In a bid to attract customers burdened by rising inflation, Amazon has announced a significant reduction in grocery prices, following in the footsteps of major competitors such as Target and Walmart. The company plans to decrease the prices of 4,000 items both online at its Amazon Fresh grocery stores and in its physical locations.

On Friday, Amazon revealed that shoppers at Amazon Fresh will enjoy discounts on a wide range of products, including meat, seafood, frozen food, dairy and cheese, beverages, snacks, and pastas. These price cuts will apply to both national brands and Amazon's own private label products.

Claire Peters, worldwide vice president with Amazon Fresh, stated, "Increasing our weekly deals across thousands of items and expanding the reach of Prime Savings at Amazon Fresh is just one way that we're continuing to invest in competitive pricing and savings for all of our customers - both in-store and online."

Additionally, Amazon Prime members will receive an extra 10% off the discounted items from Amazon Fresh. The news of the price reductions was initially reported by CNN over the weekend.

This move by Amazon comes shortly after Target publicly announced its own price cuts on at least 5,000 frequently purchased items. Target shoppers can look forward to reduced prices on essential items such as meat, milk, soda, bread, fruits, vegetables, coffee, diapers, paper towels, and pet food.

Similarly, Walmart pledged to lower prices in response to what it called a "deflationary environment." The retail giant has already begun reducing prices on items like eggs, apples, and deli snacks.

The surge in food inflation in recent years has had a significant impact on Americans. Over the Memorial Day weekend, the cost of a barbecue cookout rose by 10% compared to the previous year. In April, overall inflation recorded a year-over-year increase of 3.4%, while groceries saw a 2.2% price hike compared to 2023. Since January 2021, grocery prices have risen by more than 21%.

With this latest move, Amazon aims to alleviate the financial strain on consumers and capture their loyalty by offering more competitive pricing. By slashing grocery prices, the e-commerce giant hopes to attract customers both online and in its physical stores, emphasizing the value of its Amazon Fresh service.

It remains to be seen how these price cuts will impact consumer behavior and whether other retailers will follow suit to remain competitive in this challenging economic landscape.