Shares in online grocer Ocado have hit a three-year low after US retail giant Amazon last week expanded its food delivery service in the UK to include fresh products.
Ocado shares are dropping a further 6.3 per cent today to 210.2p a share, the lowest level since May 2010. It is Ocado’s third straight session of losses, following an 8 per cent slump on Monday and 5.6 per cent fall on Friday.
Amazon first launched its assault on the UK grocery market at the end of last year but until recently, its service had been limited to chilled food.
Ocado’s shares have fallen 45 per cent over the last 12 months.
The arrival of the online retail giant adds further pressure on an already bitterly competitive market in the UK, as more established grocers have slashed prices in an effort to stop customers defecting to the German discounters Aldi and Lidl, which are expanding aggressively in Britain.
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