Grocery delivery will get pricier for Whole Foods customers.
Amazon will implement a $9.95 service fee for Whole Foods delivery orders starting Oct. 25, Bloomberg reported. Free grocery delivery from Whole Foods was previously a perk for Amazon Prime members who spent more than $35 on an order.
Amazon said the fee will cover operating costs for delivery orders.
There will be no changes to Amazon’s other grocery delivery service, Amazon Fresh, or for pickup orders at Whole Foods (minimum $35 order required for Prime members).
The pandemic caused a surge in delivery orders for Whole Foods and others such as Instacart and Walmart. Whole Foods delivered more than three times as many orders in 2020 as it did in 2019, a Whole Foods spokesperson said.
After acquiring Whole Foods in 2017 for $13.7 billion, Amazon dramatically expanded its physical retail footprint and its push into the grocery space. In the time since, Amazon has introduced a number of its Prime membership benefits and other innovations at the stores.
It announced earlier this month that the company’s “Just Walk Out” cashierless experience first introduced at Amazon Go convenience stores will now start to roll out at Whole Foods locations.
