With the winter slowly approaching for many, there's some positive news about Amazon's grocery delivery service that comes right on time for those cold days.
Amazon has cut the threshold to qualify for free grocery delivery on Amazon Fresh for Prime members. Customers need to spend at least $100 to get the free delivery service. That's down from $150 which started in February 2023, according to a report by Insider.
Amazon confirmed that the change was effective as of Oct. 5.
Related: Amazon sends a warning customers need to know about
Customers who had purchased above a threshold of $100 but below $150 had an additional $3.95 delivery fee before the change. However, delivery fees for Prime members on other purchase amounts will remain the same: $6.95 for order from $50 to $100, $9.95 for deliveries under $50.
The change could be a sign that Amazon is looking to be more aggressive in the grocery industry. It has reportedly struggled to penetrate with market share as of 2021 at 1.2%, much lower than rivals like Walmart (25%) and Kroger (8%), according to Insider and Euromonitor.
More Retail:
- ‘Too pretty’ Home Depot worker faces backlash after viral mirror post
- A classic kitchenware brand files for Chapter 11 bankruptcy
- Who’s running The Gap? With no CEO, retailer hurtles towards crisis
About 3,500 cities and towns across the nation have access to the grocery delivery service of Amazon Fresh for Prime members. Several other areas have access for non-Prime members like San Diego, Boston, and Austin.
Action Alerts PLUS offers expert portfolio guidance to help you make informed investing decisions. Sign up now.
