Amazon Expands Grocery Delivery Service
Amazon.com is expanding its Amazon Fresh grocery delivery business to the entire Seattle area over the next three months.
The company, which began testing home delivery of groceries to a small number of zip codes in the area in 2007, requires a minimum $30 purchase and charges a $5 fee for orders under $75.
Doug Herrington, vice president of consumables for Amazon, told Bloomberg, "We have a lot of confidence in the long-term economics. For a significant portion of the population, they’re going to find that the convenience, selection and pricing of online grocery shopping is going to be really compelling."
Discussion Questions: What advantages or disadvantages does Amazon have moving into the home delivery grocery business? Is there anything specific you can point to that makes you think Amazon has figured out how to succeed where others have failed?
- Amazon.com expanding grocery delivery in Seattle area – Bloomberg News/The Seattle Times
- Amazon taking grocery service to all of Seattle – Yahoo