Amazon.com Inc. is committed to ensuring quick delivery to its customers. It has introduced ultrafast delivery options with a fee as it faces competition from Instacart and Walmart Inc., which provide quick delivery for their customers.
In today’s breaking news headlines, Amazon is putting all of its efforts into delivering the products to its customers on the same day. It will utilize all of the services and facilities to achieve this target. Andy Jassy, CEO of Amazon, is devoting all of these efforts to realizing enhanced profits by expanding same-day delivery options amid increased competition from Instacart and Walmart.
Uses warehouses for same-day delivery services
Amazon would depend on its vast network of warehouses for its ultrafast delivery mode. The company refers to them as “same-day delivery sites.” However, the company has few facilities close to the large cities compared to its large number of warehouses, which are used for packaging the goods for quick delivery. The company depends on delivery stations that are located close to the customers for final shipping.
According to available information, Amazon has opened 45 smaller sites in 2019. The e-commerce giant plans to expand these sites to 150 soon. These sites, which are located close to the larger cities, serve the customers by delivering the most popular 100,000 items in the Amazon catalog. The company recently inaugurated new locations in Phoenix, San Francisco, and Los Angeles. It is unclear how many of these are same-day sites.
Discounts for Prime subscribers at Whole Foods Market
Walmart uses its vast network of stores to satisfy online orders. Amazon intends to compete with Walmart through logistics and innovative methods. According to analysts, the latest push will help Amazon retain its annual subscription ($139) users. Users of the Prime subscription can also avail of discounts and other perks at Whole Foods Market. Amazon will introduce a fee for small orders for customers who want fast shipping.
Over 1.5 million monthly users prefer same-day delivery
According to an Amazon spokesperson, the company is constantly striving to provide customers with new delivery options and conveniences. Its latest innovation in delivery is same-day delivery to customer doors. She further claimed that monthly; over 1.5 million customers preferred the same-day delivery option for the first time.
According to the latest BNN News, fast shipping is expensive and costs $3.30 per order. Amazon seeks the help of its contractors to ensure delivery of the products to the same-day sites. The company can reduce other fulfillment costs by utilizing the same-day sites. The minimum threshold for availing fast shipping is $25. Prime subscribers need to pay a fee of $2.99 for each order to avail them of the faster shipping option. The orders for the faster shipping option arrive at the doorsteps of customers in a matter of hours. President of MWPVL, Marc Wulfraat, said Amazon needs more volumes for this option to work.
As the e-commerce giant is expanding its same-day delivery option across the nation, it is the first experience for several of its customers. A customer residing in Kansas City intended to buy electric tooth brush heads when she first noticed the same-day delivery option earlier this month. She placed an order for toothbrush heads in the morning and was amused to receive them in the evening.