Side Area Test
logo

Stay Connected

Get connected to StreetWise eNewsletters and text alerts on the newest and hottest stock opportunities and IR news.
[email protected]
407.340.0226

Amazon is Expanding its Same-Day Delivery Network

Amazon is Expanding its Same-Day Delivery Network

This week, Amazon announced it is getting closer to its goal of making same-day and next-day delivery the standard for its Prime loyalty club members.

 

The company said so far this year it has delivered 1.8 billion units to U.S. Prime customers the same or next day.

 

Amazon has reportedly been working on its delivery speed for years now until the pandemic hit which led to supply chain and labor-market challenges. However, according to CNBC, new warehouses coming online and other operation improvements have helped Amazon get its delivery speeds back and better than ever.

 

Amazon has also reduced its “cost to serve” by switching to a delivery model that divides the country into eight smaller regions. This change cut costs and lowered the number of touchpoints while boosting delivery speeds.

 

More “same-day sites” are also being created to help customers get the fastest delivery possible. These sites “are stocked with a rotating selection of millions of items tailored to what customers are purchasing in the area, whereas a typical warehouse is much larger and may have a more random assortment of products,” per CNBC.

Image of Amazon Prime boxes.
Image courtesy: Pixabay
Maggie Caraway