Home Issue 2017-08-04 Amazon Grocery Sales Soar By 50% in Second Quarter

Amazon Grocery Sales Soar By 50% in Second Quarter


Amazon has refiled documents seeking approval for its $13.7 billion purchase of Whole Foods Market, allowing more time for U.S. antitrust enforcers to review the deal, which was originally filed about a month ago.

Meanwhile, Amazon’s U.S. grocery sales jumped 50% to $420 million in the second quarter of 2017, with perishables up 110%

As a percentage of the overall grocery retail market, Amazon’s $420m in Q2 grocery sales in the U.S. is not especially significant. But e-commerce data firm One Click Retail says the 50% year-on-year growth is eye-opening.

Amazon’s recent investments in the grocery space have put a focus on perishables, through the Prime-exclusive Prime Pantry program. As Prime membership continues to rapidly grow – Prime Day on June 11th was the busiest single signup day in the history of the program – perishables follow suit, driving a growth of 110% in the US during Q2.

Still, Amazon Grocery is dominated by Coffee and Beverages, which have always performed well in the eCommerce space. Across all countries, many of the top items include coffee pods (Keurig and Tassimo brands primarily showing 400+% growth), while two different sizes of Essentia-brand drinking water appear in the three top growth items in the U.S.

One Click Retail projects the popularity of Amazon Fresh and Prime Pantry will no doubt continue to grow as consumers shift away from brick and mortar shopping and turn to eCommerce for consumables.

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