Amazon enters fresh food market with Morrisons deal | Business | The Guardian

Morrisons, Britain’s fourth biggest supermarket, said on Monday the deal would allow Amazon Prime Now and Amazon Pantry customers access to Morrisons ambient, fresh and frozen products in the coming months.


The British supermarket sector has been convulsed by fierce competition in recent years and analysts have warned that a step up from Amazon could hurt the traditional players even more.


That was its most ambitious foray into Britain’s growing online grocery market but it stopped short of replicating its broader US Amazon Fresh service, which offers about 20,000 chilled, frozen and perishable products and items from local shops. Retail analysts have speculated the US company was gearing up for a launch of Amazon Fresh in Britain this year.


“The combination of our fresh food expertise with Amazon’s online and logistics capabilities is compelling,” said Morrisons chief executive David Potts. “This is a low risk and capital light wholesale supply arrangement that demonstrates the opportunity we have to become a broader business. We look forward to working with Amazon to develop and grow this partnership over the coming months.”


Hundreds of Morrisons fresh and frozen food products will be available to order from Amazon, after the US online retailer struck its first supply deal with one of the UK’s “big four” supermarkets.



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