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Amazon launches 2-hour Whole Foods delivery; nationwide expansion coming

09 February 2018

They deliver items for Amazon, Prime Now, grocery delivery service AmazonFresh, Amazon Restaurants and now Whole Foods.

Amazon has introduced products from Whole Foods Market for Prime members in four locations around the US: Austin, Texas; Dallas, Texas; Cincinnati, Ohio; and Virginia Beach, Virginia.

Co-founder and CEO, John Mackey recently said in a press release, "We're happy to bring our customers the convenience of free two-hour delivery through Prime Now and access to thousands of natural and organic groceries and locally sourced favorites".

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Greeley is the first high-profile Amazon executive known to be spending time at Whole Foods, the grocery chain Amazon bought for $13.7 billion previous year. Whole Foods is now an option in select cities.

It also brought over many of Whole Foods' private label brands to its online shopping platform.

But Wednesday's announcement is the biggest step toward what many analysts expected Amazon to do with its new grocer: use Whole Foods and its inventory of groceries as an extension of its warehousing network. If you want it after than two hours, you can pay $8 to get your order delivered in one hour, as long as your order is worth at least $35. Amazon is now the number one online seller of groceries, accounting for 18% of total sales, a Packaged Facts report notes. Target, for example, bought grocery-delivery company Shipt. Consumers say they would purchase more groceries online if it was less expensive (40%) and if delivery times were more convenient (23%), according to the Walker Sands report. In the RetailWire discussion, Jason Goldberg, SVP of Commerce and Content Practice at SapientRazorfish, asked various questions regarding the future of the Whole Foods/Prime Now integration, with one being: "Can Amazon profitably do this for most rural markets?" She argues that Amazon is ready to implement the delivery service in more markets.

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Last month, a treasure truck showed up at Whole Foods stores with deals for customers.

"They will pick the items, put them in appropriate packaging to maintain the chill chain and pack them", said Landry.

Once the orders are picked, they will be packaged accordingly and then will be handed to the Amazon Flex delivery drivers.

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Amazon launches 2-hour Whole Foods delivery; nationwide expansion coming