Business Insider reports that Amazon Fresh will no longer allow third-party vendors sell on its platform.
Previously, vendors were allowed to enroll in Amazon Fresh's Local Market Seller initiative. The service offered locally sourced items, creating it to be the e-retailer's answer to home-and-business grocery delivery services.
The third-party model acted as a platform for local merchants to sell products to be delivered to members alongside their typical Fresh orders. However, the program will end on May 30 and all vendors will be kicked off the platform, Business Insider reports. Vendors found out about the change to the service on May 11 via email.
The change of the service is due to Fresh wanting to be more retail-based. Amazon will buy product wholesale and sell it to consumers like a typical brick-and-mortar store.
In the email that was sent out by Amazon, the company encouraged third-party merchants to stay within the service because there will be other ways for them to sell their products.
Amazon stopped its Fresh delivery service in parts of New York, New Jersey, Pennsylvania, Delaware, Maryland and California back in November, according to Business Insider. Amazon has never went on to explain why it has ended.
Fresh has been seen to take a backseat to Prime Now. Prime now is working on integrating Whole Foods delivery into the service. Stephenie Landry, Amazon executive in charge of Prime Now, has been asked to lead Amazon Fresh, causing many to speculate that the services are merging despite Landy's denial of it last year.