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Article posted: 6/16/2013 6:13 AM

Amazon expands grocery delivery to LA


Amazon.com says it has expanded its grocery delivery service to Los Angeles and may add more markets in the future.

The online retail giant has been testing Amazonfresh in Seattle for several years. It confirmed recently that it is now offering it in Los Angeles on a trial basis as well.

Grocers have tried for years to perfect the online grocery delivery service with mixed results. While there are a number of brands in the online grocery graveyard, companies such as Peapod, Safeway and FreshDirect are still giving it a go as shoppers do seem to appreciate the ease of the service.

Amazon.com Inc. says it is excited to test out a new market in Los Angeles. The company remained vague about any future expansion plans, saying only that they know customers value the service but "the economics remain challenging."

"We will continue experimenting and innovating on behalf of our customers to find a model that works," the company said in a statement.

Amazon customers in LA can now order more than 500,000 items for same-day delivery, including products from specialty stores around the city.

The service is free for Amazon Prime members for 90 days. After that, customers must sign up for a new Prime membership program that costs $299 a year. Delivery is free for any orders over $35.

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