Amazon plans Pantry grocery service to compete with Costco


Amazon could be targeting customers who buy groceries from warehouse clubs and wholesale retailers, according to a new report. It looks like Amazon is planning to launch Pantry, a service that will offer the same packaged grocery items found in places like Costco and Sam’s Club, like cleaning supplies and canned goods to name a few.
amazon fresh
Pantry will launch with about 2,000 products according to sources of USA Today. Amazon Prime users will be the initial target audience. Shoppers will be able to buy products that fill a specifically-sized box, and as long as the package is under a weight limit, Amazon will ship it for a small flat rate. I guess this is good for those who buy in bulk, but not so much bulk that they need a shopping carts worth of an item.

Amazon is already in the grocery shopping game, with two services. Subscribe & Save lets customers automatically receive discounted household goods on a fixed schedule, while AmazonFresh gives you same-day and next-day delivery of fresh food and other items. From what we know so far, Pantry sounds similar to Subscribe & Save. It looks like Amazon really wants to take over the grocery market one day.

Source Electronista