Kroger Co. (NYSE:KR) stock slid 3% on Wednesday morning following news that Amazon.com Inc. (NASDAQ:AMZN) is making a major push into the grocery sector, a move that could ramp up pressure on established supermarket operators.

Amazon announced it has rolled out fresh grocery delivery to over 1,000 cities and towns across the U.S., with a goal of serving more than 2,300 locations by the close of 2025. The expansion of its Same-Day Delivery program now covers a wide range of perishable goods—fruits and vegetables, meats, seafood, dairy products, baked goods, and frozen foods—alongside the millions of other items already available on the platform.

The initiative marks one of the largest steps yet in Amazon’s bid to strengthen its grocery footprint, leveraging its fast, tech-driven logistics network to integrate fresh food delivery at scale. Prime members in most cities get free Same-Day Delivery on orders above $25, while non-members can use the service for a flat $12.99 per order.

“We’re continuously innovating to make grocery shopping simpler, faster, and more affordable for our customers, especially Prime members,” said Doug Herrington, CEO of Worldwide Amazon Stores. “By introducing fresh groceries into our Same-Day Delivery service, we’re creating a quick and easy experience for customers.”

Amazon said early results from pilot cities showed strong uptake among Prime members, with strawberries now frequently placing in the top five best-selling items across all categories.

The expansion is expected to heighten competition in the grocery delivery market, creating fresh challenges for traditional players like Kroger that have been investing heavily in online ordering and delivery infrastructure.

Kroger stock price

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