Amazon Tests Two-Hour Grocery Delivery Via Whole Foods

Amazon Tests Two-Hour Grocery Delivery Via Whole Foods

For an extra $7.99, orders are guaranteed to be delivered within one hour.

Despite all the Jeff Bezos-Alexa memes and uncertainty about the future of grocery stores, Amazon's buyout of Whole Foods has proved to be nothing but a good thing. Customers can start shopping from Whole Foods Market selection at www.primenow.com or by using the Prime Now app available on Android and iOS devices. Prime is available in some 30 major cities and Amazon will start to chip away at the estimated $1.3 trillion grocery market in the U.S.as its delivery capacity grows, Cowen said. That enables shoppers to get much of what they can usually buy at a Whole Foods store delivered directly to their door in two hours.

"There is a lot of runway, and we expect continued Prime penetration with Whole Foods customers", John Blackledge said in a research note.

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Yesterday, the tech giant-grocery store duo announced Prime members are now eligible for free two-hour deliveries on orders over $35 from Whole Foods. Users can get one-hour delivery for an additional $8 fee. "Both the established Amazon Prime and Whole Foods Market teams remain unchanged". Amazon also realigned its Prime Now and Amazon Fresh divisions under Landry's leadership at the end of 2017.

Since the acquisition, Amazon has dropped prices of certain items at Whole Foods and added some Whole Foods products online.

Screenshot When using Prime Now, users must first select which store they want to shop at with the service.

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Starting immediately, Prime customers in neighborhoods of Austin, Cincinnati, Dallas and Virginia Beach can shop through Prime Now for bestselling items including fresh produce, high quality meat and seafood, everyday staples and other locally-sourced items from Whole Foods Market. And recent stocking issues at Whole Foods prompted analysts at Barclays Plc to say earlier this week that pressure on competitors in the industry had "abated".

It's part of Amazon's efforts to sell more grocery items online and expand its Prime Now two-hour delivery service.

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