Amazon has decided to shut down its "Fresh" food delivery service in Germany, citing a need to simplify its food offerings and refocus on long-life groceries. The service, which launched in 2017 and was available in Berlin, Hamburg, and Munich, will cease operations on December 14, 2024, according to an Amazon spokesperson.
“We have evaluated our offering and logistics network in Germany and decided to simplify our food offering on Amazon.de and focus on our extensive and growing business with long-life foods,” the spokesperson explained. Reports of the closure were previously highlighted by several media outlets.
The move comes amid a challenging time for the food delivery industry in Germany. Competition has been fierce, with many players unable to achieve profitability despite a pandemic-era boom. Young, urban consumers were significant users of such services, but slim profit margins and high operational costs have driven many companies out of the market. Earlier this year, Turkish delivery giant Getir, which also owns Gorillas, announced its withdrawal from the German market for similar reasons.
Amazon has indicated it is not leaving the fresh food space entirely. The company recently partnered with Knuspr, the German branch of the Czech Rohlik Group, to offer fresh, chilled, and frozen products, as well as drugstore items. Starting in December, Amazon Prime customers in Berlin, the Rhine-Main area, and Munich will have access to more than 15,000 products from Knuspr, available at supermarket prices.
This pivot aligns Amazon’s food strategy in Germany with a more collaborative approach, leveraging partnerships rather than directly managing delivery operations. It reflects the broader struggles of the grocery delivery sector, which faces high operational costs and intense competition, even as customer demand evolves.
