Money Consumer Snack foods, tea, organics: Amazon Australia now delivers groceries
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Snack foods, tea, organics: Amazon Australia now delivers groceries

Scott Morrison's interpretation of Amazon's move may miss the big picture.
Amazon has launched a range of groceries to compete with supermarkets. Photo: AAP
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Amazon has started selling pantry staples, including cereal, snacks and tomato sauce, almost one year after its launch in Australia.

The range, which includes Arnott’s, Milo, Uncle Tobys, Masterfoods, T2, Carman’s, Sanitarium, Oreo and M&Ms, puts the online mega-store in more direct competition with the country’s supermarkets.

Amazon Australia said the new product range reflects the growing health food trend in Australia. It includes a section dedicated to organics.

However, much of the overall range appears to be focused on snack and junk foods – including chips, chocolate and biscuits.

Amazon Australia groceries
Doritos, Savoy crackers and Smiths chips as seen on Amazon’s website on Wednesday. Photo: Amazon Australia

The range takes in more than 400 local and international grocery brands.

Amazon Australia manager Rocco Braeuniger said the new category would bring “greater convenience” and “fast delivery” for customers.

So far, Amazon has just two fulfilment (warehouse) centres to service the whole of Australia – one in Dandenong, in Melbourne, and another in Moorebank, in Sydney.

E-commerce analysts have previously claimed the speed of delivery will be key in determining how well Amazon will resonate with Australian consumers, given the geographical spread of our capital cities.

In a statement, Amazon said almost 90 per cent of Australians can access free two-business day deliveries on “Prime eligible items”.

Those who are not Prime members can receive free delivery for orders of more than $49 when shipped by Amazon. One-day delivery is available in select areas.

Amazon launched its membership program, Prime, in June. It provides unlimited deliveries to members who pay $7 a month.

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