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Amazon is increasing its meals service in a direct battle with British supermarkets

Amazon is expanding its online food service in a major offensive to attract more customers to the highly competitive UK food market.

The technology giant, which releases its second quarter results on Thursday, is slated to increase capacity for more households starting Tuesday and offer Prime members free delivery to accelerate growth in one of the most advanced online food markets in the world. Prime members had to pay an additional monthly fee for Amazon
AMZN,
-1.79%
Amazon Fresh Service.

Deliveries of food almost doubled during the pandemic with rival Tesco
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+ 0.64%,
Sainsbury
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+ 0.18%
and Walmart ownership
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+ 0.41%
Asda everyone benefits.

Online grocer Ocado
OCDO,
-0.33%
is also an important competitor. It has pioneered robotics technology for international partners like Kroger
KR,
+ 1.35%
to catapult them into the online grocery store and put Ocado head to head with Amazon.

As of Tuesday, Amazon Prime members who spend more than £ 40 ($ 51) on groceries that require a two-hour delivery period will no longer have to pay the additional fee of up to £ 3.99 per month. But those who want a one-hour slot still have to pay.

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Some analysts have described this move as a trailblazer that puts Amazon at the center of the battle for UK online grocery buyers interested in the established supermarket brands.

Before the end of the year, Amazon Fresh will also extend the service beyond London to other areas in Great Britain, with Edinburgh, Manchester and Birmingham expected to be included.

Russell Jones, Country Manager at Amazon Fresh UK, said: “Food delivery is one of the fastest growing companies on Amazon and we believe this will be one of the UK's most popular prime benefits.

"We will continue to improve the grocery shopping experience so that by the end of the year millions of Prime members across the UK will have access to fast and free grocery delivery."

Amazon Fresh includes meat, seafood, products, snacks and household items.

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