Amazon Fresh - History and Business Model

History and Business Model

AmazonFresh initially offered home grocery delivery to residents of the Seattle suburb of Mercer Island in an invitation-only beta-test in August 2007. It has since expanded to a number of Seattle-area zip codes, including the suburbs of Kirkland and Bellevue.

On June 10, 2013, Amazon Fresh expanded to portions of the Los Angeles area. In the Los Angeles area, customers must be a Amazon Prime member. Prime members receive the service free for 90 days. After the trial period, they are upgraded to Prime Fresh members and charged $299 each year to use the grocery service as well as regular Amazon Prime benefits. Prime Fresh members receive free same-day and early morning delivery on grocery orders over $35.

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