Costco’s Healthy Delivery Services Might Give Amazon a Run for Its Produce
This week, the bulk-grocery giant will start delivering non-perishable items within a two-day window (à la Amazon Prime) with free shipping for orders more expensive than $75. And for 376 lucky locations, there's a bonus service: nearly 2,000 fresh and perishable items available for same-day delivery upon request. (*Crosses fingers so hard that this applies to your local outpost.*)
"[Costco] competes on price, whereas Amazon doesn’t. [Amazon] competes on convenience.'' —Josh Blechman, ACSI Funds
With this move into the delivery market, Costco, which is known primarily for its affordable bulk offerings, is making some major market claims on what has so far been Amazon's ease-of-experience territory. In fact, the new service may help the retailer stave off Amazon, according to Josh Blechman, director of capital markets at the asset manager ACSI Funds. "[Costco] competes on price, whereas Amazon doesn’t. [Amazon] competes on convenience," he said.
It's too soon to know for sure how this will play out for Costco members and non-members alike, but here's to hoping that Trader Joe's also catches the food-delivery bug.
Door-to-door delivery isn't just about groceries. These days, you can get everything from crystals to Moon Juice products brought straight to you.
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