According to reports, one of the major e-commerce sites in India, Amazon, would end its meal delivery service there in December. Despite the fact that Amazon's food delivery service has not been as profitable as Swiggy or Zomato, the news nonetheless comes as a surprise given that the corporation recently opted to close down its edtech division as well. According to reports, Amazon's restaurant partners were informed of its most recent decision to discontinue meal delivery services and reminded that these services will end on December 29.
The Economic Times was able to gain access to a communication from Amazon in which the company made it clear that its food delivery service, known as Amazon Food, will end on December 29. The e-commerce behemoth has also promised the restaurant partners that up until the specified time, it will fulfil all "payments and other contractual obligations."
However, as stated in the letter, the business will give partners access to Amazon tools and reports through January 31.
You won't receive orders from consumers through Amazon Food after this date as a result of this decision. According to a report, Amazon told its restaurant partners, "You will continue to accept orders up until that point, and we expect you to continue fulfilling those orders.
In order to compete with Swiggy and Zomato, the e-commerce behemoth established Amazon Food in India. In May 2020, the service made its debut in Bengaluru. By March 2021, Amazon Food had opened 62 locations throughout Bengaluru.
A day after it was revealed that the corporation was ending Amazon Academy, the online learning platform for high school students in India, there was an announcement to close Amazon Food. In the midst of the COVID-19 epidemic, the Amazon Academy platform made its debut early last year.
The company has received a lot of attention lately due to the mass layoffs, which are expected to last through next year. "I've been in this role now for about a year and a half, and without a doubt, this is the most difficult decision we've made during that time," Amazon CEO Andy Jassy wrote in a note to staff members. "We've had to make some very tough calls over the past couple of years, particularly during the heart of the pandemic," he continued.
