Amazon launches UK home grocery service

Friday, 30 January 2009
Amazon is launching an online grocery home delivery service in the UK after rolling out a similar offering in the US.

The range will initially include 45,000 non-perishable food items although fresh food is being trialled by Amazon in Seattle.

Supermarkets Tesco and Ocado currently sell fresh food over the internet in Britain.

Nielsen Online analyst Alex Burmaster told Retail Week magazine: "Supermarkets should be nervous as the Amazon name is so well known and it is one of the original, old school online brands.

But he added: "Its biggest challenge could be to change the customer mindset on a site renowned for selling books and DVDs.

"It is not a natural progression, but it has been adding to its portfolio over the past few years and becoming more of a one stop shop for customers."

Amazon today reported an 18% jump in sales for the last three months of 2008.

The company trialled then expanded the service across the Atlantic in November 2007.
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