Amazon's Restaurant Delivery Service Expands

Amazon.com, Inc. (NASDAQ: AMZN) recently announced that Amazon Prime members can utilize a restaurant delivery service. This service, which began in Seattle, has now opened in Baltimore and Los Angeles with more than 20 other launches being planned.

Daniela Galarza of Eater.com wrote, "Because so many people already use Amazon as a one-stop shop, it isn't too far of a leap to ask customers to order dinner to be delivered after renting a movie on Amazon's streaming service… Amazon Prime Now delivery customers can use the same payment information they have stored in their account to order restaurant delivery, so it's one less app to set up."

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One of the biggest questions is how customers will react to the $7.99 service fee charged for each delivery order. Amazon hopes that by offering a free trial period they will encourage more users to sign up for its Prime services. By leveraging its already successful music and movie streaming platform, Amazon hopes to continue to grow to be the destination where customers can order anything that they want in the most convenient manner possible.

Shares of Amazon recently traded at $679.15, up 0.46 percent.