Food fight

Amazon's Hunt for a German Grocer

An Amazon Fresh delivery truck sits parked outside an Amazon Fulfillment Center on Cyber Monday in Tracy
Amazon Fresh already operates in Germany, but depends on a local supplier. Source: Reuters

German food retailers have been warned – Amazon is advancing.

Following its recent $13.7 billion acquisition of the US-based Whole Foods supermarket chain and forays into food delivery services in several countries, experts predict the online giant is hunting for German food retailers to bolster its growing grocery business. They think Amazon wants to control the supply chain from website orders to delivery, and can only do this by buying existing grocery and logistics firms.

Amazon Fresh, a delivery service for fresh produce and other groceries, currently relies on partnerships with German suppliers, such as supermarket chain Tegut. But Rainer Münch, partner at consultancy Oliver Wyman, said that Amazon most likely plans to eventually own the whole supply chain and offer its own food brands in Germany.

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