Food Delivery: Amazon Fresh in Japan

Typically Amazon enters market with a strong offering; however in the case of Amazon Fresh (recently launched in Japan) to me (as analyst and consumer) it is not clear what advantage Amazon Fresh provides in comparison with existing and mature Japanese companies (e.g. Pal System (web only store), Ito Yokado (regular store that also delivers) ).  Bellow is a very brief comparison (if you’d like a more detailed one; please get in touch with me).

Amazon Fresh :
monthly fee: $5
shipping fee: $5 for orders < $60
selection: probably wide; but is not quite clear yet

Ito Yokado (regular grocery store that also delivers)
monthly fee: free
shipping fee: $3 for orders < $20
selection: wide (many traditional Japanese grocery brands are available)

Pal System (web only store)
monthly fee: free
shipping fee: $2
selection: narrow (but focuses on organic and local food)

Amazon seems to have rather inferior offering (with the potential exception of the number of products available).  It is doubtful to me that the current offering will be successful; it will be interesting to see how it evolves.

Bellow is a very brief comparison (if you’d like a more detailed one; please get in touch with me).

 

About Neil Rubens

see http://ActiveIntelligence.org
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