Did Amazon Just Admit It Screwed Up Grocery Delivery Fees?
October 25, 2016 | 1 min to read
Amazon.com doesn't make too many mistakes when it enters a market, but its new, lower pricing policy for its grocery delivery service is pretty much Jeff Bezos' way of saying he made a bonehead move.
A prime reason to shop
The e-commerce giant floored the supermarket industry last year when it implemented a $299 annual fee to get AmazonFresh groceries delivered to your door. Like its Prime membership program, customers were essentially paying delivery fees upfront rather than each time an order was placed.
That stood the grocery delivery model on its head. Until Amazon's move, companies like Ahold Delhaize's Peapod, NetGrocer, FreshDirect, and even Wal-Mart (NYSE:WMT) typically imposed nominal per-delivery fees, or if they offered an annual subscription the cost was much lower. Instacart, for example, charged $99 for its Express service.
To read the rest of the story, please go to: The Motley Fool