like people are actually using more TP now than they did a month ago - just at home instead of at work. I'd bet that within just a few weeks the supply chain will have largely caught back up as it shifts from commercial to consumer production, which some suspect is as much the cause of the shortfall as panic buying. And consumer TP producers are already ramping up production. P&G (Charmin) is opening a previously idled production facility, for example. I'

    • I have been noticing every online retailer can't process orders, particularly in my zip code. Walmart, Safeway, Target and others' systems are completely hosed.

      Don't tell me their sites run on COBOL-based systems too?

  • by SchroedingersCat ( 583063 ) on Monday April 13, 2020 @11:16AM (#59941110)
    This is a sign of things to come. Supply chains are being increasingly disrupted by the shutdown. Prepare for shortages, higher prices and inflation.
    • by jhecht ( 143058 ) on Monday April 13, 2020 @11:35AM (#59941184)
      A friend in the boonies of North Carolina reports Amazon keeps responding "Temporarily unavailable for delivery at this zip code" when he tries to order many things but says friends in Durham can get anything they want. Another sign of the times.
    • the supply chains really haven't been disrupted that much. At peak if we "let 'er rip" we'd lose about 7 million people, but they'd still mostly be older and not in the workforce. We'd conscript the military and prison labor to fill the gaps along with hiring some of the 30% of restaurant & retail workers out of work.

      And given that we're not going to "let 'er rip" we'll start seeing drop offs by May and a careful return to normalcy in June (provided we can get enough testing going).

      On the other
  • high demand from consumers who are stuck eating at home, with many restaurant dining rooms closed to the public

    Do that many people really eat out so much under normal circumstances?

    • high demand from consumers who are stuck eating at home, with many restaurant dining rooms closed to the public

      Do that many people really eat out so much under normal circumstances?

      Well, it's certainly a factor for a lot of people. Many will grab breakfast from a coffee shop on the way to work. Many will grab lunch from a deli while at work. Some more will grab dinner on the way home. Now if all three meals are at home, that's going to have a significant impact, shifting where food is consumed.

      In Canada, we're now dumping milk because people are shifting from consuming processed milk at restaurants (usually in the form of cheese) to liquid milk bought at grocery. The food chai

    • by satanicat ( 239025 ) on Monday April 13, 2020 @11:58AM (#59941280)

      My wife is the general manager at a local fast food restaurant. I think her answer to that might surprise you under normal circumstances. =)

      But what is just astonishing (to me) is how much busier it's gotten since the pandemic started and our local government declared a state of emergency started enforcing a lot of things like social distancing and business operation rules. When I say busier, I think most days the actual sales aren't quite as high, but there isn't really a distinction between rush our or any other part of the day right now. It's pretty much bumper to bumper cars from open to close, and she's often having a hard time closing because it beeps again as soon as a car moves ahead. This is despite reduced hours, closing of the dining room and big reduction in staff (not to mention the risk of being fined or arrested for being out too much or not adhering to the restrictions).

      I thought the cocktail of everything going on might make people feel inclined to cook at home...

  • You mean that high priced store that's full organic GMO-free bullshit? Who cares? Let the snobs whine all they want.
  • No. World's largest patent troll.

    Get it right.

  • Local companies (Score:5, Informative)

    by ArchieBunker ( 132337 ) on Monday April 13, 2020 @12:01PM (#59941290)

    The local restaurant supply stores have started selling to the public now. I just placed an order for all kinds of beef, sausage and pork chops. They even offer freshly baked bread. Delivery was free if you spent over $100. Totally worth it as the grocery stores now have reduced hours and only let so many people inside at once. I'm not making grocery shopping into an all day affair.

  • They let you search for "Fresh Direct" and for "Whole Foods". But they do not let you exclude those items.

    So when you are searching for say paper plates, you get a ton of paper plates delivered via Fresh or Whole, whose time slots are sold out and you will never get.

    You have to hunt through them by hand ignoring all the Fresh and Whole till you find something that they will actually ship to you.

  • In other news ... be sure to take your temperature with thermometers and batteries that you can't get.

    And be sure to sanitize your hands with hand sanitizer that you can't buy.

    Next up: make bricks without straw.

If entropy is increasing, where is it coming from?

Working...