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Amazon's new web grocery store will offer 22,000 brands AmazonFresh Images |
In my last blog post, I explored AmazonFresh, a
company that is expanding its grocery delivery to other cities besides Seattle. Since then, I decided I needed more
information about how the companies will store the perishables until they reach
your doorstep. This led me to an article
titled “Amazon Is Working on a Plan to Deliver Your Groceries”, published on
Business Insider website. Author, Jim Edwards informs us that ”
Observers were tipped that Amazon might be making more moves in groceries when
they observed the company adding refrigeration equipment to distribution
centers outside the Seattle area."
After reading this article in Business Insider, I
found an article by Contel Bradford, which was published on IBM’s Midsize Insider website. This article title "Amazon Expanding Prime Service with Grocery Offerings" in which the author cites Anne Zybowski, vice president of retail
insights at Kantar Retail and states “AmazonFresh has arranged to have its fresh
items delivered by butcher shops, delis, fish markets and other local food
companies. The internet retailer charges these businesses a commission on food item
sales.” I think this is an excellent win-win relationship for local businesses
and producers of foods and food products. Further, the local business will gain
access to a much larger market base than they ever could have attracted without
the involvement a larger marketer like AmazonFresh.
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Fresh Vegetables delivered from AmazonFresh AmazonFresh images |
As of July 2013, AmazonFresh delivers to Seattle and Los Angeles. If you live in those areas, setting up an account with AmazonFresh is as easy as a click of a button. Just go to AmazonFresh website and type in your address to see if they deliver to your neighborhood, then you set up an account with them and you place your order. That's all there is to it! They even have a mobile application to order on.
For $299 a year (membership costs) you can have fresh food
delivered to your doorstep any time any day of the week. In my next blog, I will find information on
the overall costs of this service and will it be worth it in the long run. Is that a hefty membership cost or does the fee offset the time spent doing other things?
Works cited:
Jim Edwards “Amazon is working on a plan to deliver your
groceries” Business Insider (2013) Web. 26
May 2013. http://www.businessinsider.com/amazon-and-grocery-delivery-2013-5
Contel
Bradford “Amazon Expanding Prime Service with Grocery Offerings” Midsize Insider (2013) Web. 10 July
2013. http://midsizeinsider.com/en-us/article/amazon-expanding-prime-service-with-groc
$299 is a lot of money, at least when thinking about paying it all at once vs. $25 per month or just $6 per week. I could see this fee being a hindrance to many people.
ReplyDeleteI am curious if you've seen anything about "natural" and organic grocery stores branching into this market. Will Whole Foods start delivering to people's houses?