Amazon launching business delivery service
The e-commerce giant will soon deliver more than just its own packages.
Third-party sellers on Amazon will be first to try out the new “Shipping with Amazon” service with customers in Los Angeles, according to The Wall Street Journal. The launch comes on the heels of an earlier test in LA and a precursor in London.
The report states that Amazon’s ambitions are to expand to pick-ups at businesses that don’t sell on its website as well as expand the Shipping with Amazon service to other places, like the 37 cities where it already delivers Amazon orders directly to customers.
For now, the initiative is seen as streamlining efficiency by taking more packages on routes it’s already running. The massive popularity of Amazon Prime free shipping and Amazon’s domination of holiday sales have provided enough demand to justify flying freight on its own aircraft, and Shipping with Amazon aims to complete the relay from end to end. It’s no secret, of course, that the online retailer has been targeting delivery innovations. Patents for delivery airships and drones carrying packages have repeatedly made headlines in recent years.
Because of the limited initial scope of the shipping service, prices are expected to be less than UPS and FedEx, the article noted.
Third-party sellers on Amazon are also enjoying the benefits of the company’s new Fulfillment by Amazon Onsite program. Using Amazon software, some sellers can qualify to have their products shipped via Prime straight from their own warehouse instead of having to forward products to Amazon’s warehouses.
Not everything Amazon is doing is saving people money, though. The shopping destination recently hiked fees for several categories of goods, including its banner Amazon Prime membership.