Amazon Will Now Deliver Whole Foods Groceries in 2 Hours

Dallas and Austin first with Amazon Prime Now deliveries from Whole Foods stores

Amazon Offers Whole Foods Deliveries in Four Cities through Prime Now High-Speed Service

Amazon considered introducing groceries from the chain to its Prime Now delivery services in four different markets like Austin, Cincinnati, Virginia Beach and Dallas.

The Amazon Prime Now delivery service now covers Whole Foods groceries as well, with free two-hour deliveries.

Dallas and Austin first with Amazon Prime Now deliveries from Whole Foods stores
Here's How Amazon Prime's New Whole Foods Delivery Will Work

But, Amazon's shop does have some Whole Foods Everyday Value 365 items available for purchase, which was implemented prior to the integration with Whole Foods stores. They cornered 18 percent of the entire grocery delivery market last month.

It's unclear if Greeley's title will change or whether his appointment will affect Whole Foods CEO John Mackey's role.

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"We've launched Whole Foods products on our Amazon website, and the technical work continues to make Prime the Whole Foods customer rewards program and we expect to have more on that later in the year", Olsavsky said. The two-hour delivery implies no costs while the one-hour delivery costs $7.99 on order higher than $35. Getting those customers to link Amazon and groceries could further tie it into the nation's shopping habits and give it a bigger chunk of the more than $600 billion US grocery market. It will be interesting to see how the sales generated by this ad campaign feed into the increased volume of sales generated by customers now ordering Whole Foods groceries through Amazon Prime. Amazon also failed to mention how many items are available for quick delivery, but this is nonetheless a promising start.

Despite Amazon's market power, selling groceries online is not a slam dunk. Both of those companies, which have partnered with most of the country's major grocery chains, offer memberships that provide discounted delivery. Shortly after Amazon's $13.7 billion acquisition of Whole Foods, products such as Echo and Fire TV were made available for purchase in Whole Food stores.

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Amazon, usually coy about future plans, strongly hinted that it planned to expand the Whole Foods delivery trial beyond its first four locations. "The Whole Foods business model is built around great fresh foods and that is a type of shopping that the vast majority of people prefer to do on their own".

Once a customer has placed an order, pickers-not necessarily Whole Foods employees-will manually collect the items from a nearby Whole Foods store and put them in "appropriate packaging". The orders will then be delivered by Amazon Flex drivers.

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