Amazon drops monthly fee to boost grocery delivery sales

By Joseph Pisani, The Associated Press

NEW YORK — Amazon has a new plan to try and jumpstart its grocery delivery business: cut some fees for its Prime members.

The online retailer says it will no longer charge $15 a month for its Amazon Fresh service, which delivers raw meat, vegetables and other groceries to customers’ doorsteps. But the service is only for subscribers of its Prime membership, which costs $119 a year. And at least $35 must be spent to qualify for free delivery in two hours.

Delivery is still a tiny part of the $740 billion grocery market, but Amazon thinks that dropping its fees will attract more people to the service. To handle a jump in users, Amazon is only offering it to those already signed up for Fresh. Others will have to request an invitation.

Joseph Pisani, The Associated Press

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