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Amazon to Enter the Web Grocery Market, Take on FreshDirect

by Terrence O'Brien on January 24, 2011 at 05:05 PM

Amazon Groceries
Amazon has been selling groceries for some time [Ed. Note: Tuscan Whole Milk!], but the site has trafficked primarily in non-perishable items, and primarily in wholesale quantities, since shipping is still handled by the postal service and UPS. Last year, though, the company started a FreshDirect-style grocery delivery service in the U.K. and Germany. Over the summer, Amazon started testing the service in Seattle, and apparently the trial worked quite well. Soon Amazon could be shipping vegetables and paper towels to doorsteps around the country, as the Financial Times is reporting that Amazon plans to expand its grocery delivery nationwide. Reports suggest Amazon will deliver groceries for free without a minimum order amount, which could set it apart from FreshDirect, which has enjoyed great success in New York and the surrounding areas. FreshDirect has a $30 minimum and charges a delivery fee of around $6.

When Amazon plans to expand its grocery shop isn't clear, but we guarantee that the folks at FreshDirect are watching intently.

Tags: amazon, freshdirect, groceries, top, tuscan whole milk, TuscanWholeMilk, web

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