An Amazon grocery deliver. Credit: adpowers/Flickr
The easy answer is a big fat NO – which surprised me because many frugal friends have raved about Amazon’s grocery prices, which don’t require coupons. But a price comparison of 24 common grocery staples between my local Stop & Shop, BJ’s Warehouse club, and Amazon Grocery gave Amazon just one clear price winner. (On ultra pasteurized milk. You know, the kind that does not need to be refrigerated before you open it?) Stop & Shop had the lowest price on six items and BJ’s won 10 price categories. Prices for another 10 items were tied at Stop & Shop and BJ’s. For this comparison I looked at Amazon Grocery prices, not prices at AmazonFresh, a grocery delivery service that is only available in Seattle.
I compared grocery prices on a selection of meats, produce, dry goods, and treats by calculating the cost per unit of each item. In some cases, I multiplied the cost per unit by how many units that item is typically sold in. For instance, the per ounce cost of tortilla chips at Amazon was $.18. But you cannot buy a single ounce of chips. Usually, chips come in bags that are 14 ounces or more, not including snack sizes.
If I had purchased the same items at each store, my cart would come to:
- Stop & Shop $80.33
- BJ’s Warehouse $70.91
- Amazon Grocery $194.94 – and this doesn’t include shipping!
Buying the groceries at Amazon is twice as expensive as the other two options, making it a true splurge. Plus, Amazon did not have a few items available, like Broccoli and onions. Many of the items at Amazon were expensive because of the need to preserve the edibles while shipping. A whopping 8 of the 24 items need to be refrigerated or frozen, and delicate items, like fruit, require special packaging so as not to damage the flesh. Another downside was the glut of packaging buying groceries on Amazon Grocery would create. Most of the items I looked at were sold through various third parties, which means receiving a separate package for almost every item you buy.
The upside to grocery shopping at Amazon is a plethora of organic and all-natural brands to choose from, exceptional selection in certain areas, like meat, and the convenience of grocery shopping online. No pesky lines to deal with or winter weather to plow through.
Until AmazonFresh delivers nationwide, the more important comparison is between BJ’s and Stop & Shop (or wherever you regularly buy food). The warehouse club groceries are almost $10 cheaper – a nice 12% discount. But keep in mind that some of those savings will inevitably be washed away by the requirement to buy so much more than you can digest. Are you really goes to consume all six heads of lettuce before they turn to slime? Do you have space for 20 pounds of flour? Plus, joining BJ’s costs $50 a year. Costco is also $50 a year and Sam’s Club is $40. Do you shop enough to make back your membership?
If you are a savvy grocery shopper and stock up at your local market when prices are low, you can easily make up for the slightly lower prices at a warehouse club. Beyond price, the distance to each store, the quality of your experience there, and the chance you will be sucked into impulse buys at each store will push you to shop at one place over another.
If home delivery is important, try a grocery delivery service like Peapod, FreshDirect, or check if your local market offers it. Coupons are often available for your first order and shipping may be waived if you hit a minimum tab. For now, reserve Amazon Grocery for splurges or specialty items.
Welcome to Bargain Babe! I’m Mara, and I’m so glad you’re here. I am an obsessive bargain hunter and penny pincher, and I am determined to live a full life without EVER paying full price. 
I brought a 12 pack case of Traders Joe, Pirate Booty chips,from Amazon… the price was low, but after i paid for the shipping… it was almost the same…as if I brought 12 at TJ…maybe if TJ was not close…I would order again…but if I shop at TJ…I would not buy 12 of the same..and had to keep big carton in the kitchen..till i had eaten at least 6 paks…I have not brought any food stuffs from Amazon since.
My local grocery delivers groceries, but it not only charges a fee to deliver them, but it also charges mileage. Add to that it doesn’t have the ability to accept coupons online, and you can see it’s better to go to the store. And for me I don’t like getting all those plastic bags since I use canvas.
I didn’t consider the things it took to preserve food to ship it. I like that Albertsons delivers groceries, or you can pick them up. I’m most likely going to go with that option.
There are some things that are cheaper at Amazon but when you do your search hit “supper saver shipping” then you will only be looking at things with free shipping. The things that are cheaper at Amazon for me are organic and healthy brand items that I can usually only find at Whole Foods. I have bought Pirates Booty, Annie’s Mac and Cheese, Lundbergs Rice and Risotto and Nana’s Cookies with huge savings compared to Whole Foods. Also Amazon gives you 15% food if you set up a re-order every 6 or so weeks. You can always cancel it at anytime but you still receive the 15% off.
If you join the Amazon Mom’s club, you get 15% off diapers and other baby items, plus free Prime Shipping on anything you order from Amazon. Set up your diapers on re-order and you get another 15%. That’s 30% off their price and free shipping Comes out cheaper than buying diapers at Sam’s or with coupons. Plus, they come once a month and I never run out. 🙂
We also buy my husband’s Lavazza Espresso beans from Amazon on monthly re-order. 15% off and free shipping, can’t beat it. 🙂
Other than that, I’d never buy groceries from Amazon.
There are some select things that are less expensive at Amazon, but you do have to shop selectively. Their subscribe and save program makes a few things good deals. For example, we purchase Freeze Dried fruit (my kids love it for snacks on the run and it’s expensive!), Sucanat, Diapers (I could probably get a better deal, but I’d work a lot harder for it. I pay less than 14 cents for size 4 Luvs via Amazon.), Diaper Genie refills, and our preferred brand of toilet paper (we’re picky!) and I’m happy with the price. Other that that, I tend to find it more expensive.
I agree with Laura Beth. Amazon grocery would never get my entire grocery bill, but there are certainly lots of things that ARE cheaper.
I love their organic pumpkin ($1/can rather than $3/can at my local store), my preferred toilet paper (even cheaper than Costco’s price for the same size), and certain snackies like Popchips (less than $1/bag.
You have to be careful of what you buy, just like any other warehouse club.
Nice article but where is Shop Rite in this discussion. I live a couple of miles from a Stop & Shop and almost never go there because Shop Rite is so much cheaper with better quality and a much better selection.
Amazon does have some good deals, especially if it is a product you are looking for and cannot find it locally.