Ecommerce Platforms Breaking Into The Grocery IndustryHayley Smith
It’s no surprise that both Jet.com and Amazon are working to find their way into the food market. In the United States alone, the grocery industry is worth over $53 billion.
In June of 2017, Amazon took a major step in getting into the food industry. Their acquisition of Whole Foods has been all over the headlines recently, as everyone is curious about how the new partnership will affect how we get our groceries.
Amazon has been rolling out ‘AmazonFresh,’ their grocery delivery program, in select US states and big cities like London and Tokyo. A new concept, ‘AmazonFresh Pickup,’ is more similar to a standard grocery store. This service is available to Amazon Prime members, and features online ordering with an in-store pickup. So far, the reviews convey that AmazonFresh Pickup creates a unique shopping experience, but can be pricey. The high cost can most likely be explained by the high cost of the products of their new partner, Whole Foods.
Jet.com and Wal-Mart are taking a different approach. This past May, Jet.com partnered with a high-end fashion retail store in New York City called Story. The idea was to combine with Story, filling the store with fresh groceries, to create a temporary grocery store where fashion met healthy eating.
Jet.com and Story’s concept was the first to create an online grocery shopping experience, with the in-store pickup feature. Wal-Mart has been trying to establish an online grocery store with in-store pickup as well, and their acquisition of Jet.com is helping them do so. Wal-Mart also announced last year that they were looking to partner with companies like Uber to do grocery drop-off.
Ecommerce is one of the fastest growing industries, and food is one of the largest. The concepts coming out are revolutionizing the grocery experience, and will continue to change the way we get our food.