Amazon begins grocery delivery in Brooklyn

Amazon (NASDAQ:AMZN) launched its grocery delivery program in Brooklyn's Park Slope neighborhood today.

Amazon Fresh, which offers same-day or next-day delivery on more than 500,000 items, now has a foothold in one of the country's wealthiest markets and will soon expand to other areas in Brooklyn, reported Reuters.

Amazon is slowly expanding its Fresh delivery program and pushing the barriers of grocery delivery. When asked, the e-commerce giant would not say if Fresh will eventually expand to Manhattan.

"Currently, we are offering Amazon Fresh in Brooklyn and will continue being thoughtful and methodical in our expansion," an Amazon spokeswoman wrote in an e-mail to Reuters.

Amazon is in direct competition with other online grocery delivery companies such as Instacart, which recently piloted an in-store pick-up option and already provides delivery in 15 cities for Whole Foods (NASDAQ:WFM) shoppers.

Amazon tested Fresh in Seattle for five years before adding Los Angeles and San Francisco in 2013. The New York metro area is a new beast, as the higher population density poses a different logistical challenge.

The company is currently testing out new ways to deliver groceries through a partnership with the USPS in San Francisco.

Fresh will be free to Brooklyn members of Amazon's Prime program through the end of the year. After that, Amazon will charge $299 a year, which also includes the perks of Prime.

For more:
-See this Reuters article

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