Dive Summary:
- Amazon has formerly introduced its new online grocery shopping service beginning in Los Angeles. The program, Amazon Prime Fresh, offers consumers the ability to purchase groceries online.
- For a fee of $299 annually, Amazon Prime Fresh Customers will be able to order their groceries from home to be delivered within a matter of hours.
- "It will help to make Amazon the starting point for online purchases -- more than it already was -- and give consumers even less of a reason to shop anywhere else," Morningstar equity analyst R.J. Hottovy said.
From the article:
As Farhad Manjoo wrote at Slate, Amazon's grand infrastructure strategy has visibly shifted. At first, it was: set up distribution centers in cheap states and ship to where the people are. Now the company is buying warehouses in the largest cities so that once you click BUY, online orders can go from their distribution centers to your doorstep in hours, not in days.