Amazon Introduces Subscribe And Save

JULIE GALLAGHER

SEATTLE — Amazon.com introduced a feature last week whereby grocery consumers can set an automatic delivery schedule in intervals of one, two, three or six months.

Online shoppers opting for the “Subscribe and Save” feature are guaranteed free delivery of groceries discounted by 15% for the length of their subscription. No minimum purchase is required. “With Subscribe and Save, customers can get discounts, free shipping and regular delivery of the products they use the most,” said Maria Renz, vice president of consumables, Amazon.com.

Consumers subscribing to the feature will receive email reminders and can make changes as needed or cancel their order at any time.

Prices may vary from month to month, and shoppers are charged when each order is shipped.

Advance order notice allows for cost efficiencies, noted Frank Dell, president of Stamford, Conn.-based Dellmart & Co.

“Amazon will reduce its handling-time cycle and cut down on its safety stock of inventory that's reserved for customer demand,” he said. “Instead of paying for next-day delivery, it can ship these products two-day ground. It'll have no holding costs, and it'll pass on operational savings.”

Amazon.com's Grocery Store merchandises over 22,000 non-perishable items, including natural, organic and ethnic foods, that carry everyday low prices.