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Amazon Charging New Fees for Amazon Fresh Grocery Orders

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Amazon Prime ($139 per year) is compelling to a lot of shoppers because of the slew of benefits that get “rolled in” to membership: free shipping, free music streaming and grocery delivery without delivery fees. But that grocery delivery benefit will no longer be free for many shoppers. Starting Feb. 28, Amazon will charge delivery fees on all orders under $150. Previously, those who met a minimum threshold of $35 to $50 (depending on the area) got free delivery. Now, the following delivery fees will be charged:

  • Orders over $150: FREE.
  • Orders $100-$150: $3.95.
  • Orders $50 to $100: $6.95.
  • Orders under $50: $9.95.

This is according to an email sent in late January to Prime users (quoted in this Business Insider article).

What Does This Mean for Shoppers?

Basically, these changes make it harder to get free grocery delivery. In the past, you could be assured no delivery fee if you placed an order of at least $35 to $50 (depending on ZIP code). Now, that minimum is $150.

For those who can wait a while between orders (or who have families) and regularly hit that $150 threshold, nothing has changed.

showing old free 2-hour delivery of groceries from Amazon with order of at least $35
Image: Amazon.com
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However, those who regularly place smaller orders will now have to pay up for the privilege of having groceries delivered. In the past, you could pretty easily bump up your order total to $35 or $50 by adding a few extra snacks. Now, you’ll have to pad your order up to $150 to avoid the delivery fee.

If you’re ordering groceries from Whole Foods with Amazon Prime, nothing is changing — you’ll still pay the service fee that Amazon always charged for this service. These changes affect Amazon Fresh (that is, delivery of groceries from Amazon’s warehouses).

Is Prime Still Worth It?

It depends on what you use Prime for. If free fast shipping, Prime Video and music streaming (which recently got better) are what you’re after, Prime still has a lot to offer. Not to mention the exclusive discounts it offers Prime members.

But if you were frequently taking advantage of free grocery delivery and placing orders under $150, you’ll want to do some math and see how much those delivery fees are going to add up.

Why is Amazon Charging Grocery Delivery Fees?

Amazon has been making adjustments lately to curb costs amid inflation and reduced online shopping demand as the pandemic wanes. For example, it recently eliminated its charitable Amazon Smile program as a cost-cutting measure. According to the email sent to Prime members about the new grocery delivery fees, Amazon says it’s charging the fees to keep its overall prices low amid rising logistical costs for delivery. It also indicated that, in addition to its two-hour grocery delivery window, it’ll start offering a longer six-hour delivery window at a lower cost.

The post Amazon Charging New Fees for Amazon Fresh Grocery Orders appeared first on The Real Deal by RetailMeNot.



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