Amazon Grocery Delivery Not as Robust as Projected

Dan Economy, General


While more than half of American households have an Amazon Prime membership, it appears the number of members who ordered groceries at least once a month took a step backward this year despite Amazon’s recent expansions into the grocery sector.  According to a recent annual consumer survey from UBS, 2018 saw a decline of 5 percent in the number of people ordering Amazon groceries at least once a month compared to last year.  The decline was unexpected after Amazon’s expansion of its two-hour deliver service and acquisition of Whole Foods for $13.7 billion.

Another study from research firm Brick Meets Click found that households that use other grocery delivery and pickup services from physical retailers typically make orders more frequently and also spend more than twice as much as they do on Amazon grocery delivery.  The number of households that will have access to online grocery options is expected to reach 90 percent in the coming year.

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Brian German

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Ag News Director, AgNet West