Amazon Prime members are suing the company for canceling the free Whole Foods grocery delivery service.
In 2018, Amazon introduced the free two-hour delivery on Whole Foods groceries for Prime members. The offer was available for orders that totaled more than $35. However, in October 2021, Amazon ended the bid and increased delivery fees to $9.95.
One class-action lawsuit states Amazon “engaged in unfair business practices, breached its duty of good faith, and deprived Prime members of the benefit of their bargain” by making the change. The plaintiffs say the company should have reduced the Prime membership cost. They even suggested refunding Prime members after the offer was eliminated.
“Individuals signed up for the benefit of Amazon Prime to provide free Whole Foods delivery, at a time when most were avoiding going to stores, and still do,” an attorney representing the plaintiffs says.
Another lawsuit filed in June claims Amazon misled customers with false representations of “Free Delivery” and “Free 2-Hour Grocery Delivery.” According to the case, Amazon used a tactic called “drip pricing.” The marketing plan occurs when only part of a product’s price is revealed at first. Meanwhile, other fees remain hidden until the end of the purchasing process.
“Amazon engages in a bait-and-switch advertising scheme,” the suit says. “By not disclosing the $9.95 service fee and the advertised price of the Whole Foods grocery items. Amazon advertises groceries from Whole Foods at a certain price. Then tacks on a mandatory ‘service fee’ later in the ordering process. After the consumer is already invested in the ordering process.”
Amazon’s Prime subscriptions have become more expensive throughout the years. In March, Amazon increased its annual membership from $119 to $139. They also raised their monthly membership from $12.99 to $14.99.
