Remember Webvan? The groundbreaking Internet grocery business flew high in the dot-com boom, then imploded in 2001. That was 12 years ago.
Twelve years is four generations in Internet years.
Since that initial debacle, local companies such as Fresh Direct and national chains including Safeway have made headway delivering fresh produce, milk, meat and other products ordered online.
Now, the 800-pound gorilla of Internet retail is expanding in the business.
Amazon.com, which has been providing grocery delivery in its own backyard of Seattle for six years, recently expanded into parts of Los Angeles. AmazonFresh is available only to Amazon Prime members in LA at a cost of $299 a year after a free trial.
(Read more: Amazon plans major move into grocery business)
Kate Wendt, an analyst at Wells Fargo, thinks that high price may be intentional.
"This is definitely a business ... where you don't want to start out from day one with a huge amount of volume," she told CNBC. "You really want to make sure that you can work out the kinks and deliver a great experience so you don't have a high customer attrition rate."
Amazon wouldn't comment on its expansion plans, but CNBC tested the service, ordering about $40 worth of groceries to be delivered the following morning between 7 and 8. The bright-green AmazonFresh food truck arrived at 7:51, and the delivery person, Raul Ruiz, said it was his 14th stop so far that day.
"I am extremely busy," he said.