Amazon Expands Grocery Services to Non-Prime Members

Home grocery delivery during covid-19 lockdown

(Image credit: Getty Images)

Amazon has expanded grocery delivery and free pickup service to all customers in markets where Amazon Fresh stores and online services are available, regardless of whether they are Prime members or not.

The company is also allowing any customer to order delivery from other grocers and retailers on the Amazon platform. These include grocery chains Bristol Farms, Weis Markets and Save Mart.

Oddly, Amazon said the service for non-Prime customers at Whole Foods Market, which Amazon owns, has not yet fully launched. But the company said this service will soon be available at Whole Foods locations in more than 3,500 cities nationwide.

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The move follows the company's launch of the program in a 12-city pilot project earlier this year.

The move is also in line with the broader race to attract shoppers.

As food prices continue to rise, albeit more slowly at present, food producers, supermarkets and restaurants have been stepping up efforts to reach and retain more choosy shoppers with deals and discounts, as Kiplinger previously reported. In its second-quarter earnings call last August, Walmart said it would continue price rollbacks in the food sector, which have been higher than last year, because they work.

At Amazon, customers who pay $139 annually for a Prime membership have seen a few changes this year. In January, the company hiked Amazon Fresh delivery prices for Prime members on orders of less than $150. The service was free for members on orders of more than $150.

But in October, the company lowered the total order amount from $150, to $100, "as the company looks to boost its fresh-food business," according to an October 5 Bloomberg report.

Amazon's latest healthcare offering

The grocery service expansion to non-Prime members comes less than a week after Amazon announced that its One Medical unit will offer Prime members on-demand virtual healthcare service for $9 per month or $99 a year.

In addition, the company recently said it would continue support of Feeding America this holiday season. From November 9 to December 25, Amazon Fresh will match customer donations up to $250,000. Every $1 donated provides 10 meals to those in need, it said. For more information, visit the Amazon Fresh Holiday Campaign homepage.

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.