Amazon is offering free grocery delivery for Prime members on orders below $150.
Customers from whom their groceries are ordered amazon fresh
— and pay less than $150 — will be charged between $3.95 and $9.95 depending on
the order size, the company said in an email to Prime members on Friday.
The new policy is starting from 28 February.
“We will continue to offer a convenient two-hour delivery
window for all orders, and customers in some regions will be able to select a
six-hour delivery window for a reduced fee,” Amazon said in the email.
Launched in 2005, Prime has more than 200 million members
worldwide, who pay $139 per year or
$14.99 per month, with access to faster shipping and other perks, such as free
for delivery and returns.
Currently, the company offers free grocery delivery to
members on orders above $35 with the exception of New York to $50.
Under the new policy, the company said there will be a
delivery fee of $3.95 for orders between $100-$150, $6.95 for orders between
$50 to $100, and $9.95 for orders under $50. Amazon Fresh delivery over $150
will be free.
“We are introducing a service fee on some Amazon Fresh
delivery orders to help keep prices down in our online and physical grocery
stores as we better cover grocery delivery costs and ensure consistent, fast
and high -Continue to enable offering a quality delivery experience. Amazon
spokeswoman Lara Hendrickson said in a prepared statement.
The company has dozens of Amazon Fresh stores across the
United States and has opened a few overseas. Amazon also has Whole Foods since
2017.
The decision to impose the new fee comes as the company
seeks to reduce costs amid a bleak economic environment. Over the past few
months, it has spun off unprofitable areas of its business and halted
recruitment among its corporate workforce. This month it said it would lay off
18,000 workers.