14 Day Free Evaluation

Enter your details below and a member of our Client Service team will set up an evaluation specific to your markets and categories.

×

Return to Insights

How does Amazon Pantry’s pricing compare to traditional supermarkets?

amazon pan

On 13 November 2015, Amazon Pantry launched in the UK. The grocery delivery service, exclusively available to Amazon Prime members, offers ‘exclusive access to low-priced, everyday essentials in everyday sizes, delivered to your door’ (Amazon).

Prime members can now order from a range of over 4,000 ambient products, including food and drink, household goods and pet products. The next day delivery service is competitively priced compared to other UK retailers, with next day delivery for as little as £2.99 for a 20kg box of products, with additional boxes costing 99p.

The introduction of the Amazon Pantry service comes just a few weeks after the e-tailer began its Prime Now chilled and frozen food products trial in Birmingham and London, which has since been extended to Newcastle.

How does Amazon Pantry pricing compare?

Brand View has analysed a representative sample of products in the following ten Amazon Pantry categories:

  • Baby Food
  • Beer
  • Cereals & Muesli
  • Coffee, Tea & Hot Chocolate
  • Crisps
  • Dental Care
  • Fizzy Drinks
  • Household Cleaners
  • Laundry
  • Tinned & Jarred Food

We have reviewed the shelf pricing of Amazon Pantry compared with commonly listed lines in Asda, Morrisons, Ocado, Sainsbury’s, Tesco and Waitrose.

Amazon Pantry was the cheapest for the commonly listed basket of items, followed by Asda – 13.2 percent more expensive than the e-tailer.

Waitrose was the most expensive retailer for the basket. It was 23.7 percent more expensive than Amazon Pantry, ahead of Ocado which was 21.6 percent more expensive.

amazon pantry and supermarket price comparison
*comparative pricing for the commonly listed items in the ten categories analysed

 

Which categories are most competitively priced?

When reviewing pricing at a category level, compared to the second cheapest retailer Asda, the greatest pricing difference was in the Laundry category – Asda was 20.1 percent more expensive for the commonly listed products.

Asda was more expensive for 58.1 percent of the commonly listed laundry products, while Amazon matched Asda’s pricing for 38.7 percent of the laundry products.

For several products, including The Bold White Lily and Lotus Flower 2-in-1 Pearls Washing Capsules and Vanish Oxi Action Fabric Stain Remover 1.5 kg, Amazon Pantry was half the price of Asda.

The smallest difference in category basket cost was for the Beer category. Asda was 5.2 percent more expensive than Amazon Pantry, with matched pricing across 53.3 percent of commonly listed products.

amazon pantry and asda price comparison

The greatest price difference in the remaining five retailers was for the Crisps category. Waitrose had the greatest difference across this category – it was 40.4 percent more expensive than Amazon Pantry.

The smallest price difference in Morrisons, Sainsbury’s and Tesco compared to Amazon Pantry was also for the Beer category. However, Ocado and Waitrose both had the smallest difference for the Baby Food category.

Does Amazon Pantry provide shoppers with accurate product information?

Our analysis identified a high number of errors in the content of Amazon Pantry’s product listings.

The e-tailer misspelt the brand name NESCAFÉ as ‘Nescafee’ on the listing of the NESCAFÉ Dolce Gusto Mocha Coffee, 8 per pack.

nescafe compliance
Amazon Pantry website 18 November 2015

 

It also omitted the NESCAFÉ brand name from its Dolce Gusto Grande Mild Coffee, 16 per pack.

Three Colgate listings were also missing the brand name.

colgate compliance
Amazon Pantry website 18 November 2015

 

Amazon listed the incorrect product name, but correct image, for the Cow & Gate Creamy Mushroom & Chicken with Noodles. The Cow & Gate Chicken Sunday Lunch product was also listed on the site.

cow & gate compliance
Amazon Pantry website 18 November 2015

 

Finally, the pack size of the Flash Cotton Fresh Concentrated All Purpose Cleaner was incorrectly displayed as 400ml, when the product is actually 500ml. The Flash Wipe & Go Lemon Wipes 40 pack was also incorrectly labelled as a 48 pack and the Cow & Gate 1 First Infant Milk 900g was incorrectly labelled as 200ml.

flash compliance
Amazon Pantry website 18 November 2015

 

Amazon Pantry’s competitive price position will likely cause some online shoppers to switch. However, if Amazon is to seriously challenge the UK supermarkets with its Pantry service it will need improve the accuracy of its product listings. The wide array of errors displayed in this analysis could damage shoppers’ confidence in Amazon Pantry and encourage them to revert back to their tried and trusted supermarkets.

Not already using Brand View products? Request a free evaluation today and experience the power of Brand View completely free of charge for 14 days.

 

 


Return to Insights