Amazon Takes on Aldi With Its New Line of Under $5 Grocery Staples

Remember when Amazon primarily sold books at a discount? Now, the company is recreating that structure with a new low-budget food line that claims most of the groceries will be under $5.

The continually rising cost of necessities like food has some welcoming this move by major online retailers, but some are skeptical that the prices will remain low if Amazon succeeds in cornering the grocery market.

As Amazon has grown, the need for shoppers to implement hacks to save money has also increased.

Here's everything we currently know about the new Amazon Saver grocery line.

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Amazon Saver

Amazon's newest private-label grocery line is Amazon Saver. It's advertised as a no-frills discount brand that will focus on providing grocery staples for under $5. Prime members will receive an additional 10% off. Several products have already been rolled out, and 100 more are planned in the near future.

Amazon's other private-labels

This isn't the retail giant's first foray into private-label food, as it already offers several brands. These include Amazon Fresh, Amazon Kitchen, 365 by Whole Foods Market, and Happy Belly.

Expanding Prime savings

Amazon is planning a significant expansion of Prime savings exclusives as part of its Amazon Fresh program. They announced more than 3,000 grocery items will have increased discounts exclusive to Prime members.

T he new savings will feature 8–15 weekly rotating "grocery favorites" for 50% off and more than 1,200 rotating exclusives for 25% off.

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Bottom line

As families struggle to tackle rising grocery costs , a new line of food staples where most things are under $5 may sound appealing — but many are left wondering why the online retail giant has introduced a whole new brand instead of just lowering the cost of its pre-existing grocery products.

Amazon seems focused on offering the same products under as many different names as possible, and while the prices may compete with Aldi, the quality will likely not, since Aldi focuses on limited choices of high-quality, affordable options.

Money tips that can work for everyone

No matter what your bank account balance is, there's always an opportunity to optimize and improve your finances. Here's a quick checklist of things you can look at today.

Focus on paying off your debt. Debt can hold you back from making progress with your overall financial well-being. Aside from cutting expenses, there are tools that can help you pay off debt faster like balance transfer credit cards and debt counseling.

Earning extra income can give you breathing room. If finances are tight, earning some extra money to supplement your income can make a huge difference. A new job is one option to consider, but if you're not ready to make a big change or already retired, a part-time side job could be a better choice.

Cut your expenses. It sounds painful and so not fun, but it doesn't have to be. Take a look at your biggest expenses because that's where you'll probably find the biggest savings. For example, auto insurance rates have been soaring so shopping around for a new insurance company can be the fastest way to cut your bill. Also, look for ways to cut your grocery bill (despite rising inflation).