October 17, 2024

Amazon Fresh: What is It and How Does It Work?

At a glance, Amazon Fresh is a grocery service that eliminates the hassle of doing your weekly grocery shopping. This guide will dispel the myths and give you an honest look at the service and what it does.
Amazon Fresh: What is It and How Does It Work?
Amazon Fresh: What is It and How Does It Work?

Key takeaways: 

  • Amazon Fresh is a grocery delivery service that allows consumers to shop for groceries and household items via the Amazon app or website. 
  • Consumers can shop for their favorite household items and groceries and have them delivered to their doorstep using two delivery options. Consumers can choose the Attended delivery or Unattended delivery option. 
  • If you shop in an Amazon Fresh physical store, you can take advantage of the Just Walk Out and Dash Cart technology and skip the checkout line completely. 
  • Amazon Fresh offers over 500,000 products from various categories including dairy products, freshly cooked food, and skincare products. 
  • To sell on Amazon Fresh, you need to apply for approval and meet certain requirements. 

There has been a shift in consumer preferences and buying habits over the years and companies are adjusting to meet these demands. With everything moving online, consumers can now get their daily essentials from an online store and have them delivered to their doorsteps. 

Amazon Fresh is Amazon’s grocery pickup and delivery service that enables Amazon Prime members to shop for a wide range of household essentials and groceries.

In this article, we will look at everything you need to know about Amazon Fresh. 

What is Amazon Fresh? 

Amazon Fresh is an Amazon grocery delivery service available to Amazon Prime members. It was launched in 2007 in Seattle and is available to selected cities in the United States and some other countries like London, Milan, Rome, India, and Tokyo. Amazon has also opened some physical Amazon Fresh stores in the United States. 

With Amazon Fresh, you can look for products on the Amazon app or website, place a grocery order online, and have it delivered to your doorstep. Alternatively, you can go to the store to pick up the order. 

This grocery delivery service is very convenient and allows you to shop for groceries and daily essentials when limited by time. 

Amazon Fresh offers thousands of products in these product categories: Food (dairy, snacks, meats, seafood, etc.), Local and seasonal (locally grown produce), and Personal care (Cosmetics, baby products, toiletries, skincare, etc).

How does Amazon Fresh work?

Customers simply search for products and add them to their shopping cart for purchase. Once you place an order with Amazon Fresh, you will need to choose a one or two-hour delivery window. This depends on your location.

You can choose between two delivery options - Attended delivery or Unattended delivery.

With Attended delivery, Amazon delivers your items in a regular plastic bag and someone must be present to receive them.

With Unattended delivery, Amazon delivers your items in temperature-controlled bags to keep the items fresh if there is no one available to receive the order.

 

If you are doing your Amazon grocery shopping at an Amazon Fresh store, you can also enjoy some benefits. These benefits include Amazon Dash Cart and Just Walk Out.  

  • Amazon Dash Cart: With Amazon Dash Cart, you can skip the checkout process by scanning a QR code on your Amazon app before shopping. The billing for your items will automatically be processed on the app. This helps you cut down on time spent at the billing counter. 
  • Just Walk Out: Just Walk Out also works similarly and lets you grab items from the store and walk out without having to fall in line. You can scan a QR code before shopping or connect your credit card to your Amazon account.        

Selling on Amazon involves storing products in Amazon warehouses where it is then packaged and shipped to customers. Amazon Fresh also operates similarly with products stored in warehouses. These warehouses are close to all stores to ensure that the items can be delivered within 24 hours. 

What makes Amazon Fresh unique? 

Amazon Fresh is an innovation in grocery shopping and many people have found it convenient. Here are a few things that make Amazon Fresh unique:

  1. Amazon Fresh integrates Alexa 

Amazon Fresh integrated Alexa - a voice assistant technology to improve the Amazon grocery shopping experience. 

With Alexa, you can create your shopping list or get information about products. Alexa is also installed in Amazon Fresh stores to help you find items on your shopping list and quickly checkout. 

Alexa also helps you save ingredients and recipes in your list. You can also restock your daily essentials based on past purchases. 

While Amazon Fresh emphasizes technology, Amazon Fresh still maintains a strong human element. In stores, employees are present to assist customers, restock shelves, and handle traditional checkout lanes. 

  1. Amazon Fresh provides convenience. 

Amazon Fresh offers unique features that differentiate them from the competition and provide convenience. 

With Amazon Dash Cart, you can skip the checkout line and keep track of items in your cart. Thanks to sensory technology, the cart can identify your items and create your receipt. 

Just Walk Out also lets you grab items from the store and go. The items purchased from the Amazon Fresh store will automatically be charged to your credit card. 

With these unique features, you can save money and save time when buying items online or in-store. 

Amazon Fresh also offers personalized experiences. You can get customized product recommendations based on shopping history and easily reorder frequently purchased items.

You also get flexible delivery options, including same-day and next-day delivery.

  1. Amazon Fresh offers a wide range of products. 

What makes Amazon Fresh unique is the wide range of products available. An Amazon Fresh store carries over 500,000 products from various categories. Amazon also acquired Whole Foods in 2017 which means you can also shop for organic and packaged foods. You can be sure to find everything you need, from dairy products to meat, vegetables, fruits, freshly cooked food, skincare products, and more.

  1. Amazon Fresh offers products with good quality and pricing. 

Products on Amazon Fresh fall around the same price as goods you will get at other grocery stores. Apart from the convenience that comes from the Amazon Fresh experience, Amazon also offers weekly deals that can help you save money. When you use the Amazon Prime Rewards Visa Signature Card as an Amazon Prime member, you get 5% cash back at Amazon Fresh. The Prime Benefit Program also allows Prime members to save 20% on selected foods and essentials. 

The inventory available varies from store to store. However, Amazon Fresh offers high-quality products from national and local brands.

Who can use Amazon Fresh? 

Amazon Fresh is open to Amazon Prime members and includes same-day pickup and delivery from Amazon Fresh stores. You can visit physical Amazon Fresh stores without being a Prime member. These stores are open to the public, where anyone can shop for groceries in person.

In some regions or during promotional periods, Amazon may extend Amazon Fresh access to non-Prime members, though this typically comes with a higher delivery fee or no free delivery threshold.

How much does Amazon Fresh cost? 

Amazon Fresh is free for all Prime members. You will only need to pay the Amazon Prime membership fee. However, you will need to pay a delivery fee depending on your order. If your orders fall under $100, you will need to pay shipping and delivery charges based on order size.  Orders under $50 incur a $9.95 fee and orders between $50-$100 incur a $6.95 fee. If your orders fall above $100, delivery is free. Some cities raise the bar on delivery fees. For example, in New York, orders above $50 her free delivery. 

Can you return products from Amazon Fresh? 

Yes, you can return goods you are not satisfied with within 30 days of purchase and get a full refund. Exceptions exist for certain categories, so it's important to check the specific policy for each item.

To make a return, visit “Your Orders” on Amazon, find the order with the item you want to return, select "Request item refund” and follow the prompts. 

Selling on Amazon Fresh

Selling on the Amazon marketplace differs from selling on Amazon Fresh. Amazon dropped third-party vendors in 2018. However, they still work with some third-party vendors based on invitation only. It is speculated that this is because Amazon purchased Whole Foods in 2017. 

If you want to sell on Amazon Fresh, you need to gain approval and meet certain seller performance targets including:

  • Order defect rate of < 1%, 
  • Pre-fulfillment cancel rate < 2.5%
  • Late shipment rate < 4% 2
  • Comply with Amazon's grocery and gourmet foods category guidelines. 
  • Maintain inventory levels according to Amazon's formulas (max 3000 units per ASIN in the Grocery & Gourmet Foods category). 

Here’s how to apply to sell on Amazon Fresh: 

  1. First, get a Professional Seller Account on Amazon, as selling on Amazon Fresh is available to professional sellers only. 
  2. Check your eligibility by reviewing Amazon's requirements. Ensure you have a positive selling history and meet performance metrics. 
  3. Apply for approval in the "Grocery & Gourmet Food" category. Simply copy the ASIN of a product within the Grocery category, go to your Seller Central account, and access the "Add a product" section. Click on "Apply to sell” and then "Request approval"
  4. Gather necessary documentation, such as invoices, product labels, and licenses, to show your compliance with Amazon's requirements. 
  5. Submit your application through your Seller Central, ensuring all information is accurate and complete. 

Amazon Fresh Sponsored Product ads 

As an Amazon seller on Amazon Fresh, you can promote your products using Sponsored Product ads and increase Amazon sales. With Sponsored Product ads, you can create ad campaigns for your products and make it easier for shoppers to find you. 

Final thoughts 

With Amazon Fresh, you can experience a new level of convenience for grocery shopping. If you are an Amazon Prime member, you can shop for quality products at great prices. You can also save money with weekly deals. 

With unique features and good customer delivery, we can say that Amazon Fresh will stick around for a long time. 

Frequently Asked Questions (FAQs) 

What is Amazon Fresh and how does it work?

Amazon Fresh is a grocery delivery and retail service that allows customers to buy groceries online and have them delivered to their doorstep. To access Amazon Fresh, customers need an Amazon Prime membership. 

Customers simply browse products on the Amazon app or website or use Alexa to search for items. They then choose between two main delivery options: Attended delivery, where items are delivered in regular plastic bags, and someone needs to be present to receive the order, or Unattended delivery where Items are delivered in temperature-controlled bags, allowing for flexible delivery times. Orders are then fulfilled from local Amazon warehouses, then shipped by air and/or truck to the customer's location. 

How do you pay at Amazon Fresh?

Amazon Fresh accepts most major credit and debit cards. Amazon Fresh also accepts the Amazon Store Card, which is specifically designed for Amazon customers. This card offers benefits such as exclusive discounts and rewards for Amazon purchases. Customers can use Amazon gift cards to pay at Amazon Fresh stores. With the Just Walk Out technology and Dash Cart, customers can skip the checkout line completely. 

How much is an Amazon Fresh delivery?

For Prime members, Amazon Fresh offers unlimited grocery delivery on orders over $35. This benefit is included in the Prime membership, which costs $14.99 per month or $139 per year. In April 2024, Amazon introduced a standalone monthly grocery delivery subscription at $9.99 and $99.99 per year for Prime members. Non-Prime customers can still access Amazon Fresh delivery at a flat fee for orders under $35. The exact fee can vary depending on location and order size. 

What are the key features of Amazon Fresh?

Amazon Fresh has special features that make it stand out. Some of these features include a user-friendly app, Alexa voice integration, tech-enabled shopping with Dash Cart and Just Walk Out, free delivery and pickup options, Amazon Prime member benefits, and access to a wide product selection.  

What is the minimum spend for Amazon Fresh?

As of October 6, 2023, Amazon Fresh has lowered its free delivery threshold for Prime members to $100. This means that Prime members can get free delivery on orders over $100.

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