Amazon has rolled out its AmazonFresh service to London today, entering into the competitive UK grocery landscape. This delivery service, which has been available in the US since 2007, is available to 69 postcodes around Central and East London.
AmazonFresh gives you access to meat, seafood, fresh fruit and vegetables, dairy, baked goods and a range of home supplies. Through its recent partnership with Morrisons, Amazon will offer around 130,000 products as part of AmazonFresh.
This is the first time Fresh has been available out of the US. The service is available to Prime members for an additional £6.99-per-month subscription. Amazon is offering one-hour delivery slots between 7 a.m. and 11 p.m., seven days a week, so it’s a flexible service. It’s also offering same-day delivery by 5 p.m. if you place your order before 1 p.m.
Amazon’s foray into the grocery sector has been widely rumoured in the UK in recent months. This was spurred on by the introduction of frozen products through Prime Now’s one-hour service last September and the introduction of Amazon Pantry in November, which provided the next-day delivery of nonperishable items.
The products on offer won’t just be own-brand Morrisons products. The majority of items will be branded goods. As well as offering household-name products, AmazonFresh is also starting a delivery service for 50 independent food retailers, such as Konditor & Cook, Gail’s and Soho’s Pizza Pilgrims.
Online grocery sales in the UK are forecast to reach £9.8 billion in 2016 and are expected to grow a further 73% to reach £15 billion by 2020. Furthermore, with 48% of Brits currently doing their grocery shopping online, this is a lucrative market for Amazon.
With global Prime membership growing by 51% last year, Amazon has a great foothold in the UK market already. And with one-hour delivery slots, this looks like a brave move on Amazon’s part to take on the likes of Ocado, Sainsburys and more. Will it pay off for Amazon? We’ll keep our eyes peeled and report back on this new service’s success.
In the meantime, take a read of our eBook about the seven Amazon secrets that retailers use to achieve success on Amazon.