Amazon Expands Same-Day Delivery to Fresh Groceries in Over 1,000 U.S. Cities

Amazon Rolls Out Same-Day Grocery Delivery Across 1,000+ U.S. Cities
Amazon Rolls Out Same-Day Grocery Delivery Across 1,000+ U.S. Cities

Amazon has expanded its Prime same-day delivery service to include perishable food items such as strawberries, milk, meats, and frozen dinners, the company announced on Wednesday. The move intensifies competition with Walmart+ and Instacart in the fast-growing grocery delivery market.


Faster Deliveries, Lower Threshold

Prime members in over 1,000 cities—including Phoenix, Raleigh (North Carolina), and Tampa (Florida)—can now receive groceries at their doorstep within hours. Amazon aims to extend the service to 2,300 cities by year-end.

This expansion follows the company’s $4 billion investment announced in June to bring same-day and next-day delivery to more than 4,000 rural U.S. communities. Orders are now fulfilled directly through Amazon’s same-day delivery logistics hubs, alongside Amazon Fresh and Whole Foods locations.

Prime members—who pay $14.99 monthly or $149 annually—can enjoy free same-day grocery delivery on orders over $25, down from previous higher thresholds. This directly challenges Instacart, whose business model relies heavily on quick, one-off orders.

“Customers can now order milk alongside electronics, or frozen pizza with tools for a home project—checking out in one cart and receiving everything within hours,” said Doug Herrington, CEO of Worldwide Amazon Stores.


Competitive Pressure on Rivals

Instacart’s shares fell 12% in early trading Wednesday following the announcement, while Walmart and Kroger dropped about 2% and 5%, respectively. Amazon shares rose 1%.

Walmart—America’s largest grocery retailer—has focused heavily on perishable and dry goods deliveries. In May, it announced plans to deliver to 95% of the U.S. population within three hours, reporting a 91% year-on-year increase in sub-three-hour deliveries between February and April.


Challenges in Overseas Markets

While Amazon strengthens its U.S. grocery services, it continues to face challenges in the UK. A report from the Groceries Code Adjudicator revealed tensions with some UK suppliers, posing hurdles for its international grocery expansion.


Highlights:

  • 🛒 Amazon Prime now offers same-day grocery delivery for fresh and frozen foods in 1,000+ U.S. cities.

  • 📦 $25 minimum order for free delivery, aiming to undercut Instacart’s one-off order niche.

  • 📉 Instacart shares fell 12%, Walmart and Kroger also saw declines after the news.


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