Competition Heating Up In Fast Delivery Ecommerce

Competition Heating Up In Fast Delivery Ecommerce

It's not just Uber, Walmart, Google and Ebay that have their sights set firmly on same-day delivery services. It was revealed Friday morning that Amazon is expanding its Prime Now service to offer fast delivery of food from local stores in Manhattan.

Amazon said in a statement that customers can order groceries, prepared meals and baked goods from three stores, D'Agostino, Gourmet Garage and Billy's Bakery, through its Prime Now app.

The service is similar to smaller food and grocery delivery service which actually makes Amazon somewhat of a laggard in the space.

To have your purchases delivered within two hours is free for Prime members, while having it delivered within one hour costs $7.99, although the latter service is only available to "select zip codes".

The new delivery service started on Thursday in "select neighborhoods" though will become available to most Manhattan zip codes in the coming weeks, Amazon said.

More merchant partners are on tap as well with Eataly, an upscale Italian food vendor, and Westside Market, a 50-year-old chain of family-run food markets joining the site shortly.

Prime Now is an annual membership program that costs $99 a year and started in 2014. It includes free two-day shipping. Prime Now is currently available in Brooklyn, Atlanta, Baltimore, Austin, Dallas and Miami, in addition to Manhattan.

Amazon's announcement comes just days after Walmart unveiled an unlimited shipping service that is half the price of Amazon Prime and Uber revealed secret plans for a massive same day delivery service, which we covered earlier.

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