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CNet has a story in which the reporter compares the AmazonFresh shopping experience in San Francisco to going to the local Safeway.

The conclusion is that the experience is comparable - which may be the best thing that Amazon could ask for, since it suggests that the two companies are competing on a level playing field, offering their own advantages but in many ways interchangeable.

In the case of Amazon Fresh, the prices are seen as being, in most cases, as good or better than in the local supermarket. Shopping online takes less time, though offering less freedom and less ability to, say, inspect and choose your own bananas. And while there is personal interaction in the supermarket, not of all of it is what Safeway probably would want it to be.
KC's View:
The biggest problem with Amazon Fresh, the story suggests, is the high cost of a Prime membership that ensures "free" shipping … though, as the reporter writes, this all depends on how much you value your time. If time is money, then "AmazonFresh is fantastic for those who want grocery shopping to be a quick sport."

And that, potentially, is a lot of people.